The Trump administration is considering measures to protect oil and gas tankers passing through the Strait of Hormuz, according to officials familiar with internal discussions. The consideration follows Iranian threats to attack vessels transiting the strategic waterway and a recent rise in energy prices.
A person familiar with the discussions said, "Military support for oil and gas supplies. It's becoming a growing concern that the energy markets could face pressures in the coming days as the military campaign intensifies and expands in geographic scope. Access to the Straits of Hormuz is obviously vital for both natural gas and crude oil shipments, especially from Qatar and Saudi."
U.S. oil prices have climbed nearly $10 per barrel since the end of last week as fighting has continued in the region, underscoring market sensitivity to the security of shipping routes that carry large volumes of energy commodities.
Officials are also examining the possibility that the U.S. government could provide backing for the insurance that tankers require to operate through the strait. While the waterway remains technically open, marine insurers are reacting to heightened risk by raising premiums and, in some instances, canceling coverage for vessels that transit the area.
The Pentagon has been holding ongoing discussions about a maritime mission that would closely resemble past U.S. Defense Department operations in the Red Sea. Those earlier deployments included carriers and destroyers assigned to maintain freedom of navigation in the face of threats from an Iran-linked group.
The conversations in Washington reflect concern across government and industry about the combination of heightened military activity, the potential for expanding geographic scope of operations, and the direct consequences for energy shipments originating from major exporters in the region.
Background limitations - The administration's deliberations are ongoing and officials have not announced a formal decision. Details about timing, scope or force composition have not been released.