Oman has presented a proposal to Iran aimed at establishing joint regional management for the Strait of Hormuz, featuring voluntary shipping fees rather than mandatory tolls imposed by Tehran, according to a Gulf source cited by Al Monitor. The plan was presented to Iranian officials in Tehran over the weekend as part of diplomatic efforts following a pause in hostilities between the United States and Iran, according to CNBC.
Oman Proposes Joint Strait of Hormuz Management Plan to Iran
Under the Omani proposal, which holds regional backing, Iran would not exercise sole control over the strategic waterway, and shipping firms would contribute voluntary payments. The framework is modeled on the Strait of Malacca, where Indonesia, Malaysia, and Singapore ask ships to help fund navigation, environmental protection, and search-and-rescue operations, as reported by Marketscreener. A senior Iranian source stated that Tehran had not yet responded to the proposals.
Diplomatic Engagement and Regional Stances
The diplomatic push coincides with ongoing discussions involving regional counterparts. Iranian Foreign Minister Abbas Araqchi held separate phone calls with Saudi Arabia’s Faisal bin Farhan and Oman’s Badr Al-Busaidi to discuss bilateral and regional developments, according to a Telegram statement from the Iranian Foreign Ministry. The ministry emphasized the need to strengthen cooperation and advance joint diplomatic efforts to establish regional stability and eliminate insecurity in the Strait of Hormuz, which it attributed to U.S. actions.
Concurrently, foreign ministers of the Gulf Cooperation Council met via video call to discuss developments in the conflict, including ways to intensify cooperation regarding the safety and freedom of vessels through the waterway, as noted by the Qatari Foreign Ministry. Meanwhile, U.S. President Donald Trump stated that the United States was holding good talks with Iran and that there was a chance of a deal, though he warned that U.S. strikes would resume if negotiations fail to deliver progress.
Stakes for Global Energy and Shipping
The Strait of Hormuz serves as a vital maritime passage connecting the Persian Gulf to the Arabian Sea. Prior to the war, the waterway carried 20% of the world’s oil production and a fifth of global oil and liquefied natural gas, making shipping through the channel a central hurdle in peace negotiations. Washington maintains that ships should be able to pass freely without payments and that charging mandatory fees would be illegal, whereas Iran has stated the strait cannot return to its pre-war status of unfettered free shipping.
The United Nations’ International Maritime Organization stated it was not involved in the current discussions, noting that any proposals for new shipping routes or traffic management measures should be submitted to the IMO for consideration by member states. Oman’s delegation previously informed the IMO’s governing council on July 9 that it does not support the imposition of transit fees on vessels, while seeing merit in exploring voluntary arrangements for navigational support services.
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