Iran says Hormuz strait now ‘completely open’

 However, US president Donald Trump said the naval blockade of Iranian ports would remain in force until a deal with Iran was concluded.

The Hormuz strait, through which passes some 20% of the world’s oil and gas supplies, has been closed by Iran and blockaded by the US Navy. (EPA Images pic)

PETALING JAYA:

 Iran has declared the Hormuz strait to be “completely open” following a ceasefire in Lebanon, while US president Donald Trump said he expects a deal to end the Iran war could come “soon”.

The Iranian announcement, in a post on X by foreign minister Seyed Abbas Araghchi, was immediately welcomed by Trump, who said in a social media post: “Thank you!”

However, he said the US naval blockade of Iranian ports would remain in force “until such time as our transaction with Iran is 100% complete”.

Trump said he expects the process to “go very quickly” as most points under discussion in talks between the two countries were already negotiated.

Araghchi said the passage for commercial vessels would be on the coordinated route already announced by Iran’s Ports and Maritime Organization and would remain open for the remainder of the US-brokered 10-day truce between Israeli forces and Iran-backed Hezbollah.

Following Iran’s announcement, Reuters reported that oil prices plunged by about 9% in London. Brent crude futures dropped by US$8.46, or 8.5%, to $90.93 a barrel at 1300 GMT while US West Texas Intermediate crude futures fell $8.87, or 9.4%, to $85.82 a barrel.

The International Monetary Fund this week lowered its forecasts for global growth and warned that the global economy risked tipping into recession if the conflict was prolonged, Reuters reported. - FMT