Iran: Strait of Hormuz will reopen only if transit revenues cover war damages

The Strait of Hormuz will reopen for transit only when transit revenues are used to compensate for damages from the war, Iran's presidential office said Sunday. "The Strait of Hormuz will be reopened only when part of the transit revenues is used to compensate for all damages caused by the imposed war," Mehdi Tabatabai, the deputy for communications and information at the Iranian President's Office, said on X.

Criticism of Trump

Tabatabai also sharply criticized US President Donald Trump, saying he had "resorted to insults and nonsense out of desperation and anger," and accused him of "initiating a full-scale war in the region and still boasting." The comments come as Trump has signaled possible strikes on Iranian bridges and power plants while also claiming a deal with Tehran could be reached by Tuesday.

Strait closure

The region has been on alert since the US and Israel launched a joint offensive on Iran on Feb. 28, killing over 1,340 people according to Iranian authorities, including former Supreme Leader Ayatollah Ali Khamenei. Tehran has retaliated with drone and missile strikes targeting Israel, as well as Jordan, Iraq, and Gulf countries hosting US military assets. Iran has also restricted the movement of ships through the Strait of Hormuz, with approximately 1,900 vessels stranded and global oil prices above $116 per barrel.

Compensation demand

Iran's demand for war reparations through transit revenues adds a new condition to reopening the strategic waterway. Tehran has previously insisted that any peace agreement must include full compensation for material and moral damages.