US oil tops $75 after Trump revives Strait of Hormuz blockade on Iranian ships, announces 20% cargo fee
Oil prices surged on Monday after US President Donald Trump said Washington would reinstate a naval blockade against Iran, intensifying its battle with Tehran over
Oil prices surged on Monday after US President Donald Trump said Washington would reinstate a naval blockade against Iran, intensifying its battle with Tehran over control of the Strait of Hormuz. Brent crude futures, the international benchmark, rose 5.3% to $80 per barrel. West Texas Intermediate futures were last seen 5.3% higher at $75.18, according to a news report by CNBC. “We are reinstating the THE IRANIAN BLOCKADE, so named because it is only stopping Iran’s ships or customers from entering or leaving. All other countries will have fair and open use of the Strait,” Trump said in a post on Truth Social.
The decision to reimpose the naval blockade comes after the US and Iran exchanged strikes over the weekend. Trump vows Hormuz protection, seeks a fee on cargo The American leader said the US would protect traffic in the Strait of Hormuz but demanded reimbursement equivalent to 20% of all cargo shipped. "The U.S.A... will be reimbursed, at the rate of 20% on all cargo shipped, for any and all costs necessary to do the job of providing safety and security to this very volatile section of the World," he said in the social media post.
He further said the process and formation will begin immediately. Nearly 20% of the world’s oil supplies were transported through Hormuz before the US and Israel attacked Iran on February 28, 2026. Traffic in the vital waterway fell sharply after Iran started attacking shipping vessels in the strait in early March. However, ships started transiting through the route again after Washington and Tehran signed the interim deal. Why is the US imposing a naval blockade against Iran? The US reinstated the naval blockade after Iran's Islamic Revolutionary Guard Corps (IRGC) attacked a container ship transiting the Strait of Hormuz.
According to US Central Command, American military carried out strikes against Iran on Sunday after hitting 140 targets on Saturday, CNBC reported. Iran responded on Sunday with strikes on US military facilities in Jordan, Kuwait, Bahrain and Oman, according to the state news agency Tasnim. Iranian state media said the Revolutionary Guard had closed the Hormuz until further notice, but the US military disputed that claim. Meanwhile, US Central Command said that the strait was open to “all vessels seeking to lawfully transit.”
The BriefWire