Iran said the Strait of Hormuz has reopened to commercial shipping for the duration of a ceasefire, easing pressure on global energy markets and prompting a drop in oil prices.
The announcement came as a 10-day ceasefire between Israel and Lebanon entered into force, with Israeli forces maintaining their illegal occupation in southern Lebanon.
Iran’s foreign minister Abbas Araghchi said the passage for all commercial vessels was “completely open for the remaining period of ceasefire”, in a post on X.
The strait, a narrow waterway linking the Gulf with the Arabian Sea, carries about 20 percent of global oil and liquefied natural gas supplies. Estimates from the US Energy Information Administration place daily flows at around 20 million barrels, with an annual value near $600bn.
Shipping through the route had faced disruption after Iran restricted access as retaliation for the illegal US-Israeli strikes, contributing to a surge in oil prices. Brent crude rose above $100 a barrel earlier in the crisis and reached more than $119 at its peak.
Following Iran’s statement, prices fell. Brent crude dropped below $90 a barrel, while US benchmark crude also declined. The Guardian reported a fall of about 10 percent after the reopening was confirmed.
Financial markets reacted. European indices, including the CAC in Paris and the DAX in Frankfurt, rose by more than 2 percent, while US markets also opened higher.
US President Donald Trump confirmed the reopening but said restrictions on Iran would remain. In a post on Truth Social, he said the strait was “completely open and ready for business” but added that the US naval blockade targeting Iranian ports would continue.
“The naval blockade will remain in full force and effect as it pertains to Iran, only, until such time as our transaction with Iran is 100% complete,” Trump wrote.
The blockade was introduced earlier in the week to limit Iran’s oil exports. Maritime data cited by Al Jazeera showed that three Iranian tankers carrying a combined five million barrels had already passed through the strait after loading crude.
The ceasefire in Lebanon, which coincided with the announcement, followed six weeks of conflict that killed more than 2,000 people and displaced large parts of the population. Tens of thousands began returning to their homes as the truce took effect.
Lebanon’s president Joseph Aoun said the ceasefire offered a path to negotiations and called for the withdrawal of Israeli forces from southern areas. “A ceasefire is the gateway to proceeding with negotiations,” he said in a statement.
Israel signalled that its forces would remain in positions inside southern Lebanon during the truce. Defence minister Israel Katz said the military would continue to hold territory it had taken, claiming that operations were not complete.
Hezbollah indicated it would maintain readiness. Senior figure Wafiq Safa told the BBC the group would “never, ever” disarm without a full withdrawal of Israeli forces and other conditions.
HT