The US has warned shipping companies against paying Iran for safe passage in the Strait of Hormuz. Shipping companies that pay will face sanctions, according to a communication from the US Office of Foreign Assets Control (OFAC).
Iran has restricted traffic through the Strait of Hormuz since the onset of the war by targeting vessels. In reciprocation, the US has enforced a naval blockade on Iranian ports, intercepting vessels entering and leaving Iranian ports. Iran has reported that it is collecting tolls from ships that want to navigate the strait freely.
The OFAC has warned against payments that may involve cash, offsets, informal swaps, digital assets, charitable donations, and in-kind payments. Non-US citizens will face criminal and civil liability if payments force US entities to violate the sanctions.
The US Treasury has placed sanctions on Iranian foreign exchange houses that have facilitated the conversion of oil revenue to usable currencies. The treasury has promised to pursue Iran’s ability to generate and repatriate funds.
The Strait of Hormuz is a critical shipping channel for world trade, especially oil and goods such as food, medical, and technological supplies.