Donald Trump was facing humiliation on Wednesday night after Iran secured a deal with Oman to police the Strait of Hormuz.
This comes as Iran’s Foreign Ministry says a deal with Oman on the Strait of Hormuz is being ‘finalised’ and the two countries have agreed on coordinates for routes through the waterway.
However, the US and Israel still pose a danger to ships.
After five months of regional conflict, the prospective deal paves the way for Iran to deny access to Western ships along the key route.
While the proposal excludes tolls or service fees being levied against shipping, such a prospect remains a major fear for oil producers.
The arrangement leaves Donald Trump facing a political backlash at home and abroad as the US finds itself in a weaker position than before the conflict began.
Back in February, the Strait was open to all shipping, with 20 per cent of the world’s oil and liquefied natural gas supplies passing between its banks.
Since then, traffic has ground to a halt as insurers withdrew cover for super-tankers and cargo vessels due to the threat of Iranian attacks.
The long-term framework being finalised last night would give Iran control of inbound shipping while outbound traffic would be jointly managed by Iran and Oman.
Mr Trump is expected to lose support at home over the Gulf crisis while US allies in the region are alarmed over Iran’s expanding influence over shipping routes.
On Wednesday night, Iranian spokesman Esmaeil Baqaei confirmed: ‘The geographical coordinates of the route envisaged by the two sides have been agreed upon and, if certain third parties do not obstruct the process, the joint statement of the two countries… is also in the final review and drafting stage.’
