Overview The Iranian state media announced on 30 March 2026 that a parliamentary commission has cleared a plan to levy tolls on all vessels transiting the Strait of Hormuz . The move is framed as a sovereign economic measure and is coupled with a ban on ships from the United States and the "Zionist regime" (Israel). Cooperation with Oman on the opposite bank of the strait is also part of the proposal. Key Developments Introduction of a rial toll system for all commercial traffic. Explicit prohibition of American and Israeli vessels from using the waterway. Clause preventing any foreign country from imposing new sanctions on Iran. Coordination with Oman to manage the toll collection and navigation safety. Important Facts In peacetime, roughly 20% of global crude oil and LNG passes through the strait. Since the onset of the war in West Asia , vessel crossings have dropped by about 95% (data from maritime‑intelligence firm Kpler ). The toll plan is presented as a means to offset revenue losses caused by the sharp decline in transit traffic. Iran’s move could reshape shipping routes, pushing tankers toward the longer route around the Cape of Good Hope or through alternative chokepoints such as the Bab el‑Mandeb. UPSC Relevance Geopolitics & International Relations (GS1/GS2) : The strait is a classic example of a strategic maritime chokepoint; understanding its role helps answer questions on energy security and regional power dynamics. Economic Policy (GS3) : The toll reflects a sovereign fiscal tool to generate revenue amid sanctions, illustrating how states use maritime taxation. Security Studies (GS2) : The ban on US and Israeli ships signals escalation in maritime security postures, relevant for questions on naval strategy and deterrence. Energy & Environment (GS3) : A 95% drop in transits impacts global oil prices and LNG supply, linking to topics on energy markets and climate considerations. Way Forward Monitor how the toll is operationalised and whether international shipping firms seek exemptions. Assess the response of major oil‑importing nations; potential rerouting could affect global freight costs. Track diplomatic engagements between Iran and Oman, as their cooperation will be crucial for safe navigation. Watch for retaliatory measures by the United States, Israel, or allied nations, which could further tighten sanctions regimes.