Donald Trump's move to impose a 20% toll on cargo ships transiting the Strait of Hormuz has sparked outrage in Britain, with critics denouncing it as "state-backed highway robbery" and a violation of international law. The US president claimed the fee is a "matter of fairness" to cover the cost of providing security in the strategic waterway, but the Liberal Democrats have branded it "an act of economic extortion."
US Announces Toll and Blockade Reinstatement
Writing on his Truth Social platform, Trump declared the Strait of Hormuz would remain open but that the US would be "reimbursed" at a rate of 20% on all cargo shipped. He also announced the reinstatement of the Iranian blockade, which he said would stop only Iran's ships or customers from entering or leaving. The blockade will come into force on July 14 at 9pm UK time, according to US military sources.
Trump stated: "The USA will be, from this point forward, known as 'THE GUARDIAN OF THE HORMUZ STRAIT', but as such, and as a matter of FAIRNESS, 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."
UK Political Backlash
Liberal Democrat foreign affairs spokesman Calum Miller MP condemned the plan, saying: "Donald Trump's plan to slap a 20% tax on shipping through the Strait of Hormuz is nothing short of state-backed highway robbery. Ambushing global trade at one of the world's most vital chokepoints is an act of economic extortion. Extracting tolls like this is a flagrant violation of international law."
Miller urged the UK government to coordinate with international allies to reject the toll and de-escalate the conflict. He added: "Both Donald Trump and Tehran are once again holding the global economy to ransom. Keir Starmer must immediately co-ordinate with our international allies to reject this lawless toll, protect freedom of navigation, and work urgently to de-escalate this rapidly expanding conflict."
International Law and Previous US Stance
The International Maritime Organisation (IMO), the UN agency overseeing shipping safety, stated: "We have always been consistent on its stance on fees – IMO stands firmly against charging fees for passage through straits used for international navigation. There is no legal basis through which to introduce mandatory tolls simply to transit through a strait."
Only last month, US Secretary of State Marco Rubio stressed the US was against Iran charging fees for ships to use the waterway, saying: "There isn't a nation on Earth that supports having to pay money to go through the straits." Trump himself joined other world leaders at the G7 summit in France, including UK Prime Minister Sir Keir Starmer, to confirm that "the right of transit passage without restrictions or tolls is the bedrock of international trade."
Escalating Conflict and Military Actions
The toll announcement comes amid an escalating stand-off between Washington and Tehran over the Gulf channel, which has seen both sides exchange fire. The latest clash occurred after Iran attacked a container ship on Sunday in the strait. Iran claims it controls the waterway, a claim disputed by the US and other countries citing international law on freedom of navigation.
US Central Command (Centcom) revealed it had used one-way "kamikaze" surface drones for the first time in attacks on Iran, striking a submarine and ship maintenance facility at Bandar Abbas Naval Base. In a post on X, the US military said: "Three Corsair unmanned surface vessels hit the port at Bandar Abbas Naval Base, marking the first time American forces have employed sea drones in combat operations. Last night's strikes degraded Iran's ability to continue attacking commercial shipping."
Background and Nuclear Deal Context
Ending Tehran's stranglehold on the sea route, which disrupted global oil and gas supplies and drove up fuel and food prices, had been a key demand in previous negotiations. The initial deal between the US and Iran provided for safe, toll-free passage for 60 days, pending a final agreement on Tehran's disputed nuclear plans. The pact also leaves it to Iran and Oman, in conjunction with other Gulf states, to "define the future administration and maritime services in the Strait of Hormuz." In the meantime, Iran has continued to exert leverage, including demanding ships seek permission to transit and raising the possibility of future charges.
