U.S. President Donald Trump has withdrawn his proposal to impose a 20 percent "reimbursement" fee on cargo vessels transiting the Strait of Hormuz.
The reversal marks a significant shift in Washington's strategy toward the critical waterway, replacing the punitive toll concept with a new emphasis on securing investment deals with Gulf Cooperation Council states.
The decision removes a major source of uncertainty for global shipping and energy markets.
The proposed fee had raised concerns among traders and logistics firms about potential disruptions to the flow of crude oil and liquefied natural gas through the narrow strait, which handles roughly a fifth of the world's oil consumption.
By dropping the charge, the administration signals a preference for diplomatic and economic engagement over direct fiscal pressure on transit traffic.
According to Yonhap News Agency, the pivot reflects a broader recalibration of U.S. policy in the Middle East.