What Happened
- Iran has moved to formalise its sovereign control over the Strait of Hormuz, with its parliament working on legislation to institutionalise oversight of the waterway, including the right to impose transit fees on vessels.
- The United States has been deploying additional combat forces to the region, signalling readiness to contest Iran's attempt to restrict freedom of navigation.
- Since the onset of US-Israeli strikes on Iran beginning late February 2026, the IRGC (Islamic Revolutionary Guard Corps) has effectively halted or heavily disrupted shipping through the strait, with tanker traffic dropping by approximately 70% at its worst.
- Iran has articulated its conditions for ending hostilities — these include formal recognition of its sovereignty over the Strait of Hormuz, war reparations, and security guarantees against future attacks.
- The US rejected Iran's preconditions, while Iran denied that back-channel negotiations cited by the US side had actually occurred.
- Iran has selectively allowed passage for vessels from non-Western aligned countries, notably continuing oil sales in yuan, while blocking ships from the US, Israel, and their allies.
Static Topic Bridges
Strait of Hormuz — The World's Most Critical Energy Chokepoint
The Strait of Hormuz is a narrow waterway located between Iran to the north and Oman and the UAE to the south, connecting the Persian Gulf with the Gulf of Oman and the Arabian Sea. At its narrowest, it is approximately 21 nautical miles wide, with shipping lanes in each direction only about 2 miles wide. It is the single most important maritime chokepoint for global energy trade.
- Approximately 20 million barrels of crude oil and petroleum products transited the strait daily in 2024, accounting for roughly 20% of global petroleum liquids consumption.
- About 20% of the world's liquefied natural gas (LNG) also passes through the strait annually.
- Countries exporting through the strait include Saudi Arabia, Iraq, UAE, Kuwait, Bahrain, and Qatar.
- India imports approximately 50% of its crude oil from Gulf countries transiting the strait.
- There is no viable pipeline alternative that can replace the full volume of Hormuz-transiting oil.
Connection to this news: Iran's move to formally legislate sovereign control and levy transit fees directly challenges the international legal consensus on freedom of navigation through international straits, threatening the global oil supply chain.
Transit Passage Rights Under UNCLOS
The United Nations Convention on the Law of the Sea (UNCLOS), adopted in 1982 and entering into force in 1994, establishes the legal framework governing international straits. Articles 37–44 enshrine the right of "transit passage" through straits used for international navigation — a right that cannot be suspended by the bordering state.
- Article 37 defines straits used for international navigation, including the Strait of Hormuz.
- Article 38 guarantees all ships and aircraft the right of transit passage, which shall not be impeded.
- Article 44 prohibits coastal states from hampering transit passage or suspending it.
- Although neither Iran nor the United States is a party to UNCLOS, the transit-passage regime is widely regarded as customary international law binding on all states.
- Iran has historically contested UNCLOS provisions, asserting that the strait falls partly under its territorial sea jurisdiction.
Connection to this news: Iran's attempt to formalise fees and control over the strait is fundamentally at odds with the UNCLOS transit-passage regime, making this a landmark test of international maritime law and customary norms.
IRGC Navy — Iran's Asymmetric Maritime Force
The Islamic Revolutionary Guard Corps (IRGC) is a multi-service force established in May 1979 following the Iranian Revolution, answerable directly to the Supreme Leader rather than the conventional military chain of command. Its Navy branch, the IRGC Navy (IRGCN), is operationally distinct from Iran's regular navy (Artesh) and focuses specifically on the Persian Gulf and Strait of Hormuz.
- The IRGC Navy has approximately 20,000 personnel and is equipped with fast-attack craft, anti-ship missiles, naval mines, and drones — a "guerrilla navy" doctrine centred on asymmetric warfare.
- It employs swarm tactics (large numbers of small fast boats overwhelming a larger force), a doctrine developed during the Iran-Iraq War "Tanker War" phase in the 1980s.
- The IRGCN has primary operational control over the Persian Gulf, functioning as a de facto coast guard in the strait area.
- It has previously seized commercial tankers, conducted mine-laying operations, and harassed US naval vessels in the Gulf.
- The US designated the IRGC as a Foreign Terrorist Organization in April 2019.
Connection to this news: The IRGC Navy is the instrument through which Iran has enforced its Hormuz strategy — seizing, warning off, and attacking vessels — making its command structure and doctrine central to understanding the current crisis.
Key Facts & Data
- 20 million barrels per day: average oil flow through the Strait of Hormuz in 2024.
- ~70%: drop in tanker traffic through the strait at the peak of disruptions in March 2026.
- 21 confirmed attacks on merchant vessels by Iran as of mid-March 2026.
- Iran's five conditions for ceasefire include recognition of Hormuz sovereignty, war reparations, and security guarantees.
- UNCLOS transit-passage (Articles 37–44) prohibits suspension of innocent passage through international straits.
- The IRGC was established in May 1979 and designated a terrorist organisation by the US in 2019.
- India's crude oil imports from Gulf countries transiting Hormuz: approximately 50% of total imports.