Hormuz Strait Reopens for Neutral Ships Amid Oil Crisis

Strait of Hormuz: Iran has announced that “non-hostile” ships can now pass through the Strait of Hormuz, offering limited relief after a sharp drop in maritime traffic triggered a global energy crisis.

In a statement shared by Iran’s mission to the United Nations, vessels will be granted safe passage only if they do not support or take part in any actions against Iran. Ships must also follow all safety and security rules set by Iranian authorities.

Iran also informed the International Maritime Organization about the updated transit conditions. However, Tehran has not clearly explained what exact regulations ships must follow.

The Strait of Hormuz is one of the world’s most important oil routes, handling nearly 20 percent of global oil and liquefied natural gas shipments. Since the start of the conflict on February 28, traffic has dropped sharply.

According to maritime firm Windward, only five ships passed through the strait on Monday, compared to around 120 ships daily before the conflict began.

Earlier, Iran had warned that ships attempting to pass through the waterway could face attacks. However, officials have recently said the route remains open for neutral countries, but closed to “enemies.”

The disruption has caused oil prices to surge, with experts warning prices could reach $150 to $200 per barrel if the situation continues. Brent crude prices, which stayed above $100 for most of March, dropped by more than 9 percent on Wednesday following reports of possible peace talks.

Meanwhile, Donald Trump said that negotiations are underway to end the ongoing war involving the United States, Israel, and Iran. This comes despite earlier denials from Iran about any talks.

Global markets reacted positively to hopes of a resolution. Japan’s Nikkei 225 rose by 2.3 percent, South Korea’s KOSPI increased by 2.6 percent, and Hong Kong’s Hang Seng Index gained 0.7 percent.

The situation remains tense, and the future of global energy supply depends heavily on stability in the Strait of Hormuz.