WASHINGTON, D.C., June 24 (ANI) — U.S. President Donald Trump moved to reassure global energy markets on Wednesday, announcing that Iran has formally informed Washington that it will not impose transit charges on commercial vessels passing through the strategically important Strait of Hormuz.
The Strait of Hormuz, one of the world’s most critical maritime chokepoints, handles nearly 20 percent of global seaborne oil trade and has remained a focal point of international concern amid reports that Iran could regulate or charge for maritime traffic.
In a post on Truth Social, Trump said Iran had provided assurances that commercial shipping would continue without additional costs.
“Iran has informed us that there will be ‘NO TOLLS, NO INSURANCE COSTS, & NO OTHER CHARGES OF ANY KIND’ on commercial shipping,” Trump wrote.
The president added a warning regarding the accuracy of the information provided by Tehran.
“If this is false information, negotiations would end, immediately!” he said.
Trump also addressed speculation surrounding frozen Iranian assets, denying reports that cash or unrestricted funds had been released to the Iranian government.
Instead, he outlined a tightly controlled mechanism under which certain frozen assets could be used exclusively to purchase American agricultural products for humanitarian purposes.
“We will be releasing some of their money, which is totally controlled by us, to our farmers and ranchers,” Trump said, adding that the agricultural supplies are “desperately needed” in Iran.
According to the administration’s proposal, the funds would be directed toward the purchase of U.S. corn, wheat, and soybeans intended for civilian use in Iran.
Vice President JD Vance later provided additional details following high-level discussions in Burgenstock, Switzerland.
Vance said the framework, reportedly developed by Jared Kushner, would involve a joint oversight mechanism with Qatar designed to ensure that any unfrozen assets are used solely for humanitarian purposes.
“We wanted to make sure that we set up a process where if we ever unfreeze Iranian assets, we can ensure that money goes to help the people of Iran and not to fund terrorism,” Vance said.
Under the proposed arrangement, the release of any funds would require approval from both U.S. and Qatari authorities, with expenditures limited to approved humanitarian purchases.
Administration officials said the oversight system is intended to prevent funds from being diverted to military activities or groups supported by the Iranian government.
While presented as a new initiative, the framework resembles previous humanitarian sanctions-relief mechanisms, including a 2023 arrangement that allowed frozen Iranian assets held in South Korea to be used for food and medical purchases.
By linking the program to purchases from American farmers and ranchers while addressing humanitarian needs in Iran, the Trump administration is seeking to balance domestic economic interests with broader diplomatic objectives.
As negotiations continue, the effectiveness of the proposed “food-for-assets” framework is expected to depend on the transparency and enforcement of the U.S.-Qatar oversight mechanism, which administration officials say is designed to ensure strict accountability for all released funds. (ANI)
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