IMO opposes transit fees in Strait of Hormuz after Trump calls for 20% cargo charge

According to CNBC, the International Maritime Organization (IMO) said Monday it opposes transit fees in the Strait of Hormuz after President Donald Trump demanded ships pay a charge equivalent to 20% of the value of all cargo transported through the strait. The IMO said there is no legal basis for mandatory tolls to transit an international strait. Trump also said the U.S. military will protect ship traffic through Hormuz and ordered the U.S. Navy to reimpose its blockade of Iranian ships. Nordic American Tankers CEO Herbjorn Hansson said in an interview that the proposed 20% fee is unrealistic and that Iran and the U.S. need to agree on how the strait will be administered. Maritime law expert James Kraska of the U.S. Naval War College said tolls are against international law and that Iran cannot unilaterally change traffic routes through Hormuz under relevant conventions. The report said security has deteriorated after Iran attacked multiple commercial ships over the past week, with Tehran demanding ships use a northern route through its territorial waters while the U.S. Navy has been helping ships through a southern corridor along Oman’s coast.