In Dubai, United Arab Emirates, President Donald Trump reversed his previous stance regarding other countries paying Washington for navigating the Strait of Hormuz. He now suggests that these nations engage in trade and investment agreements instead. Trump announced on social media that, after productive discussions with Middle Eastern leaders, he has decided to replace the 20% Reimbursement Tariff with trade agreements involving Persian Gulf States investing in the United States. He stated that these investments “will be massive,” though it remains unclear if these are additional commitments beyond those announced after his previous visit to the region.
The United States launched an attack on Iran early Tuesday, following Trump’s statement about reinstating a blockade on the Middle Eastern country concerning the Strait of Hormuz. Iran retaliated by attacking U.S. allies in the region. These events shattered a provisional agreement intended to halt hostilities, reopen the crucial energy supply route, and allow negotiators to work on a permanent end to the conflict. Instead, the region finds itself embroiled in renewed fighting, threatening the global economy and prompting warnings to commercial airlines. If no diplomatic solution is reached swiftly, the situation might escalate into a full-scale war.
The conflict centers around the strait, through which one-fifth of the world’s traded crude oil and natural gas once passed during peacetime. Iran effectively closed the passage during the war by targeting and threatening ships, leveraging this tactic to raise the prices of oil, fertilizers, and other goods at a time when global leaders were already grappling with the rising cost of living.
The provisional agreement aimed to reopen the route, yet Iran attacked vessels traveling through the strait under U.S. military supervision, beyond Tehran’s control. The United States now threatens to forcibly reopen the strait, which experts say would require a significantly larger naval presence, potentially involving tens of thousands of U.S. troops on Iranian soil. Trump may reverse course, as he has done previously.
Renewed clashes have erupted across the Middle East. The U.S. Central Command reported strikes on multiple areas in Iran, targeting coastal defense systems, missile and drone sites, and maritime capabilities. Iran acknowledged these attacks but has not provided casualty or damage assessments. “These attacks will continue imposing a high cost on Iranian forces and degrade their ability to target civilians and commercial shipping in the Strait of Hormuz,” stated the U.S. military.
In response, Iran attacked Bahrain, Jordan, and three oil tankers traveling through the strait. The Kuwaiti military reported an aerial attack but withheld further details. Two tankers, connected to the UAE, caught fire temporarily. The UAE Ministry of Defense indicated the Mombasa and Al Bahiyah tanker attack resulted in one maritime death and eight injuries. The UAE threatened retaliation.
A Dutch shipping company reported that one of its tankers was attacked near Oman in the Arabian Sea. Stolt Tankers stated the Stolt Magnesium was targeted early Tuesday, around the same time UAE-linked tankers were attacked. All sailors aboard were accounted for after a fire erupted in the ship’s engine room during the attack.
The Iranian Revolutionary Guard claimed responsibility for attacking the UAE-linked tankers, asserting the vessels ignored repeated warnings. Iran has targeted ships using another route near Oman, outside its territorial waters. Hours after the U.S. ended its assault campaign, the Iranian city of Bushehr, located in the Persian Gulf, was struck in at least four locations, reported by state news agency IRNA, raising concerns that Gulf Arab states might retaliate against Iran.
Bahrain faced renewed attacks early Tuesday as Iran retaliated for the latest round of U.S. airstrikes. Bahrain, home to the U.S. Navy’s 5th Fleet, activated missile alert sirens thrice, urging the public to seek shelter. The Jordanian military reported intercepting four Iranian missiles. Jordan hosts U.S. forces and has faced recent Tehran attacks.
The European Union Aviation Safety Agency warned airlines against operating in the airspace over Bahrain, Kuwait, Qatar, and the UAE, as well as the Gulf of Oman. Their bulletin stated that “unpredictable military actions, combined with potential use of missiles, drones, combat aircraft, and air defense systems, create a high risk for civil flights.”
Provisional deal in jeopardy. Recent firefights have already cast further doubt on the provisional peace agreement, now nearly halfway through the 60-day negotiation period for a final deal, which also needs to address Iran’s contentious nuclear program and other issues. Yet, Trump’s promise to impose a blockade endangers its viability.
Washington had lifted a blockade imposed mid-April as part of the agreement. The U.S. military asserts it will reinstate the blockade at midnight Wednesday in Dubai. Trump declared on social media, “We will RESTORE IRANIAN BLOCKADE.” He also mentioned that the United States would charge tolls equivalent to 20% of the value of vessel cargoes to assist in covering costs necessary to ensure safety and protection. This policy shift contrasted with Washington’s recent promises that the strait would remain open to all without tolls, offered by Secretary of State Marco Rubio during a regional visit.
Under the provisional agreement, Iran consented that passage through the strait would remain toll-free for 60 days; however, the deal left future developments unclear. Iran claims the right to manage traffic through the strait and possibly charge fees. The U.S. disputes this assertion. Any U.S. or Iranian attempts to impose charges would breach global navigation freedom norms and likely heighten tensions, potentially further disrupting the global economy.
The price of Brent crude reached a one-month high on Tuesday, exceeding $87 per barrel, still below the nearly $120 peak during the earlier war’s height, yet threatening to increase costs everywhere.
Mediators strive to prevent a return to total war. Regional mediators, still attempting to bring the U.S. and Iran back to negotiations, noted a Pakistan-led mediation effort working around the clock to revive the ceasefire. Officials, speaking anonymously about the sensitive diplomatic process, revealed that Lebanese and Israeli delegations planned to meet in Rome Tuesday to continue U.S.-mediated talks.
Following the U.S. and Israel launching a war on February 28, the Lebanese political and military group Hezbollah joined the conflict in support of its ally Iran, initiating attacks on Israel, which responded with a ground invasion of Lebanon. Last month, Lebanon and Israel announced a “framework agreement” outlining Israeli troop withdrawal from southern Lebanon in exchange for Hezbollah’s disarmament.
Nonetheless, on the ground, the agreement has stalled. Before escalating fighting around the strait, Israel’s war against Hezbollah in Lebanon repeatedly threatened to derail the provisional agreement. Although a truce currently exists in Lebanon, its stability remains uncertain if the U.S. and Iran return to full-scale warfare.
Reporter Samy Magdy contributed additional insights from Cairo.
This story was translated from English by an AP editor with AI tool assistance.