Trump says US will tap frozen Iranian funds to compensate shipping companies for Strait of Hormuz damages

President Donald Trump announced that the US will dip into Iranian assets controlled by Washington to pay shipping companies for damages sustained in the Strait of Hormuz. The announcement, made via Truth Social, marks the latest chapter in a Gulf confrontation that has been steadily ratcheting up since early 2026. From cargo fees to frozen assets This isn’t Trump’s first swing at solving the Strait of Hormuz problem with money. On July 13, he floated a 20% fee on all cargo passing through the strait to fund security operations. That idea survived roughly 24 hours before being scrapped. The pivot to Iranian assets is a fundamentally different approach. Rather than taxing global commerce to pay for protection, the administration is now redirecting funds from the very country it blames for the disruptions. No specific shipping companies or dollar amounts have been named in connection with the new policy. The timeline matters here. On March 1, Iranian forces declared the Strait of Hormuz closed, a move that sent shockwaves through global shipping and energy markets. The US responded by reinstating a naval blockade of Iranian ports around July 15, setting the stage for the compensation...