Trump orders US Navy to blockade Strait of Hormuz after Iran talks collapse

President Donald Trump has ordered the US Navy to enforce a blockade on the Strait of Hormuz, declaring that no ship paying a toll to Iran will be allowed to pass through the vital waterway. The announcement, made Sunday morning, marks a dramatic escalation in US-Iran tensions and comes just hours after peace talks led by Vice President Vance ended without agreement.

The Strait of Hormuz, a narrow channel between Iran and Oman, is one of the world's most critical energy chokepoints. About a fifth of the world's oil supply passes through it daily. For weeks, Iran had threatened to restrict access unless shipping companies paid a newly imposed transit fee, which Washington and its allies labeled as extortion. Trump called the demand unacceptable, saying, 'This is world extortion, and it stops now.'

Before the blockade was announced, shipping through the strait had already slowed to a trickle. Data from Bloomberg Markets showed only a handful of tankers made the crossing Sunday morning, as operators waited for clarity. Now, with the US Navy taking an active enforcement role, commercial traffic is expected to drop further, raising fears of supply shortages.

The failed negotiations in Islamabad were meant to de-escalate the crisis. Vice President Vance spent 36 hours shuttling between Iranian and Gulf state representatives, but Iran refused to back down on the toll. Trump, speaking from the White House, said diplomacy had run its course: 'We tried talking. We tried patience. Now we're acting.'

Oil prices jumped nearly 8% in early trading, with Brent crude surpassing $110 a barrel. Analysts warn that prolonged disruption could ripple through global markets, affecting everything from fuel costs to inflation. Some energy firms are already rerouting shipments, though alternatives are limited and far more expensive.

The Biden administration had previously avoided direct confrontation, favoring sanctions and quiet diplomacy. Trump's decision reflects a more confrontational posture, one that aligns with his broader foreign policy emphasis on strength and deterrence. Still, questions remain about how long the blockade can be sustained and whether it could provoke a military response from Iran.

For now, US naval forces are positioning in the Gulf, and Pentagon officials say they're prepared for any contingency. The international community is watching closely-some allies have expressed cautious support, while others urge restraint. One thing is clear: the stakes in the Persian Gulf have never been higher.