Trump Says Iran Violated Ceasefire With Hormuz Drone Attack
(Bloomberg) -- US President Donald Trump accused Iran of violating their ceasefire agreement by firing at cargo ships transiting the Strait of Hormuz, underscoring how unsettled the situation remains in a waterway critical to global energy flows.
In a social media post Friday, Trump said “at least four” one-way attack drones targeted ships in the strait and that one of them “solidly hit the upper deck of a large and very expensive” cargo ship. The vessel was “able to proceed,” Trump said, adding that the other three drones were downed.
“Obviously, this is a foolish violation of our Ceasefire Agreement,” the president posted, without saying what the consequences of a violation might be.
The Singapore-flagged container ship Ever Lovely sustained damage to its bridge when it was struck on its side while sailing along a recommended route, its Taiwanese operator Evergreen Marine Corp. said Thursday. The incident stands as one of the biggest tests yet of the fragile truce with Tehran that Trump signed last week. The attack also marks a setback to efforts to restore shipping traffic through the vital energy thoroughfare.
Oil briefly trimmed some losses after Trump’s post. Prices plunged 4% with West Texas Intermediate trading below $70 as Saudi Arabia ramps up oil exports. Global oil markets are flashing signs of a glut in the near term as much of the Middle Eastern supplies that were cut off to the world during the war return to the market.
Not long after the strike, UK Maritime Trade Operations advised ships to “transit with caution.” The agency acts as a liaison between military forces and merchant fleets, and has played a key role supporting a United Nations-led effort to move ships out of the Persian Gulf.
The attack stands as just one of several obstacles toward restoring traffic through the strait to pre-war levels, a key goal for Trump in his negotiations with Iran. About 80 mines are in the strait’s historic shipping lanes, the UN’s International Maritime Organization estimated Friday.
The presence of explosives has been among the top concerns for wary shipowners and their crews, who’re tasked with exporting Middle East oil, gas and other cargoes to global markets. Under the terms of the peace pact, Iran is supposed to take responsibility for removing the mines, although it’s unclear how much progress has been made.
In another potential obstacle, Oman has told European officials it’s not possible to return to the status quo from before Trump and Israel went to war with Iran in late February, and that transiting ships may have to be charged some fees, according to people familiar with the matter. Trump and US Secretary of State Marco Rubio have said such a system would be unacceptable.
(Adds details on mines in the strait and other background throughout.)
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