Blockade or transit fee, which makes more economic sense? | Daily Sun

Added: 2026-05-25

[00:00:00]The Strait of Hormuz is currently operating under severely restricted maritime traffic [music] with Iran effectively exercising transit control through the Islamic Revolutionary Guard Corps, IRGC. [music] Under normal conditions, approximately 120 to 140 vessels pass through the strait each day. That number has now fallen significantly with only a limited number of authorized ships being allowed passage. Tehran has reportedly demanded transit fees of up to $2 million per vessel. At the same time, ships stuck under the blockade are incurring a substantial daily operational costs [music] including charter rates, crew wages, loan repayments, insurance, and war risk premiums. This has raised a critical question. What is more economically viable and practical, paying a one-time transit fee or absorbing the continuously accumulating cost of remaining stranded? According to analysts, in certain scenarios, paying Iran for passage may be less expensive than enduring a prolonged blockade, particularly when delays extend over longer periods. However, the decision is not purely economic. Shipping companies must also factor in international sanctions, political risk, and legal constraints.

[00:01:06]>> [music] >> Currently, only a fraction of normal maritime traffic is moving through the Strait of Hormuz, resulting in significant disruptions to global oil and [music] LNG supply chains and sharply rising costs. While international law guarantees [music] freedom of navigation through natural straits, the reality on the ground presents a starkly different picture.

[00:01:25][music] By comparison, artificial waterways such as the Panama Canal and the Suez Canal operate under structured [music] toll systems. However, the Strait of Hormuz, being a natural waterway shared by multiple jurisdictions, makes any direct [music] toll regime legally and politically contentious. Experts suggest that while a negotiated service fee or transit arrangement could be a potential future framework, the current political environment makes even such compromises difficult to achieve.