Economy April 27, 2026 12:55 PM

Rubio Says U.S. Will Not Accept Iranian Control of Strait of Hormuz

After talks between Washington and Tehran collapsed, U.S. rejects any arrangement that lets Iran police or levy fees on maritime transit

By Jordan Park
Rubio Says U.S. Will Not Accept Iranian Control of Strait of Hormuz

Secretary of State Marco Rubio said Monday that the United States will not accept a situation in which Iran controls passage through the Strait of Hormuz, responding to reports that Tehran proposed conditions for reopening the waterway after negotiations between the two countries collapsed over the weekend. Rubio argued that Iran cannot be allowed to dictate which vessels transit the strait or impose payments for passage.

Key Points

  • U.S. leadership rejects any arrangement allowing Iran to police or charge for passage through the Strait of Hormuz - impacts include energy, shipping, and defense sectors.
  • Reports indicate Iran proposed reopening the strait and ending the war while delaying complex nuclear discussions after weekend negotiations collapsed.
  • The strait, which carries about one-fifth of global oil and LNG exports, has been closed since U.S. and Israeli attacks on Tehran in late February and remains subject to a U.S. naval blockade.

Secretary of State Marco Rubio said Monday that the United States will not accept Iran retaining control over passage through the Strait of Hormuz, following the cancellation of negotiations between Washington and Tehran over the weekend.

Speaking on Fox News, Rubio addressed reports that Iran had offered to reopen the strait after talks fell apart. He said the United States cannot agree to any arrangement in which Iran determines which ships are permitted to transit the waterway or charges fees for passage.

"If what they mean by opening the straits is, 'yes, the straits are opened, as long as you coordinate with Iran, get our permission, or we will blow you up and you pay us,' - that's not opening the straits," Rubio said. "They cannot normalize - nor can we tolerate them trying to normalize - a system in which the Iranians decide who gets to use an international waterway and how much you have to pay them to use it."

According to the reports that emerged after the talks collapsed, Iran submitted a proposal to the U.S. to reopen the Strait of Hormuz and end the war while postponing more complex discussions about its nuclear program. U.S. officials, including President Donald Trump, have said Iran's nuclear activities were the main reason for the U.S. and Israeli military action against Tehran.

The Strait of Hormuz is a critical chokepoint for energy shipments, typically handling about one-fifth of global oil and liquefied natural gas exports. The waterway has been closed since the U.S. and Israel attacked Tehran in late February. The initial shutdown followed Iranian threats, and the U.S. has since enforced a naval blockade intended to prevent vessels with links to Iran from using the route.

Despite a ceasefire that has largely held since early April, the strait has remained closed. The current standoff over control of transit through this international waterway underscores persistent tensions between Washington and Tehran after the breakdown of direct negotiations.


Key points

  • U.S. leadership, as stated by Secretary of State Marco Rubio, rejects any arrangement that allows Iran to police or levy payments for passage through the Strait of Hormuz - sectors affected include energy, shipping, and defense.
  • Reports indicate Iran offered to reopen the strait and seek an end to the war while deferring tougher talks on its nuclear program - the proposal emerged after negotiations collapsed over the weekend.
  • The Strait of Hormuz typically carries about one-fifth of global oil and LNG exports, and it has been closed since attacks on Tehran in late February; a U.S. naval blockade is in place to stop Iran-linked vessels from transiting.

Risks and uncertainties

  • Uncertainty over control of the strait poses risks to global energy flows and markets, notably oil and LNG - disruptions could affect energy prices and related sectors.
  • Ongoing naval enforcement and the closure of a major shipping lane raise risks for international shipping and logistics, creating potential disruptions to trade routes and insurance costs.
  • The breakdown of talks and differing views on reopening terms create diplomatic uncertainty, with implications for defense deployments and regional security planning.

Risks

  • Disruption to global energy shipments and potential pressure on oil and LNG markets due to control disputes over the Strait of Hormuz - impacts energy and commodity markets.
  • Continued closure and naval enforcement increase shipping and logistical risks, potentially affecting freight flows and insurance costs - impacts shipping and trade sectors.
  • Diplomatic and security uncertainty following collapsed talks may sustain heightened defense deployments and regional tensions - impacts defense and geopolitical risk assessments.

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