Back to today’s briefing

Story perspectives

Iran Imposes $2 Million Yuan Strait Fees, US Threatens Sanctions

5/18/2026

50 8 Full Breakdown

Summary

Story summary

Iran's Supreme National Security Council launched the Persian Gulf Strait Authority and opened an X account to collect transit fees for vessels in Strait of Hormuz.
Ship operators must email vessel details, receive a permit after payment, and may pay $2 million per transit in Chinese yuan.
The United States deems the fee regime illegal under the UN Convention on the Law of the Sea and warned payments could trigger sanctions.

History

Historical Context

1994 UNCLOS, finalized after the 1973-82 conference and now binding 169 states, guarantees innocent and transit passage through international straits. Iran’s 2024 Persian Gulf Strait Authority, imposing a 2 million-yuan fee per vessel, breaches that non-tariff rule; the United States calls it illegal and the International Maritime Organization may pursue sanctions.

1 of 2

Story summary

Iran's Supreme National Security Council launched the Persian Gulf Strait Authority and opened an X account to collect transit fees for vessels in Strait of Hormuz.
Ship operators must email vessel details, receive a permit after payment, and may pay $2 million per transit in Chinese yuan.
The United States deems the fee regime illegal under the UN Convention on the Law of the Sea and warned payments could trigger sanctions.

1 / 2