Trump reverses decision to impose 20% Hormuz fees in favour of Gulf investment deals

2 min readNew DelhiUpdated: Jul 14, 2026 09:52 PM IST

President Donald Trump speaks at a lunch in the White House Rose Garden, in Washington. (AP Photo)

US President Donald Trump on Tuesday stepped back from his decision to impose a 20 per cent fee on all the cargo being shipped through the Strait of Hormuz as part of the conflict with Iran, saying the Gulf countries would instead make investments and trade deals with America.

After Tehran said it had closed the strategic waterway, the US military continued its wave of attacks for the third night in a row. Iran is also retaliating with strikes at US bases in the Gulf countries, including Bahrain, Kuwait, and Oman, among others.

pic.twitter.com/GQ00CUcLEo

— Rapid Response 47 (@RapidResponse47) July 14, 2026

Just five hours before the toll in Hormuz was set to take effect at 8 pm (GMT), Trump said the strait was open to all for ship transit except that of Iran, adding that the US military’s naval blockade of the Islamic Republic would continue.

“Based on highly productive conversations with Middle East leadership, I have decided to replace the 20% United States ​Reimbursement Fee with Trade and Investment Deals that the various Gulf States will be making ​into the United States,” Trump wrote in a post on Truth Social.

The Express Global Desk at indianexpress.com which delivers authoritative, verified, and context-driven coverage of key international developments shaping global politics, policy, and migration trends. The desk focuses on stories with direct relevance for Indian and global audiences, combining breaking news with in-depth explainers and analysis.

A major focus area of the desk is US immigration and visa policy, including developments related to student visas, work permits, permanent residency pathways, executive actions, and court rulings. The Global Desk also closely tracks Canada’s immigration, visa, and study policies, covering changes to study permits, post-study work options, permanent residence programmes, and regulatory updates affecting migrants and international students.

All reporting from the Global Desk adheres to The Indian Express’ editorial standards, relying on official data, government notifications, court documents, and on-record sources. The desk prioritises clarity, accuracy, and accountability, ensuring readers can navigate complex global systems with confidence.

Core Team

The Express Global Desk is led by a team of experienced journalists and editors with deep expertise in international affairs and migration policy:

Aniruddha Dhar – Senior Assistant Editor with extensive experience in global affairs, international politics, and editorial leadership.

Nischai Vats – Deputy Copy Editor specialising in US politics, US visa and immigration policy, and policy-driven international coverage.

Mashkoora Khan – Sub-editor focusing on global developments, with a strong emphasis on Canada visa, immigration, and study-related policy coverage. ... Read More

Stay updated with the latest - Click here to follow us on Instagram

Tags:

donald trump

Strait of Hormuz

US Iran tensions