Iran War: US Navy may escort oil tankers through Strait of Hormuz, says Trump
India Today
The US Navy could begin escorting oil tankers through the Strait of Hormuz if necessary, President Donald Trump said on Tuesday. He has also assured political risk insurance and financial guarantees for maritime trade in the Gulf.
The US Navy could begin escorting oil tankers through the Strait of Hormuz if necessary, President Donald Trump said on Tuesday, adding he had ordered the US International Development Finance Corporation to provide political risk insurance and financial guarantees for maritime trade in the Gulf.
The move marks one of the administration's most aggressive steps yet to attempt to contain soaring energy prices amid escalating conflict in the Middle East that has raised risks to shipping through key waterways.
Global crude prices have spiked since Israeli and US forces began striking Iran over the weekend, leading to fighting that has interrupted Middle East oil tanker shipments.
Shipowners and analysts were uncertain that military escorts and insurance backstopping by the DFC would be enough to stop rising prices, however. The DFC, launched in 2019, is a government agency that partners with private investors to support projects in developing countries.
Trump has made lower fuel costs for Americans central to his economic messaging, and the move signals a willingness to use financial and military tools to prevent disruptions to global crude supplies.
"No matter what, the United States will ensure the free flow of energy to the world," Trump said in a social media post.
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