US and China oppose Iranian transit fees in Strait of Hormuz

Wednesday 13 - 13:16

By: Dakir Madiha

US and China oppose Iranian transit fees in Strait of Hormuz

The United States and China have reached a rare point of diplomatic alignment by opposing Iran’s proposed transit charges for ships crossing the Strait of Hormuz. The position was confirmed by the US State Department ahead of a summit between President Donald Trump and Chinese President Xi Jinping, signaling limited but notable cooperation between the two powers on maritime trade security.

According to US officials, the understanding emerged during an April phone call between Secretary of State Marco Rubio and Chinese Foreign Minister Wang Yi. Both sides reportedly agreed that no country or organization should impose tolls on vessels using international waterways such as the Strait of Hormuz. Chinese officials later reiterated support for maintaining safe navigation and stability in the region, without directly disputing the details of the exchange.

The issue has gained urgency following severe disruption in the strait after joint US and Israeli military actions against Iran earlier this year. The strategic waterway handles a substantial share of global oil and liquefied natural gas shipments, making any interruption a major threat to global energy markets. Iran’s proposal for transit fees was presented domestically as a security-related measure tied to maritime protection in the Gulf.

The economic impact has been significant. Hundreds of commercial vessels remain delayed in the Persian Gulf, while shipping companies continue to report operational difficulties crossing the strait. China, one of the largest importers of Iranian crude oil, faces direct commercial pressure from the ongoing disruption, increasing Beijing’s incentive to support efforts aimed at restoring maritime stability.

Despite the limited convergence between Washington and Beijing, broader tensions remain unresolved. China recently opposed a United Nations resolution backed by the United States concerning commercial navigation security in the region. Washington has also expanded sanctions targeting companies accused of facilitating Iranian oil shipments to China, underscoring persistent divisions over trade, sanctions enforcement and regional strategy.