Trump Drops Planned 20 Percent Levy on Ships in the Strait of Hormuz

Washington – 14 July 2026: US President Donald Trump has withdrawn his announcement that he would demand a 20 percent levy on cargo aboard ships in the Strait of Hormuz. Instead, trade and investment agreements with Gulf states are intended to offset the costs Washington claims for protecting shipping. Trump announced the policy shift after talks with political leaders in the region.

The new approach was made public one day after the original announcement. On 13 July, Trump said the United States would secure passage through the strategically important strait and demand payment based on the value of the cargo being transported. How such a fee would have been collected legally, technically and practically remained unclear at the time.

According to the statement now released, there will be no immediate levy on shipowners or cargo owners. Trump spoke of agreements on trade and investment that various Gulf states would make in the United States. The president initially did not name specific countries, amounts, deadlines or legally binding contracts. Details of any possible concessions from Washington also remained unclear.

The Strait of Hormuz between Iran and Oman is one of the most important sea routes for energy and goods shipments. The security situation there remains tense because of the conflict between the United States and Iran. Reports of attacks on merchant ships and military activity have recently placed considerable strain on civilian shipping. Many shipping companies and insurers are therefore monitoring the situation particularly closely.

According to the US government, its hard line toward Iranian ports remains unchanged. Alongside the original fee announcement, Trump had announced a renewed blockade of ships linked to Iranian ports. The abandonment of the 20 percent demand therefore does not represent a fundamental easing of the dispute over control and security of the waterway.

For the Gulf states, the focus is shifting from a possible direct burden on maritime traffic toward political and economic negotiations with Washington. A levy based on the value of goods could have hit oil, gas and cargo ships particularly hard. At the same time, it would have been difficult to calculate for international supply chains, because the strait is crucial for a significant share of regional energy exports and for Gulf states’ goods imports.

It remains unclear whether the announced trade and investment agreements will actually materialize. It is also unresolved whether they will affect the immediate security of merchant shipping. While the decision ends the fee demand announced at short notice, it leaves major questions concerning passage, military responsibilities and relations between Washington, Tehran and the Arab Gulf states unanswered.