Oil Tankers Use New Route Through Strait of Hormuz

Several oil tankers have begun using a new route through the Strait of Hormuz, a vital waterway, despite Iranian threats against vessels using the path. The alternative passage, promoted by a U.N. maritime agency, runs along the coast of Oman and could ease global economic pressure and reduce Iran’s leverage in U.S. talks. The U.S. and Iran are negotiating details of a 60-day interim deal, with the U.S. committed to the new route. Oil prices have fallen near prewar levels, and transit traffic is recovering, with 125 vessels crossing the strait last week, up from 33 the week before. Iran has warned that the new route is ‘unacceptable and completely dangerous’ and that only Iran-designated channels are safe routes through the strait. The U.S. Secretary of State, Marco Rubio, has assured Gulf Cooperation Council foreign ministers that their interests will be protected in any agreement with Iran. The new route was used by several tankers, including the Stoic Warrior vessel, which sailed along the coast of the United Arab Emirates and Oman. The shipping company Maersk also reported that its containership, the Maersk Baltimore, and another chartered vessel had made it out of the strait. The increased traffic through the strait has been seen as a sign that the situation is improving, with oil prices briefly dipping below $73 per barrel on June 25. However, tensions persist, with Iran warning that violators of the Iran-designated channels will be dealt with, and the U.S. and Iran still debating terms of an interim peace deal.