Trump vows to declare Strait of Hormuz US territory amid escalating conflict with Iran

Trump's declaration

President Donald Trump announced during a speech at the new Nassau County police academy in Garden City, New York, on 14 August that he intends to declare the Strait of Hormuz US territory. Trump stated that once the US finishes defeating Iran, which he said is suffering significant losses, he would make the declaration. He claimed the American blockade of Iranian ports remains in effect and that no ship passes through the strait without US permission. Trump has repeatedly asserted in recent weeks that Americans have total control over the strait and intend to maintain it.

When we finish defeating Iran, which we are defeating very strongly... I will soon declare the Strait of Hormuz territory of the United States.

Iran rejects the claims

Iran's central military command dismissed Trump's assertions as baseless lies and fabrications. The Iranian side maintains the strait will remain closed until Washington meets Tehran's conditions, which include ending the war and unfreezing Iranian foreign assets. The Iranian parliament has also considered restricting passage through the strait for ships linked to the United States, Israel, and other states Iran considers hostile.

Traffic through the strait

Data from commodities and maritime transport analytics firm Kpler, cited by CNN, indicate that traffic through the strait has significantly decreased but has not been completely halted. By 12 August, 3,371 vessels had transited the strait over 166 days since the war began, representing approximately 20% of pre-war traffic levels. Reuters reported that only three ships passed through on 14 August, compared with a pre-crisis daily average of over 130 vessels. The strait, located between Iran and Oman, is one of the world's most important routes for oil and gas transport.

Economic measures and military posture

Trump told Fox News on 14 August that he would conduct a strong economic attack on Iran. US Treasury Secretary Scott Bessent said Iran would face economic isolation the world has never seen before, with new measures expected next week, independent of the ongoing strait blockade, according to Reuters.

Iran will be subjected to economic isolation the world has never seen before.

Defense Secretary Pete Hegseth stated earlier that the US can maintain its naval presence in the region indefinitely by rotating vessels, aiming to further restrict Iran's maritime trade capabilities.

Recent incidents and diplomatic stalemate

On 13 August, two ships belonging to Abu Dhabi National Oil Company (ADNOC) were attacked in the strait. The United Arab Emirates blamed Iran for the attacks. No casualties were reported, and the situation on board was brought under control. The US-Iran conflict has lasted five months, costing the United States nearly $38 billion and the lives of 18 American soldiers, according to Pentagon data. A ceasefire was agreed in April through Pakistani mediation, and on 17 June both countries signed an agreement opening the path to negotiations, but talks stalled over security guarantees and freedom of navigation through the strait. Between 8 and 24 July, another series of mutual attacks occurred, with US strikes on targets in Iran and Iranian responses targeting US military facilities in Jordan, Bahrain, and Kuwait.

Energy market impact

Oil prices remain under pressure from geopolitical risk, with Brent and WTI heading toward significant weekly gains. Shipping companies and refineries are seeking alternative supply routes, particularly affecting Gulf states. The disruption has contributed to a sharp reduction in raw material exports from Persian Gulf countries, driving up energy prices on global markets.