Trump demands compensation from Iran as Hormuz deal faces fresh setback

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US President Donald Trump has demanded that Iran pay compensation for deaths and injuries he attributed to the country, a move that could further complicate ongoing efforts to reopen the strategically important Strait of Hormuz.

Trump made the demand on Monday in response to Tehran’s call for compensation over damages suffered during the five-month military conflict, as well as demands for an end to US sanctions and military threats.

In a post on Truth Social, Trump said Iran was seeking compensation for damage caused during the conflict and argued that the United States should equally demand payments from Tehran.

The latest demand comes as hopes of reaching an agreement to reopen the Strait of Hormuz appear to be fading.

Iran had earlier said negotiations with Oman over the establishment of new shipping routes through the strait were progressing and that an agreement had been reached on a map for the proposed routes. However, Tehran maintained that Washington must meet several conditions, including compensation, an end to sanctions and a halt to military threats.

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Trump also demanded compensation for people killed or injured in previous conflicts, as well as payments to families of protesters whom he accused the Iranian government of killing.

He further called for Iran to compensate the families of 17 US sailors killed in the 2000 attack on the USS Cole in Yemen. The attack was attributed to al-Qaeda, rather than Iran.

Trump also said Iran should be held responsible for deaths and destruction in Lebanon, Syria, Yemen and Gaza.

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The dispute has raised fresh uncertainty over the reopening of the Strait of Hormuz, through which about one-fifth of global oil and liquefied natural gas supplies passed before the conflict.

The waterway has remained effectively blocked since the war began, contributing to rising oil prices and inflation globally. Following Trump’s latest statement, Brent crude rose to about $87 per barrel, representing a 4.6 per cent increase for the day.

Iranian Foreign Ministry spokesman Esmaeil Baghaei said earlier on Monday that discussions with Oman were progressing smoothly and constructively, although some technical issues remained unresolved.

The talks reportedly covered issues including safe navigation, environmental protection, maritime services and measures to combat crime along the waterway.

However, US officials have repeatedly rejected any arrangement that would allow Iran to impose fees for access through the strait.

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The latest development comes amid growing pressure on Trump to end the conflict, which has become increasingly unpopular in the United States ahead of the November midterm elections.

Despite months of US military operations, including a two-week campaign of strikes in July, Iran has maintained significant control over the strategic waterway.

Washington and Tehran reached a ceasefire agreement in June, but the United States reinstated a blockade on Iranian shipping in July. Tehran accused Washington of violating the truce.

Iran has since retaliated with missile and drone attacks against US allies in the region and has also targeted commercial vessels attempting to pass through the Strait of Hormuz without its permission.

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