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barred from the Strait of Hormuz

A draft plan could potentially block U.S. and Israeli ships from passing through the strategically important Strait of Hormuz, according to an Iranian state news outlet. The proposed restrictions, which are currently under review, would apply to any country or individual causing harm to Iran, with penalties of up to 20% of cargo value for violations.

However, the U.S. swiftly rejected these terms, emphasizing that the strait is an international waterway with no control over lanes or transit. Earlier reports suggested Iran and Oman were nearing a deal to facilitate shipping through the strait, with no tolls or fees involved. The U.S. and Iran had earlier agreed on a memorandum of understanding in June that allowed commercial vessels to transit the strait without charge for 60 days.

Iranian Deputy Foreign Minister Kazem Gharibabadi claimed the U.S. was willing to "return to commitments," but denied ongoing negotiations.

Written by urgent.news from CNBC's reporting — not their text. Machine-written; read the original for the full account.

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