Iran Offers Strait of Hormuz Access in Exchange for Expelling U.S., Israeli Diplomats

Iran is pressuring European and Arab nations with a diplomatic bargaining chip: expel American and Israeli diplomats, and gain passage through the Strait of Hormuz.

Reuters reported on May 9, citing Iranian state media, that the Islamic Revolutionary Guard Corps (IRGC) issued a statement saying "any European or Arab country that expels U.S. and Israeli diplomats from its territory will gain full freedom and authority to pass through the Strait of Hormuz."

The statement comes amid a de facto Iranian blockade of the strait following clashes with the U.S. and Israel, disrupting global oil shipments and sending international crude prices surging.

Iran declared the strait closed to vessel traffic immediately after U.S. and Israeli airstrikes on April 28. The resulting production cuts by major Middle Eastern oil producers pushed international crude prices above $110 per barrel at one point.

The Strait of Hormuz, located between Iran, the United Arab Emirates, and Oman, is the critical chokepoint for Middle Eastern oil exports. Approximately 20% of the world's seaborne crude oil and liquefied natural gas transits through the waterway.

Most commercial vessels have been unable to pass through the strait after the IRGC warned it could attack ships attempting transit. Hundreds of vessels carrying oil and gas are currently anchored on both sides of the strait, awaiting resumption of passage.

The United States has warned of a forceful response. President Donald Trump wrote on Truth Social: "If Iran takes measures to block the flow of oil inside the Strait of Hormuz, it will be hit 20 times harder than before by the United States."

Trump added: "On top of that, we will eliminate easily destroyable targets, making it virtually impossible for Iran to rebuild as a nation. Death, fire, and fury will reign upon them."

However, he noted: "I hope and pray that doesn't happen. This situation is a gift from the United States to China and all other countries that heavily use the Strait of Hormuz. I hope it will be a gesture that is greatly appreciated."

Analysts suggest Trump's renewed focus on the Strait of Hormuz reflects awareness that international oil prices have fallen to the $80-per-barrel range from above $100, partly influenced by his remarks about an early end to the conflict.

The Strait of Hormuz is not currently under legal blockade. Iranian government officials, including the foreign minister, have officially stated there are no plans to formally close the waterway.