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Iran and Oman are close to finalizing a framework governing commercial shipping through the Strait of Hormuz, a move that could significantly alter control over one of the world’s most vital energy trade routes as tensions between Tehran and Washington remain high.
According to Reuters, a proposed agreement would give Iran authority over ships entering the Gulf through the strategic waterway, marking one of the biggest diplomatic concessions to Tehran since the outbreak of the five-month conflict between Iran and the United States. There was no immediate comment from Washington on the reported proposal.
Iran’s Deputy Foreign Minister Kazem Gharibabadi confirmed that Tehran and Muscat had made significant progress in bilateral talks over navigation through the strait, although he stressed that any agreement would not automatically reopen the waterway to commercial traffic. He also rejected reports of direct negotiations with the United States, saying discussions were taking place solely between Iran and Oman.
If implemented, the arrangement would represent a major shift in the regional balance of power. Before the conflict, ships transited the Strait of Hormuz freely without fees or Iranian control. Tehran has indicated that both inbound and outbound vessels would pass through Iranian waters under the proposed framework.
At the same time, Iran has warned Gulf Arab states that any renewed U.S. military strike on its territory would prompt retaliatory attacks on critical energy infrastructure across the region, according to regional sources. Tehran has also continued targeting commercial vessels passing through the Strait of Hormuz without its authorization, while Yemen’s Iran-backed Houthi rebels claimed responsibility for a missile attack on the Saudi oil tanker Daisy in the Gulf of Aden, forcing it to alter course.
Despite the heightened tensions, U.S. President Donald Trump said he still preferred a diplomatic solution.
“I’d rather make a deal because I don’t want to kill people,” Trump said during a rally in Las Vegas, while adding that military action remained an option if negotiations failed.
U.S. Vice President JD Vance also cautioned that any negotiations with Tehran would be difficult, describing the Iranian leadership as divided and saying future talks were likely to be “messy.”
Elsewhere in the region, U.S.-mediated negotiations between Israel and Lebanon ended earlier than expected on Wednesday as Israeli forces carried out fresh strikes in southern Lebanon, underscoring the broader instability across the Middle East.
