U.S. President Donald Trump has announced that the U.S. Navy will begin escorting commercial vessels through the Strait of Hormuz starting Monday.
The decision comes after reports that Iran has offered to reopen the strategic waterway, which has been a focal point for global energy security amid rising tensions.
The Strait of Hormuz is a vital route for global oil shipments, with nearly 20% of the world's oil passing through the narrow passage.
The Strait of Hormuz is a vital route for global oil shipments, with nearly 20% of the world's oil passing through the narrow passage.
The U.S. military's involvement in securing the corridor signals a heightened concern over potential disruptions to energy flows.
This development follows recent diplomatic efforts, including discussions between Iran and Oman on a toll system for the strait.
The market implications of this move are significant.