Donald Trump announced on Sunday an initiative that will begin on Monday to help ships stranded in the Strait of Hormuz, closed by Iran. The American president, however, provided few details.
In a message posted on social media, he stated that “neutral and innocent countries have been affected by the war in Iran, and we have assured these countries that we will guide their ships safely out of these restricted waterways, so that they can resume their activities freely and effectively.”
The “Freedom Project” will start Monday morning in the Middle East, said President Trump, adding that his representatives are in discussions with Iran, which could result in something “very positive for everyone.”
Iran’s control of the strait, imposed after the war was triggered by the United States and Israel on February 28, has shaken global markets.
Mr. Trump spoke a few hours after Iran announced it was reviewing the American response to its latest proposal to cease hostilities, emphasizing that the negotiations do not concern nuclear issues.
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Tehran is firm on the Strait of Hormuz
President Trump proposed a plan to reopen the Strait of Hormuz, at the mouth of the Persian Gulf, through which about a fifth of the world’s oil and natural gas trade usually passes, as well as the fertilizers that farmers worldwide desperately need.
Iran’s grip on the strait, imposed after the war was triggered by the United States and Israel on February 28, has shaken global markets.
The British military monitoring organization said on Sunday that ships near Ras el Khaimah, the northernmost emirate of the United Arab Emirates, near the Strait of Hormuz, received radio warnings to leave their anchorages. The identity of the sender of these messages was not specified.
The vice president of the Iranian parliament stated that Tehran “will not yield on its position concerning the Strait of Hormuz, and it will not return to its pre-war conditions.” Ali Nikzad, who has no decision-making power in Parliament, spoke during a visit to the strategic installations of Larak.
The United States warned shipping companies that they could face sanctions if they pay Iran, in any form, to cross the Strait of Hormuz safely.
The Iranian currency continues to collapse
On Sunday, the second day of the working week in Iran, the rial weakened further against the US dollar, exchanging at 1,840,000 rials.
According to analysts, there is a high likelihood that the Iranian currency will continue to decline.
In December, the rial was trading at 1.3 million to the dollar, a historically low level at the time, which triggered widespread protests against the deteriorating economy. The Tehran markets remain unstable, with prices of some products increasing daily.
According to reports in the Iranian media, several factories did not renew their employees’ contracts after the Iranian New Year in March, and a significant number of people lost their jobs.
Yousef Pezeshkian, son and advisor to President Masoud Pezeshkian, wrote on Telegram that both the United States and Iran consider themselves winners of the war and are not willing to concede.
