A bird flies near the Jag Vasant vessel transferring LPG at a port after transiting the Strait of Hormuz amid supply disruptions linked to the U.S-Israeli conflict with Iran, in Mumbai, India, April 1, 2026. REUTERS\/Francis Mascarenhas<\/p>\n
Shipping Industry Pushes Back on \u2018Open\u2019 Hormuz Narrative as Risks Persist<\/p>\n
The global shipping industry is urging caution after declarations from both Washington and Tehran that the Strait of Hormuz is \u201copen,\u201d warning that conditions on the water remain far from normal.<\/p>\n
Today\u2019s messaging that the Strait of Hormuz<\/p>\n
originates from Tehran<\/p>\n
, which declared the Strait open to commercial shipping explicitly \u201cin line with the ceasefire in Lebanon,\u201d and statements made by President Trump. \u201c[The] Strait of Iran is fully open and ready for full passage,\u201d Trump posted to social media in an apparent reference to Hormuz.<\/p>\n
However, Iran\u2019s own statement makes clear that vessels are expected to follow a designated \u201ccoordinated route\u201d along its coastline\u2014rather than the internationally recognized Traffic Separation Scheme that normally governs commercial traffic through the strait.<\/p>\n
Industry associations say the reality facing shipowners is far more complex than what officials have alluded to, shaped by unresolved mine risks, overlapping military controls, and an expanding U.S. enforcement regime that continues to target Iran-linked trade.<\/p>\n
\u201cWe are currently verifying the recent announcement related to the reopening of the Strait of Hormuz, in terms of its compliance with freedom of navigation for all merchant vessels and secure passage using the IMO established traffic separation scheme,\u201d said Arsenio Dominguez, Secretary-General of the UN\u2019s International Maritime Organization.<\/p>\n
BIMCO\u00a0was among the first to challenge the reopening narrative. \u201cThe announcement \u2026 that the<\/p>\n
is fully open is inaccurate,\u201d said Jakob Larsen, the organization\u2019s Chief Safety & Security Officer.<\/p>\n
\u201cThe status of mine threats in the Traffic Separation Scheme is unclear,\u201d Larsen added, warning that the key shipping lanes through the strait \u201care not declared safe for transit at this point.\u201d<\/p>\n
said operators should consider avoiding the area altogether until clearer guidance emerges, underscoring the gap between political messaging and operational reality.<\/p>\n
echoed those concerns, focusing on the legal and security risks tied to Iran\u2019s proposed transit arrangements.<\/p>\n
Under the ceasefire framework, vessels are expected to move through Hormuz along a coordinated route linked to Iranian authorities\u2014a system widely interpreted as a form of controlled or permission-based passage.<\/p>\n
But INTERTANKO warned that any payments tied to such transits could expose vessels to enforcement action under U.S. sanctions. \u201cDue to concerns \u2026 the likelihood is that the U.S. will not allow passage of any ship that has paid the Iranians,\u201d the association said, advising members to \u201d not pay fees\u201d for transit through these waters.<\/p>\n
The group also reiterated broader operational guidance, including delaying transits where possible, avoiding the area until conditions stabilize, and maintaining close coordination with naval authorities.<\/p>\n
The warnings come despite a relative lull in hostilities. A U.S.\u2013Iran ceasefire that took effect on April 7 continues to hold, with no confirmed attacks on commercial shipping since then.<\/p>\n
But the framework governing transits appears anything but conventional. Shipping through Hormuz is currently expected to take place under Iranian military oversight, even as the United States maintains a<\/p>\n
targeting Iranian ports, cargoes, and vessels.<\/p>\n
That dual structure\u2014partial reopening under Iranian control alongside active U.S. interdiction\u2014has created a legal and operational gray zone for shipowners.<\/p>\n
Compounding the uncertainty are unresolved threats in the water itself.<\/p>\n
Recent advisories have warned that the Traffic Separation Scheme and surrounding waters should still be treated as a potential mine-risk area until verified safe.<\/p>\n
At the same time, U.S. forces retain broad authority to stop, board, and potentially seize vessels suspected of carrying contraband or engaging in prohibited trade.<\/p>\n
For operators, that means even \u201cneutral\u201d transits could involve inspections, delays, or diversion\u2014factors that continue to weigh heavily on routing decisions.<\/p>\n
Taken together, industry guidance suggests that while Hormuz may be politically \u201copen,\u201d it is not yet operationally viable at scale.<\/p>\n
With insurers, charterers, and shipowners still assessing the risk environment, a rapid return to normal traffic levels appears unlikely.<\/p>\n
For now, the message from industry bodies is consistent: proceed with extreme caution\u2014or stay away altogether\u2014until the situation becomes clearer.<\/p>\n