Iran’s blockade and toll system in the Strait of Hormuz during the US-Israel war
Consensus Summary
Iran has effectively blocked the Strait of Hormuz since the US-Israel war began on February 28, reducing daily vessel traffic from 138 to just 5-6 large ships while imposing a de facto toll system. The IRGC controls a northern corridor near Iranian waters, requiring verification and payments—at least two ships reportedly paid $2 million each for passage. Iran’s oil exports remain steady at 1.6 million barrels/day, while global shipping faces disruptions, with 20 vessels attacked since the conflict. India and China, heavily reliant on the strait for energy imports, are engaging in diplomacy to secure safe passage, though risks persist. Both sources agree on the scale of the blockade and Iran’s financial incentives but differ on specifics like Greek shipowner activity and India’s diplomatic stance. The humanitarian impact is severe, with 20,000 seafarers stranded and insurance costs rising, though coverage remains available. International efforts, including a proposed UK-hosted summit, aim to reopen the strait, but analysts warn recovery could take months even after hostilities end.
✓ 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 (ABC) or ~40 vessels entering/exiting in March (Guardian), with total March transits estimated at ~100 (Guardian).
- Iran has imposed a 'selective closure' or 'toll booth' regime, requiring vessels to transit through a northern corridor near Iranian waters (ABC, Guardian).
- Iran’s IRGC controls the strait, with at least two ships reportedly paying $2 million each for passage (ABC, Guardian), one payment reportedly in Chinese yuan (Guardian).
- Iran’s crude oil exports averaged 1.6 million barrels per day from March 1–23 (ABC), with Kharg Island hosting oil tankers during the blockade (ABC).
- India and China are among the most impacted nations, with India relying on the strait for 40% of crude oil and 50% of LNG imports (ABC, Guardian).
- The US-Israel war began on February 28, 2024, leading to the blockade; Iran’s new law formalizing transit fees was expected to be finalized by mid-March (ABC).
- At least 20 ships have been attacked or damaged since the war, including the Palau-flagged Skylight tanker (Guardian), with 20,000 seafarers stranded (Guardian).
- Iran’s 'safe corridor' runs between Larak Island and the Iranian mainland, diverging from the traditional shipping lane (Guardian).
- Israel killed IRGC navy head Alireza Tangsiri on March 22, reportedly responsible for the strait closure (Guardian).
- Maritime insurance remains available but at higher prices, with no major demand for strait coverage (Guardian)
Points of Difference
Details reported by only one source:
- Former merchant mariner Sal Mercogliano stated Iran’s control over the strait has angered some in the US government, with ~12 vessels now transiting via Iranian waters after initial verification (ABC).
- ABC revealed a Japanese-owned bulk carrier transiting the strait while broadcasting 'CHINA OWNER' from its transponder, bound for Australia (ABC).
- Iran charges $2 million per ship as a transit fee, per senior parliamentary official Alaeddin Boroujerdi (ABC).
- Greece owns the second-highest number of ships crossing the strait, with Greek shipowners reportedly exploiting higher charter rates (ABC).
- India’s Foreign Minister Subrahmanyam Jaishankar stated there is no 'blanket arrangement' for Indian-flagged ships, despite diplomatic efforts (ABC).
- ABC analyzed satellite imagery showing one oil tanker and two supertankers at Kharg Island on March 17 (ABC).
- ABC cited TankerTrackers data estimating Iran’s oil exports at 1.6 million barrels/day (March 1–23) (ABC).
- ABC reported Iran’s pre-war daily traffic was ~138 vessels, carrying 1/5th of global oil/gas supply (ABC).
- ABC noted Iran’s 'selective closure' allows its own tankers and 'friends' to pass while others face risks (ABC).
- ABC mentioned India’s Pine Gas LPG Carrier transited the strait and was expected to reach port in early March (ABC)
- The Guardian described Iran’s new corridor as a 'trickle of ships' with only ~4 vessels transiting on March 24 (Guardian).
- Guardian noted the IMO and UN were informed by Iran that 'non-hostile vessels' could transit, excluding US/Israel-linked ships (Guardian).
- Guardian reported the Skylight tanker attack killed its captain and a crew member (both Indian nationals) on March 1 (Guardian).
- Guardian stated no vessels have been damaged since March 22, but analysts expect months to restore normal shipping (Guardian).
- Guardian mentioned 1,000 vessels and crews remain anchored due to risks, with few willing to transit (Guardian).
- Guardian highlighted that Iran’s approval does not guarantee safety, as IRGC factions may still delay or seize vessels (Guardian).
- Guardian noted the UK offered to host an international security summit to reopen the strait (Guardian).
- Guardian reported Windward data showing 10 large vessels north of Larak Island on March 24, potentially preparing to transit (Guardian).
- Guardian stated Iran’s 'safe corridor' is a 'northerly route close to the Iranian coastline' (Guardian).
- Guardian emphasized that insurance cover remains available but at higher prices, with no recent demand for strait coverage (Guardian)
Contradictions
Conflicting information between sources:
- ABC states Iran’s pre-war daily traffic was ~138 vessels, while Guardian states 138 vessels/day was the pre-war average but only ~100 exited the Gulf in March (Guardian says 'about the number estimated to have made the journey in the whole month of March').
- ABC reports Iran’s crude oil exports averaged 1.6 million barrels/day (March 1–23), but Guardian does not provide a specific export volume for comparison.
- ABC claims Iran’s new law formalizing transit fees was expected to be finalized by mid-March, while Guardian does not mention this timeline explicitly.
- ABC states Greece owns the second-highest number of ships crossing the strait, but Guardian does not reference Greek shipowners or their involvement.
- ABC reports India’s Foreign Minister Jaishankar stating there is no 'blanket arrangement' for Indian-flagged ships, while Guardian does not quote Jaishankar directly on this point.
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...