US President Donald Trump has declared the Strait of Hormuz “open”, claiming that the US Navy now has control over the strategic waterway and is deciding which ships can pass through it.

The statement comes amid continued tensions with Iran and uncertainty over the future of commercial shipping in the region. Trump made the comments on Monday while speaking to reporters. He said the US Navy had established a blockade around the Strait and was allowing selected vessels to move through the route.

The Strait of Hormuz is one of the world’s most important shipping routes because large volumes of crude oil and other energy products move through it. Any disruption can therefore have a direct impact on global oil prices, shipping costs and inflation.

However, Trump’s statement comes despite Iran maintaining that the waterway will remain closed until Washington accepts Tehran’s conditions. Iran’s Supreme National Security Council and the Islamic Revolutionary Guard Corps repeated their position just a day before Trump’s remarks.

The disagreement creates uncertainty for shipping companies and energy markets. Even if the US says the route is open, commercial operators may remain cautious if safe passage cannot be guaranteed. Any prolonged restrictions could also force ships to take longer routes, increasing transportation costs.

Trump also warned that the US has the ability to significantly escalate the conflict with Iran. He separately said Washington would seek compensation from Tehran during any future peace negotiations, after Iran demanded compensation for damage caused during the conflict.

For global markets, the situation around Hormuz remains important. A stable reopening of the waterway could ease concerns over oil supplies and shipping, while renewed military escalation could push energy prices higher and add pressure to inflation.

The coming days will be crucial in determining whether Trump’s declaration translates into normal commercial shipping or remains a disputed claim between Washington and Tehran.

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