Strait of Hormuz Standoff: Iran Promises Safe Passage as the U.S. Pauses Escort Mission

On 1 May, the U.S. and Israel launched Project Freedom, a mission to guide stranded ships out of the Gulf. U.S. Secretary of State Marco Rubio said the operation was defensive and aimed at ensuring freedom of navigation.

By 5 May, President Donald Trump announced that the mission would be paused temporarily. In a social‑media post he said that while the blockade of Iranian ports would continue, escort operations would be halted “for a short period of time” to see whether a comprehensive agreement with Iran could be finalised.

The White House gave no details on what progress had been made toward a deal, but oil prices immediately fell below USD 100 per barrel, reflecting market expectations of de‑escalation.

Rubio insisted that the United States had achieved its objectives; he later declared that “Operation Epic Fury is concluded”, signalling a shift from large‑scale offensives to diplomatic maneuvring. General Dan Caine, chair of the Joint Chiefs of Staff, stated that Iranian attacks against U.S. forces had fallen below the threshold that would restart major combat operations.

Iran responded with a mix of defiance and conciliation. On 6 May, the Islamic Revolutionary Guard Corps (IRGC) issued a message thanking ship captains and owners for complying with Iranian regulations, claiming that new protocols would ensure “safe, stable passage through [the strait]”. The IRGC suggested that with “aggressor’s threats neutralised,” maritime security had been restored.

Despite the IRGC’s assurances, Iranian officials continued to dismiss U.S. accounts. Iran’s military command denied carrying out missile or drone operations against the United Arab Emirates (UAE) after Abu Dhabi reported intercepting attacks.

Foreign Minister Abbas Araghchi, on a simultaneous visit to Beijing, met his Chinese counterpart Wang Yi to solicit diplomatic support. Wang urged an immediate end to hostilities and called for the strait to reopen “as soon as possible,” emphasising that Beijing remains a key customer for Iranian oil.

The UAE has been at the frontline of the crisis. On 6 May, Abu Dhabi said its air defences were dealing with missile and drone attacks for the second consecutive day, calling the assaults a serious escalation and warning that it reserved its “full and legitimate right to respond”.

Iran denied launching the attacks, arguing that its actions were purely defensive. In addition to the military tension, the conflict has pressured Gulf economies. Saudi Arabia’s state‑run Aramco lowered its June Arab Light official selling price (OSP) for Asia to USD 15.50 per barrel above the Oman/Dubai benchmark, down from USD 19.50 the previous month. The price cut reflects cooling demand and supply disruptions caused by the war.

OPEC+ announced that member states would raise oil output targets in June, but the UAE’s recent decision to quit the cartel has rattled the group and left Saudi Arabia to shoulder market‑stabilising efforts.

Pakistani Foreign Minister Jalil Abbas Jilani spoke with his Iranian counterpart to stress the need for de‑escalation. Russia, meanwhile, signalled readiness to propose initiatives for a Middle East free of weapons of mass destruction, linking the Hormuz crisis to broader regional security concerns. These diplomatic efforts come as Trump plans to visit Beijing later in May, adding another layer of geopolitical complexity.

Although attention has centered on crude prices and shipping lanes, the crisis has inflicted a human cost. U.S. officials said ten civilian sailors had died during the conflict. Thousands more have been affected by the blockade and attacks, with crew members stranded at sea facing shortages of food and water.

The International Monetary Fund warned that even if hostilities ceased immediately, it would take three to four months to mitigate the economic damage.