Iran Plans New Exclusion Zone Near Strait of Hormuz

Iran plans to establish an "exclusion zone" located outside the Strait of Hormuz, intended to identify and sanction vessels attempting to transit the waterway. Mohsen Rezaei, the new head of Iran’s Supreme National Security Council, made the announcement on Sunday via Iran’s state broadcaster, as reported by Hellenic Shipping News Worldwide.

Details regarding the new zone were limited, but Rezaei indicated that it would be announced in the coming days and weeks. He stated that the zone "will begin from the line of the U.S. naval blockade, extend toward the Strait of Hormuz, and from this side continue into the Persian Gulf." Rezaei added that "any ship that enters this area with the intention of passing through the Strait of Hormuz and is identified will be placed on our sanctions list."

The announcement by Tehran follows a U.S. strike on three Iranian oil tankers, which occurred a day after Iran reportedly launched ballistic missiles at U.S. warships. Experts cited in the Hellenic Shipping News Worldwide article described these missile launches as a "dangerous escalation" following prior Iranian attacks on commercial shipping.

U.S. Blockade and Regional Tensions

The precise location Iran defines as the U.S. naval blockade remains unclear. This blockade, reportedly in place for weeks, aims to prevent Iran from shipping its oil and targets Iranian ports. The U.S. military has stated that over 20 warships support the blockade, which by Sunday had reportedly redirected 92 commercial ships and disabled three, according to the source. The U.S. has been implementing new measures to increase economic pressure on Iran following the collapse of negotiations and ongoing intermittent conflict.

Iran, meanwhile, continues to target some vessels attempting to transit the Strait of Hormuz. The source noted this has become a significant source of leverage for Tehran in the conflict, which commenced on 28 February with U.S. and Israeli strikes. Iran claimed on Sunday to have struck an unmanned U.S. vessel near the Strait, a claim dismissed by the U.S. military as a "total lie." Attacks between the U.S. and Iran resumed last week after a month of relative calm, with the Strait of Hormuz and Iran’s southern coast again becoming targets. Earlier in the week, a U.S. bombardment reportedly killed at least five people, drawing attention back to the area where a school was hit during the war's initial stages.

Oil Flows and Sanctions Circumvention

The Trump administration is reportedly employing a dual strategy, responding militarily to attacks in the Strait while also targeting foreign financial institutions handling Iranian funds. Despite this, Iran’s new senior leaders, including Rezaei, have indicated resilience against sanctions, having found methods to circumvent them and the U.S. port blockade to ensure oil reaches buyers. This is aimed at alleviating growing economic pressures on the country.

Regarding the failed negotiations with the U.S., Rezaei expressed distrust not only towards the U.S. but also towards the mediators. He noted that a memorandum of understanding signed in mid-June began to unravel within days, with both sides accusing each other of violations. Rezaei stated, "We had trusted our friends in Pakistan, Qatar or Oman, thinking that since they had stepped in as mediators, one of a mediator’s responsibilities is that if one side violates the agreement, they should stop them." He added, "We are now pursuing diplomacy with guarantees."

The Strait of Hormuz is vital for global oil and natural gas shipments, traditionally viewed as an international waterway before the conflict. U.S. Energy Secretary Chris Wright said on Sunday that approximately 9 million barrels of oil per day are transiting the Strait, potentially easing energy price pressures. This estimate, however, appeared to exceed average flows over the previous 28 days, according to TankerTrackers.com and other sources cited by Hellenic Shipping News Worldwide. Wright told CNN that with additional oil flowing via regional pipelines, flows are "probably two-thirds or more of preconflict flows." These flows rely on the U.S. Navy’s presence for escorting tankers and providing protection. Wright anticipated eventual support from other nations for these efforts.

Conversely, Iran’s Rezaei claimed in his state TV interview that "every day we are selling one million, one and a half million (barrels), as if Iran’s oil production and trade are continuing as usual."