US President Donald Trump announced that he would utilize Iranian assets in the US to cover “any damages to ships, cargo, or anything related to that” at the Strait of Hormuz.
The US military reports it has conducted attacks on Iran for the 13th straight night, while Iranian state media claims four individuals have died and five have been wounded.
Iranian Foreign Minister Abbas Araghchi responded to the threat that Trump labeled as “fair and equitable,” describing it as an “inflammatory precedent.”
The recent attacks come after Yemen’s Iranian-supported Houthis asserted they targeted two Saudi tankers in the Red Sea, raising worries about escalating threats to global shipping, which led to a rise in oil prices.
Explosions have been reported by Iranian state media at significant military and commercial locations in southern Iran, including the port city of Bandar Abbas and Qeshm Island.
Trump had previously vowed “significant military retaliation” against Iran for assaults by the Houthis and Iran.
The US military states it conducted strikes to diminish Iran’s capability to pose a threat to civilian shipping in nearby waters.
US Central Command (Centcom) stated that it had aimed at “Iranian military command centers, drone storage facilities, communication networks, coastal surveillance installations, and maritime capabilities.”
As the US seeks to reestablish authority over the Strait of Hormuz, worries are mounting regarding emerging dangers to vessels in the Red Sea posed by the Iran-supported Houthis.
That has contributed to raising the price of crude oil above $100 (£74.96) a barrel—the highest point since May.
The Reuters news agency noted that just one tanker traversed the Strait on Thursday, 24 July, referencing ship-tracking data, which they claimed marked the lowest transit level since 7 May.
With ongoing tensions in the area, Trump stated that the damage to vessels and goods “will be compensated with Iranian money that the U.S. holds and manages,” and the total could be “quite significant.”
Iran’s foreign minister responded to Trump, writing, “Those who celebrate or profit from such funds should remember: once governments normalize confiscation, no one’s assets are safe.”
“Ensuing chaos will not be pretty or peaceful,” Araghchi added.
Bahrain’s Interior Ministry announced that its air sirens had been activated, while Iranian state media reported that alarms had been triggered in Jordan.
In June, the US and Iran reached a 14-point Memorandum of Understanding (MOU) to cease military actions, reopen the Strait of Hormuz, and find a resolution to end the war within the next 60 days.
However, three weeks after it was signed, Trump declared the ceasefire “over” after Iranian attacks on ships in Hormuz and US strikes in response.
Point 11 of the MoU detailed that the “United States of America undertakes to make fully available for use the frozen or restricted funds and assets of the Islamic Republic of Iran.”
