Iran hints preferential treatment for 'friendly' countries under proposed Hormuz fee system
Iranian Ambassador Fazli said Iran intended to charge service fees for ships using the route. However, he stressed that the charges would not amount to a transit toll.
Highlights:
- Iran plans service fees for ships using the Strait of Hormuz.
- China and other "friendly" countries may receive special treatment.
- Iran says the fees would cover security and navigation services.
Iran has said it plans to introduce a new system of service fees for commercial vessels transiting the Strait of Hormuz, with China and other countries it considers friendly likely to receive preferential treatment.
Speaking at the World Peace Forum in Beijing yesterday (4 July), Iran's Ambassador to China Abdolreza Rahmani Fazli said Tehran was working with Oman to establish a new framework for managing the strategic waterway, according to Al Jazeera.
Keep updated, follow The Business Standard's Google news channel
Fazli said Iran, as a country bordering the Strait of Hormuz, intended to charge commercial vessels for services provided while transiting the route. However, he stressed that the proposed charges would not constitute transit tolls.
According to the ambassador, the fees would cover services related to maritime security, vessel monitoring and mitigating the environmental impact of heavy shipping traffic.
Iran's state-affiliated NourNews agency also quoted Fazli as saying that China and other countries regarded as friendly by Tehran would receive "special considerations" regarding the level and type of service fees.
The announcement follows a temporary agreement reached between Iran and the United States last month to halt hostilities. Under the arrangement, commercial vessels have been allowed to pass through the Strait of Hormuz without charge for 60 days. It remains unclear what rules will apply after that period ends.
The United States has said any permanent agreement should not permit Iran to impose transit fees on vessels using the strait.
Fazli said the security situation in the Strait of Hormuz had changed following the recent conflict involving Iran, the United States and Israel, adding that Tehran and Muscat would jointly determine future arrangements for administering the waterway.
Iran and Oman, which share responsibility for the Strait of Hormuz, have established a joint committee to develop the new management framework.
The Strait of Hormuz is one of the world's most important maritime chokepoints, handling around one-fifth of global crude oil and liquefied natural gas shipments under normal conditions. Shipping through the passage was significantly disrupted during the recent conflict, contributing to a sharp increase in global energy prices.
