Topic analysis

The Suez and Panama canals charge tolls. Why is Iran’s Hormuz fee triggering global outrage?

Iran has drawn widespread international condemnation for imposing transit fees of up to $2 million per vessel passing through the Strait of Hormuz, a critical global energy corridor, with critics noting the fees violate UN Convention on the Law of the Sea rules for international straits, unlike legally authorized tolls for the man-made, state-maintained Suez and Panama Canals. The US, China, Gulf states, and major global shipping firms oppose the fees, with Washington threatening secondary sanctions against companies that pay, as the dispute complicates ongoing US-Iran peace talks focused on reopening the strait to unencumbered international navigation.