Oman is resisting pressures from the United States to sever its ties with Iran, maintaining that it is engaged solely in discussions with Tehran regarding a future management framework for the Strait of Hormuz, which would adhere to international law. The goal is to implement this framework after consulting with the United Nations’ International Maritime Organization (IMO).
Historically, Oman has served as a neutral mediator in regional conflicts, leveraging its longstanding alliance with the U.S. while sharing responsibility for the Strait of Hormuz. This diplomatic role allows Oman to navigate tensions without taking sides in disputes that have often created divides in the Gulf region.
However, Oman’s neutrality does have its boundaries. The sultanate has openly criticized Israel’s disregard for international law, and recently condemned Iranian assaults on Bahrain and Kuwait in an official statement.
Last week, former President Donald Trump drew attention to Oman by threatening military action against the country during unscripted remarks. Additionally, U.S. Secretary of State Marco Rubio, in a Senate Foreign Affairs Committee hearing, echoed concerns regarding Oman’s affiliations, stating, “There isn’t a country on Earth other than Iran – and maybe Oman – that supports Iran’s actions in the straits.”
Oman has attempted to avoid escalating tensions with the Trump administration. In discussions with U.S. Treasury Secretary Scott Bessent and during meetings at the State Department, Oman’s ambassador to Washington, Talal bin Suleiman al-Rahbi, reassured U.S. officials of the sultanate’s opposition to any toll system and emphasized its commitment to upholding the principle of free navigation.
Iran has indicated that it is willing to ensure that shipping traffic through the Strait of Hormuz returns to pre-war levels within a month as part of any agreement to reopen the strait. However, it has also established the Persian Gulf Strait Authority, which now has U.S. Treasury sanctions, requiring ships to obtain permission for passage through the strait.
To align its proposals with international law and make them more acceptable to Oman, Iran is suggesting a non-discriminatory fee for vessels traversing the strait. Arman Khorsand, head of Iran’s Department of Environment Center for International Affairs and Environmental Conventions, stated that the intention is not merely to charge ships for passage but to generate resources to address environmental issues and compensate for harm caused by actions undermining the principle of innocent passage. He noted that U.S. military activities in the region have resulted in both security and humanitarian challenges, as well as significant environmental damage.
Other Iranian analysts, such as Saeed Laylaz, have cautioned the government against pursuing direct revenue from the strait, warning that it could provoke coalitions against Iran and suggesting that promoting peace in the region would yield greater benefits.
Ali Nikzad, Iran’s deputy speaker of parliament, mentioned that efforts are underway to consolidate various draft laws to clarify the operational framework for maritime governance in the strait, including considerations for whether such measures would be temporary.
However, on April 27, IMO Secretary-General Arsenio Dominguez informed the UN Security Council that there is no legal foundation for any nation to impose fees, tolls, or any discriminatory conditions on international straits.
Some Omani politicians have expressed support for charging for specific legitimate services. Mohammed Suleiman Tamim al-Hinai, a member of Oman’s Shura Council, reiterated the sultanate’s commitment to freedom of navigation in the Strait of Hormuz, as mandated by international maritime law. He noted that Oman has not imposed transit fees but instead offers various maritime services, including protection, search and rescue, and navigation assistance.
The U.S. remains wary that Oman is secretly devising a fee system that would essentially function as tolls. Throughout the conflict, Oman has been assisting vessels, including those from the U.S., by providing navigation support, rescue services, and medical aid to crews.
In contrast, the Persian Gulf Strait Authority is attempting to position the new regime as an accepted entity with which shipping companies must comply. They reported that more than 300 shipping firms had applied for permits, with the primary destinations for departing vessels being Asian nations, particularly China and India, while incoming vessels primarily headed to the United Arab Emirates. U.S. strikes on Iranian radar systems are aimed at crippling Tehran’s ability to enforce its regulations in the strait.
The U.S. Treasury noted on May 29 that U.S. citizens are prohibited from receiving services from the Iranian government, including those related to safe passage guarantees, regardless of any payments made. Under the United Nations Convention on the Law of the Sea, coastal states are permitted to regulate passage through their territorial waters for safety, environmental protection, and maritime order, and may impose charges for specific services rendered to vessels, provided those charges are transparent and non-discriminatory.
U.S. concerns regarding Oman can be traced back to a television appearance by its foreign minister, Badr al-Busaidi, who advocated for more time in negotiations just before the onset of the Israeli-U.S. war, indicating that a potential agreement was close at hand.
