On May 29, American President Donald Trump announced the lifting of the naval blockade of the crucial Strait of Hormuz, signalling an imminent end to hostilities and violence in the Israel/USA-Iran War.
The naval blockade was imposed by USA to choke the Hormuz maritime shipping corridor, in a bid to cripple Iranian control on the Hormuz choke-point and weaken its economy by halting exports.
Iran too was extracting a “toll” from the ships using the strategic Strait of Hormuz, with ships reportedly paying sums as high as $2 million per transit.
Trump’s Truth Social Announcement
Trump made the announcement on his social media platform ‘Truth Social’, where he stated,
“Ships caught in the Strait due to our amazing and unprecedented Naval Blockade, which will now be lifted, may start the process of “heading home!” Say HELLO to your wives, husbands, parents, and families from me, your favorite President!”
US President, other than declaring the end of the naval blockade, also called on Iran to ensure safe and open navigation for all vessels through the Strait, remarking,
“The Hormuz Strait must be immediately open, no tolls, for unrestricted shipping traffic, in both directions. All water mines (bombs), if any, will be terminated (we have removed, through detonation, numerous such mines with our great underwater mine sweepers. Iran will complete the immediate removal and/or detonation of any mines that are left, which will not be many!).”
Trump continued that America will further recover and destroy the buried, enriched nuclear material from Iran, where he said,
“The enriched material, sometimes referred to as “Nuclear Dust,” which is buried deep underground with virtually collapsed mountains, caused by our powerful B2 Bomber attack 11 months ago, sitting on top of it, will be unearthed by the United States (which, it is agreed, is the only Country, along with China, with the mechanical capability of doing so!), in close coordination and conjunction with the Islamic Republic of Iran, plus the International Atomic Energy Agency, and DESTROYED.”
He also pressed Iran to terminate their nuclear programme,
“Iran must agree that they will never have a Nuclear Weapon or Bomb,” as the post stated.
What Is The Strait Of Hormuz And Why Does It Matter?
The Strait of Hormuz (55-95 km wide) is one of the world’s most vital chokepoints that connects the Persian Gulf with the Gulf of Oman and Arabian Sea.
It supplies 20-25% of global maritime oil and 20% of the world’s total liquefied natural gas (LNG), with 20 million barrels per day (mb/d) of crude oil shipped in 2025, as per International Energy Agency (IEA).
Over 80% of oil passing through the Strait is destined for Asian markets, wherein Bharat relies on this route for 90% of its liquid petroleum gas (LPG) imports, indicating the Strait’s indispensability for the Asian nations.
Impact On Global Oil Prices
Global oil rates have registered a sharp decline of 20% owing to renewed hopes of continued cessation of hostilities in the Gulf, following Trump’s announcement on ending the Hormuz blockade.
The Brent Crude has recorded a fall of around 2%, looming at $91.2 per barrel.
Likewise, the West Texas Intermediate (WTI) crude is trading at $87.2 per barrel, plunging to its lowest in nearly six weeks.
The plummeting oil prices bring respite to oil-importing economies globally, wherein multiple countries have already hiked domestic petrol and diesel rates, including India, due to the sustained Hormuz blockade.
Is A Peace Deal Imminent In The Israel/USA-Iran War?
Speculations are rampant about a tentative peace agreement between the United States and Iran, bringing about a long-standing ceasefire in the Iran war, which had begun on February 28, 2026, under Operation Epic Fury.
Operation Epic Fury was a joint military attack, launched by Israel and USA on Iran, which resulted in the assassination of Iran’s Supreme Leader Ali Khamenei.
Reportedly, the peace plan comprises extension of the ceasefire to 60 days and initiation of fresh talks on the nuclear programme of Iran.
However, US President Donald Trump has left the “Situation Room” without making the “final determination”, that is, a final decision on the said peace agreement.