(Bloomberg) — Shipping through the Strait of Hormuz stalled over the weekend after Iran reversed its decision to reopen the critical waterway, reimposing restrictions and warning vessels against transit.
The move follows a brief reopening announced Friday during a ceasefire tied to the Israel-Hezbollah conflict. Iranian officials now say the strait will remain under strict military control as long as a U.S. blockade of Iranian-linked shipping continues.
Iranian forces warned ships not to approach the strait, with reports indicating vessels were awaiting clearance or turning back amid heightened security risks. The escalation effectively halts traffic through a chokepoint that typically carries roughly one-fifth of global oil and liquefied natural gas supplies.
The reversal undermines recent optimism that easing tensions could restore flows and stabilize markets. Oil prices had retreated late last week on expectations of a reopening, but renewed disruption has reintroduced uncertainty around supply availability and shipping timelines.
The standoff over Hormuz remains a central issue in ongoing U.S.-Iran negotiations, alongside disputes over nuclear policy and regional conflicts. While officials on both sides have pointed to progress in talks, the latest developments highlight the fragility of any potential agreement.
Adding to tensions, the U.S. is reportedly preparing further enforcement actions targeting Iran-linked shipping, while Iran has signaled it will maintain restrictions until its own exports can move freely.
The latest escalation also coincides with signs that the Lebanon ceasefire—linked to the initial reopening—may be weakening, further complicating efforts to stabilize the region.
Any sustained disruption to Hormuz transit is likely to continue driving volatility in global oil markets, as operators and traders assess the risks of moving cargo through one of the world’s most critical energy corridors.
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