Iran’s blockade and toll system in the Strait of Hormuz during the US-Israel war
Consensus Summary
Since the US-Israel war began on February 28, Iran has effectively closed the Strait of Hormuz through selective blockades and a new ‘toll booth’ system, reducing daily ship traffic from 138 vessels to just 5-6. Iran has established a controlled shipping corridor near its coast, requiring vessels to pass under Iranian verification—some paying up to $2 million for transit. Oil exports from Iran have remained steady at 1.6 million barrels per day, while global shipping costs have surged, incentivizing risky transits. Over 20 ships have been attacked or near-missed, and 20,000 seafarers remain stranded in the Gulf. Countries like India and China have engaged in direct diplomacy with Iran to secure passage, while international efforts, including a proposed UK-hosted summit, aim to reopen the strait. The Guardian and ABC agree on key facts like the toll system and reduced traffic but differ slightly on transit numbers and safety guarantees, with ABC emphasizing financial incentives and ABC highlighting ongoing risks and diplomatic nuances.
✓ Verified by 2+ sources
Key details reported by multiple sources:
- The Strait of Hormuz saw daily traffic drop from ~138 vessels pre-war to ~5-6 large vessels daily since February 28, with total March transits estimated at ~150 ships (ABC) or ~100 exits/40 entries (Guardian).
- Iran has imposed a ‘selective closure’ of the Strait of Hormuz, allowing passage for its allies and some tankers while blocking others, creating a ‘toll booth’ system (ABC/Guardian).
- Iran’s IRGC has established a new shipping corridor near the Iranian coast (Larak Island to mainland) for vessels to transit under Iranian control, diverting from the standard Omani shipping lane (ABC/Guardian).
- At least two ships have paid Iran for passage through the strait, with one reported payment of $2 million for a VLCC (ABC/Guardian).
- Iran’s crude oil exports averaged ~1.6 million barrels per day between March 1-23, with exports remaining relatively unimpeded despite the war (ABC).
- The UN’s IMO has warned of 20,000 stranded seafarers in the Gulf facing dwindling supplies and stressful conditions (Guardian).
- Israel killed IRGC Navy commander Alireza Tangsiri on March 22, whom it blamed for the strait’s de facto closure (Guardian).
- India and China have engaged in direct diplomatic talks with Iran to secure safe passage for their vessels (ABC/Guardian).
- Over 20 ships have been attacked or near-missed in the region since the war began, including the Palau-flagged Skylight tanker (Guardian).
- Maritime insurance remains available but at higher prices, with no recent demand for coverage in the Strait of Hormuz (Guardian).
- The standard commercial shipping lane in the strait has seen no traffic since March 24, with vessels now held or sequenced through Iran’s controlled corridor (Guardian).
Points of Difference
Details reported by only one source:
- ABC analysis shows ~46 oil tankers transited the strait between March 1-26, down from a pre-war average of ~50 daily (ABC).
- About 12 vessels (including Karachi, a Karachi-owned tanker) have passed through Iran’s coastal waters with tracking data showing deliberate routing near Iran’s shore (ABC).
- Greek-owned ships account for the second-highest number of strait crossings due to Greek shipowners’ willingness to pay premiums for risky routes (ABC).
- A Japanese-owned bulk carrier (flagged as ‘China Owner’) was the first ship bound for Australia to transit the strait after the war (ABC).
- Iran’s parliamentary official Alaeddin Boroujerdi stated Iran charges $2 million per ship as a transit fee, with payments reportedly made in Chinese yuan (ABC).
- India’s Foreign Minister Jaishankar stated there is no ‘blanket arrangement’ for Indian-flagged ships, though Indian Navy warships have escorted LPG tankers through Iran’s shores (ABC).
- Former merchant mariner Sal Mercogliano noted shipping costs have spiked 10x, incentivizing risky transits (ABC).
- Satellite imagery from March 17 showed one oil tanker and two supertankers at Kharg Island, Iran’s largest oil export hub (ABC).
- Lloyd’s List reported Iran is formalizing the toll system with a new law expected to be finalized next week (ABC).
- The Guardian’s data shows ~1,000 vessels remain anchored or in port due to risks, with few willing to transit (Guardian).
- Iran’s ‘safe corridor’ is described as a northerly route between Larak Island and the Iranian mainland, giving Iran visual verification of vessels (Guardian).
- Windward logged two cargo ships entering the Gulf on March 24 without transmitting their position, hugging the Oman coastline (Guardian).
- The Guardian notes Iran’s approval for transit does not guarantee safety, as IRGC factions may still delay or seize vessels despite clearance (Guardian).
- Over 30 countries (including UAE, UK, France, Germany, Canada, Australia) signed a joint statement to work on reopening the strait (Guardian).
- Britain offered to host an international security summit to draft a collective plan for reopening the strait (Guardian).
- The Skylight tanker (Palau-flagged) was the first oil tanker hit in the conflict, killing its Indian captain and crew member (Guardian).
- No vessels have been damaged since March 22, but analysts expect months to recover normal shipping patterns (Guardian).
- The Guardian highlights Iran’s determination to divert vessels from the standard shipping lane to its controlled corridor (Guardian).
Contradictions
Conflicting information between sources:
- ABC reports ~150 ships transited the strait between March 1-26, while the Guardian states ~100 exited and 40 entered the Gulf in March (totaling 140).
- ABC claims Iran charges $2 million per ship as a transit fee, but the Guardian does not specify a fee amount beyond mentioning one payment of $2m for a VLCC.
- The Guardian says no vessels have been damaged since March 22, while ABC does not provide a specific date cutoff for attacks but implies ongoing risks.
- ABC states India has no ‘blanket arrangement’ for Indian-flagged ships, but the Guardian does not address this specific diplomatic stance.
- The Guardian notes Iran’s approval does not guarantee safety due to IRGC factionalism, while ABC focuses more on the financial toll system without emphasizing safety risks beyond the toll.
Source Articles
‘Tehran’s tollbooth’: a visual guide to how a trickle of ships still passes through strait of Hormuz
Many of the vessels willing to make the crossing are taking an alternative route through Iranian waters Threats to shipping have effectively closed the strait of Hormuz since the US-Israel war on Iran...
'You're going to run the strait': The financial incentive for braving Iran's blockade
Iran is running one of the world's most critical shipping lanes as a "toll booth" and has likely made hundreds of millions of dollars of extra income from selling its own oil since the US and Israel w...