Kathmandu— U.S. President Donald Trump has repeatedly threatened military action against Oman, a key ally, due to its negotiations with Iran regarding control of the strategically vital Strait of Hormuz. The threats come as a 60-day Memorandum of Understanding (MoU) between Washington and Tehran – intended to facilitate peace talks – expired without renewal on Monday, leaving prospects for de-escalation dim. Oman is attempting to mediate an agreement allowing it and Iran to jointly manage maritime traffic through the strait, a move the U.S. views as undermining its demands for Iranian relinquishment of control. Trump has stated he may declare the Strait of Hormuz US territory.

Escalating Threats and Failed Negotiations

Trump told Fox News that Iran should surrender and claimed his administration had opened a backchannel with Iran’s Islamic Revolutionary Guard Corps (IRGC), though an IRGC spokesperson denied any such talks. During the interview, Trump threatened to bomb Oman if it “gets in the way” of US talks with Iran, repeating a similar threat made in May. He initially stated, “If Oman gets in the way, we’ll bomb the s*** out of them,” and previously warned that Oman would need to “behave just like everybody else, or we will have to blow them up.”

Oman's Neutral Stance and Regional Role

Oman has positioned itself as a neutral party in the conflict between the U.S. and Iran, despite suffering strikes from Iran targeting US military assets in the region. For weeks, Oman and Iran have been engaged in direct talks, facilitated by Qatar, to establish an agreement on managing traffic through the Strait of Hormuz. This potential deal, which could formalize Iranian influence over the waterway, appears to be a key source of frustration for the U.S., as it contradicts Washington’s demand that Iran relinquish control. Oman and the US share nearly 200 years of cooperation treaties including security partnerships.

Strait of Hormuz: A Critical Chokepoint

The Strait of Hormuz is a crucial waterway, handling roughly one-fifth of the world’s oil and liquefied natural gas (LNG) supplies before the conflict began. Approximately 130 ships transited the strait daily. Iran briefly closed the strait in early March, allowing only select vessels to pass until the signing of the aforementioned MoU with the U.S. The control of this vital passage has become a central point of contention in negotiations. Currently, Brent crude futures rose to $91.22 a barrel on Tuesday, nearing a three-week high.

Disagreement Over Control and Potential Tolls

The US and Iran disagree over whether Iran should be permitted to charge fees for ships using the strait, which would violate international law prohibiting tolls on natural waterways. However, charges for services like insurance or environmental protection are permissible. The potential for an Iran-Oman agreement that formalizes Iranian control has angered Washington, with Secretary of State Marco Rubio warning against any such arrangement. Trump himself pledged there would be no tolls unless collected by the U.S., and even suggested declaring the Strait of Hormuz as American territory – a claim dismissed by Iran’s deputy foreign minister.

Iranian Defiance and Future Prospects

Kazem Gharibabadi, Iran’s deputy foreign minister for legal and international affairs, responded to Trump's territorial claims on social media, asserting that the Strait of Hormuz cannot be taken over through threats or force. Tehran announced Monday that it had reached an agreement with Oman on a new shipping route in the strait and was preparing a joint declaration, aiming to protect both countries’ interests while ensuring safe passage for commercial vessels.

As of Tuesday, global benchmark Brent crude futures were nearing a three-week high amid ongoing tensions. The future of negotiations between the U.S. and Iran remains uncertain, with Oman continuing its efforts to mediate an agreement over the Strait of Hormuz.

(With inputs from Al Jazeera)

Originally published on abcnews.com.np.