The United States is warning shipping companies that they could face sanctions for making payments to Iran to safely pass through the Strait of Hormuz.

The alert, posted on Friday by the US Office of Foreign Assets Control, adds another layer of pressure in the standoff between the United States and Iran over control of the Strait of Hormuz, where about a fifth of the world's trade in oil and natural gas typically passes through the strait at the mouth of the Persian Gulf in peacetime.

Iran effectively closed the strait to normal traffic by attacking and threatening to attack ships after the United States and Israel launched a war on February 28. It later began offering some ships safe passage by detouring them through alternate routes closer to its shoreline, charging fees at times for the service.

That "tollbooth” effort is the focus of the US sanctions warning.

The payment demands could include transfers not only in cash but also “digital assets, offsets, informal swaps, or other in-kind payments,” including charitable donations and payments at Iranian embassies, the office said.

“OFAC is issuing this alert to warn US and non-US persons about the sanctions risks of making these payments to, or soliciting guarantees from, the Iranian regime for safe passage. These risks exist regardless of payment method,” it said.

Iranian Foreign Minister Abbas Araghchi has briefed many of his regional counterparts on the country's initiatives to end the war, according to his social media. He also held talks on Friday with European Union foreign policy chief Kaja Kallas, who is in contact with the EU’s Gulf partners.

Fu Cong, the Chinese ambassador to the United Nations, said on Friday that maintaining the ceasefire is “the most urgent issue" as well as bringing together the sides to resume good faith negotiations “to make sure that the ground is laid for reopening of Hormuz”.

Foreign Minister Wang Yi “has been on the phone almost constantly” with representatives from all sides, Fu said, adding that China supports Pakistan’s efforts to mediate between the parties.

Fu stressed the root cause of the tremendous suffering in Iran and neighbouring countries and the growing turmoil in the global economy, especially in developing countries, “is the illegitimate war by the US and Israel”. (AP)



Edited by Thomas McAlinden