Iran's Strait of Hormuz Toll Demand Tests Centuries-Old Maritime Law
FRANKFURT, Germany (AP) — A contentious Iranian demand to collect transit fees in the Strait of Hormuz has emerged as a major stumbling block in ceasefire negotiations, pitting Tehran against foundational norms of global maritime trade. The Islamic Republic insists the right to impose tolls is a non-negotiable condition for reopening the chokepoint, through which one-fifth of the world's seaborne oil supply flows.
The proposal, if accepted, would mark a significant departure from the principle of "innocent passage"—a right guaranteed under international law, including the United Nations Convention on the Law of the Sea (UNCLOS). This centuries-old doctrine ensures vessels can traverse strategic straits without impediment, a cornerstone of global commerce that experts warn is now under threat.
"This isn't just about Iran or this specific conflict," said Philippe Delebecque, a maritime law professor at Paris’ Sorbonne University. "It's about a precedent. If tolls are accepted in Hormuz, what stops similar claims in Gibraltar or Malacca? It would be the unraveling of a system that has kept global trade moving."
The strait's closure since late February, enforced by Iranian naval threats and a covert "tollbooth" scheme vetting ships near Larak Island, has already roiled energy markets. Brent crude prices soared past $118 a barrel at their peak, though they have retreated following the announcement of a tentative ceasefire. Reopening the waterway would instantly return approximately 20% of global oil supply to the market, providing relief to a strained world economy.
However, the toll demand presents a profound dilemma. While reopening the strait is an urgent economic priority for the U.S. and its allies, acceding to Iran's terms would effectively legitimize its control over the channel and provide a new revenue stream, potentially funneling funds to state-aligned military groups like the Islamic Revolutionary Guard Corps (IRGC).
"The White House is walking a tightrope," said a Western diplomat speaking on condition of anonymity. "The immediate economic gain of reopening is enormous, but the long-term cost of rewriting maritime law is potentially higher."
Notably, both Iran and the United States are among the handful of nations that have not ratified UNCLOS. Yet legal experts argue that the freedom of navigation principle is so deeply embedded it constitutes "customary international law," binding on all states.
"Non-ratification does not grant a license to unilaterally impose fees," said Julien Raynaut, head of the French Association of Maritime Law. "The Strait of Hormuz is an international artery, not a national toll road."
Gulf oil producers, led by Saudi Arabia, have publicly welcomed ceasefire efforts but firmly rejected any restrictions on transit. Their leverage is limited, however, as alternative pipeline capacity cannot compensate for the loss of seaborne exports, leaving nearly 12 million barrels per day of crude landlocked.
Some analysts suggest the financial impact of tolls, estimated at roughly $1 per barrel on large tankers, might be absorbed by producers rather than consumers. The Brussels-based Bruegel think tank noted the primary burden would fall on Gulf states, not the global economy. Yet the geopolitical symbolism—and the risk of emboldening other strategic chokepoint claims—remains the core objection.
Voices from the Region:
"This is pure economic piracy wrapped in political rhetoric. The IRGC will just use this money to fund more regional instability. The West cannot be this short-sighted for a temporary drop in oil prices." — Elena Vasquez, security analyst at the Atlantic Strategic Group. Her tone was sharp and dismissive.
"While the legal principles are clear, we must be pragmatic. The strait has been closed for months, causing real economic pain worldwide. A negotiated, transparent fee for maintenance and safety, under international oversight, could be a temporary compromise to get the oil flowing again." — David Chen, senior fellow at the Global Trade Institute.
"The precedent is terrifying for a trading nation like ours. If major straits become revenue centers for coastal states, the entire cost structure of global logistics changes overnight. This must be resisted unequivocally." — Arjun Mehta, shipping magnate based in Mumbai.
"Iran has legitimate reconstruction needs after the conflict. The international community often funds postwar rebuilding; perhaps a multilateral fund, rather than a unilateral toll, could address this without breaking maritime law." — Leila Al-Hadad, professor of Middle Eastern economics at University of Amsterdam.
___
Leicester reported from Paris. Michael Biesecker in Washington contributed to this report.