Trump Leans on Blockade as Hormuz Talks Stall

US President Donald Trump has signaled a shift away from renewed military strikes on Iran toward tighter economic pressure, even as his administration’s naval blockade continues to disrupt shipping and Iranian officials harden their demands for any reopening of the Strait of Hormuz.

More than five months into the conflict, Trump told Axios that Washington is “low-keying it” and “only semi-negotiating,” citing Iran’s high inflation and cash shortages as evidence that sanctions and the blockade are working. He had previously warned of strikes “not seen since World War II,” only to walk those threats back. US Central Command reported that the blockade has now turned away 55 commercial vessels since July, up from 35 earlier this month, while disabling or boarding additional ships attempting to reach Iranian ports.

The moves come as Iran and Oman appear close to an agreement on managing traffic through the strait, a vital chokepoint for global energy supplies. Iranian Foreign Minister Abbas Araghchi said talks with Oman are in their final stage, though he stressed that the deal would not automatically reopen the waterway. Tehran has denied holding direct negotiations with Washington and instead listed sweeping conditions for any de-escalation, including lifting the blockade and sanctions, withdrawing US forces from the region, releasing frozen assets, and paying war reparations.

Trump administration officials have framed the blockade as necessary to restore freedom of navigation after Iran asserted control over the strait following renewed fighting that erupted in late February. Yet Iranian leaders have rejected those terms, insisting the US must first end what they describe as violations of a June memorandum meant to set the stage for broader talks. The standoff has left commercial shipping in limbo, with reports indicating that even an Iran-Oman arrangement may not be enough to restart significant traffic without broader sanctions relief.

Critics of the US approach, including some European allies, have warned that prolonged economic coercion risks further destabilizing the region without addressing underlying disputes over Iran’s nuclear program. Meanwhile, oil prices have fallen amid the uncertainty, undercutting one of the few leverage points Tehran had relied upon. Trump has pointed to charts showing the Iranian rial’s sharp decline as proof of success, but the strategy has yet to produce the diplomatic breakthrough he claimed was imminent just days earlier.

As both sides dig in, the prospect of renewed large-scale fighting remains, with the humanitarian and economic fallout from the blockade already rippling beyond Iran’s borders.