U.S. President Donald Trump has ordered the United States Navy to prepare to escort oil tankers through the Strait of Hormuz if necessary. This follows Iran’s declaration that it has closed the critical waterway and will target vessels attempting to pass.
In a statement posted on Truth Social on Tuesday, March 3, Trump announced that immediate economic and military steps would be taken, effective as of that day, to protect maritime trade and energy shipments transiting the Gulf region.
The president said he had directed the United States International Development Finance Corporation (DFC) to provide political risk insurance. He also called for financial guarantees to safeguard maritime trade passing through the Gulf.
“Effective immediately, I have ordered the United States Development Finance Corporation (DFC) to provide, at a very reasonable price, political risk insurance and guarantees for the financial security of all maritime trade, especially energy, traveling through the Gulf,” Trump wrote.
Also Read: Iran Checkmates Trump by Moving Millions of Oil Barrels Before Imminent Attack
He added that the insurance and guarantees would be “available to all shipping lines.”
“If necessary, the United States Navy will begin escorting tankers through the Strait of Hormuz as soon as possible. No matter what, the United States will ensure the free flow of energy to the world.”
Iran declares Strait of Hormuz closed
The escalation follows Iran’s announcement on Monday that it has shut the Strait of Hormuz. This narrow maritime corridor connects the Persian Gulf with the Gulf of Oman and the Arabian Sea.
An Iranian Revolutionary Guards senior official said that the strait is closed and warned that Iran would fire on ships attempting to pass.
Iranian media reported that General Sardar Jabbari stated via a Telegram post: “We will burn any ship that tries to pass through the Strait of Hormuz.”
He further warned that Iran would attack oil pipelines and prevent exports from leaving the region.
“We will also attack oil pipelines and will not allow a single drop of oil to leave the region. Oil price will reach $200 in the coming days,” he said.
The threat came after Iran issued an initial warning to ships that it was closing the export route days earlier.
The U.S. Navy’s Fifth Fleet is headquartered in Bahrain. It maintains a significant presence in the Gulf region and has previously conducted maritime security operations in and around the Strait of Hormuz. It is bordered by Iran to the north and Oman and the United Arab Emirates (UAE) to the south.
It serves as the only marine outlet for several major oil producers in the Gulf, including Iran, Saudi Arabia, Iraq, Kuwait, and the UAE.
In 2024, about one-fifth of global oil consumption—around 20 million barrels per day—transited the waterway. Hundreds of tankers typically pass through the strait at any given time.
Oil prices surge
Following the warning by Iran, Brent crude, the international benchmark, surged during trading and at one point was up approximately 8% on the day.
Also Read: Oil Prices to Stay High for Days as Middle East Conflict Disrupts Major Supplier
Prices later pared gains following Trump’s announcement. They remained elevated—about 2.9% higher and just under $80 per barrel ahead of the U.S. market close.
In the United Kingdom, gas prices rose to a three-year high as traders responded to the potential disruption of global oil flows. Oil prices also hit a 13-month high following news of the Strait’s closure.
The partial reversal in crude’s gains came after Trump’s statement signaled U.S. willingness to deploy naval escorts. He also promised financial backing to shipping firms, measures seen as aimed at stabilizing energy markets.
His announcement follows recent U.S. and Israeli strikes on Iran on February 28, which were described as targeting leadership structures. Trump has publicly stated he supports efforts aimed at changing Iran’s ruling leadership.
In response to those strikes, Iran launched missile barrages at Israel and Gulf states hosting U.S. military bases, including Qatar, Kuwait, and Bahrain. Tehran also fired missiles toward the United Arab Emirates, Saudi Arabia, and Oman, according to regional reports.
Follow our WhatsApp Channel and X Account for real-time news updates.
![Tsc Jss Teacher Qualifications 2026: Kcse Grades, Degrees And Subjects Required [Full List]](https://cdn.thekenyatimes.com/2026/07/Stakeholders-TSC-X-2026-06-09-36.png "Tsc Addresses Circular On Deployment Of Degree And Diploma Teachers To Junior School")
