Trump suggests ‘declaring’ Strait of Hormuz a U.S. territory, Iran rebuffs claim

Iran refused the United States' proposal to accept defeat and declare the Strait of Hormuz a U.S. territory, as President Donald Trump suggested during a rally in New York. The conflict that began on February 28 has halted progress toward peace talks and oil tanker traffic through the strategic strait, which handled one-fifth of the world's oil before the war.

Iran's Deputy Foreign Minister Kazem Gharibabadi stated that the strait will only be opened and closed under Iran's command, and tensions remained high. The average price of gasoline in the U.S. reached $4.08 per gallon, up 29% from a year earlier, as the conflict continued to impact fuel costs. Despite Iran's defiant stance, there were signs of economic strain in the country, with President Masoud Pezeshkian blaming the U.S. blockade and sanctions on high inflation.

Trump and Treasury Secretary Scott Bessent pledged to inflict more financial damage on Iran, while attacks by Iran-backed Houthis in Yemen raised concerns about a broader regional conflict.