Traffic through the Strait of Hormuz has fallen to a new low as the conflict between the United States and Iran spreads to the Red Sea and other key shipping routes, according to reports. An Iran-backed group has also killed six people in the Red Sea, further escalating tensions in the region.
Amid the disruption, Iran is reportedly seeking a 'mafia-style' protection toll on the Strait of Hormuz, a waterway through which a significant share of global oil passes. The potential haul from such a toll has been estimated at $20 billion per year, but analysts consider that figure unrealistic and a pipe dream.
Details of any tolling or voluntary fee system are unlikely to be finalized in any potential interim deal, according to Fortune. This uncertainty is expected to further delay a permanent peace solution between the two countries.
The new low in Hormuz traffic underscores the widening impact of the U.S.-Iran conflict on global shipping and energy supplies.