Watch: Iran , Oman reach understanding on shipping route through Strait of Hormuz
Iran and Oman announced an understanding on the geographical coordinates of a proposed "middle corridor" shipping route through the Strait of Hormuz, confirmed by Iran's Foreign Ministry on August 5
The two countries have held consultations over the preceding two months covering the technical, legal, security, and environmental dimensions of the route
A joint statement incorporating the agreed points is reported to be in the final stage of drafting
The understanding was described as insufficient on its own to guarantee safe navigation through the strait, given the continuation of a US naval blockade and military actions against Iranian infrastructure in the region since the 2026 Iran-US-Israel conflict
The development comes amid an ongoing regional crisis that began in February 2026, during which shipping through the strait was repeatedly disrupted by mine-laying, vessel seizures, and a blockade
The Strait of Hormuz — Geography and Strategic Significance
The Strait of Hormuz is a narrow chokepoint connecting the Persian Gulf to the Gulf of Oman and the Arabian Sea, bordered by Iran to the north and Oman's Musandam exclave to the south. At its narrowest navigable point it is about 33 km wide, with shipping lanes running through the territorial waters of both littoral states.
Key Details
- Approximately one-fifth to one-quarter of the world's seaborne oil trade and roughly 20% of global LNG trade transits the strait
- India receives around 40% of its crude oil imports and more than half its LNG imports (largely from Qatar) via this route
- Asian economies — China, India, Japan, South Korea — together receive the overwhelming majority of oil that passes through the strait
- Oman controls the southern shore (Musandam Governorate); Iran controls the northern shore, giving both states direct interest in any negotiated shipping corridor
The India-relevant stakes of any Iran-Oman navigational understanding are direct — India is one of the largest destination markets for oil transiting Hormuz, so any change to the safety or predictability of the route has immediate implications for energy security and import costs.
UNCLOS Transit Passage Regime for International Straits
The 1982 United Nations Convention on the Law of the Sea (UNCLOS) sets out a special navigational regime — "transit passage" — for straits used for international navigation that connect one part of the high seas or an Exclusive Economic Zone to another. This is distinct from the more restrictive "innocent passage" regime that applies within territorial seas generally.
Key Details
- Article 37 defines the straits to which transit passage applies (those used for international navigation between high seas/EEZ areas)
- Article 38 grants all ships and aircraft the right of continuous and expeditious transit passage, without requiring prior notification or authorisation from the coastal state
- Iran has not ratified UNCLOS and does not accept that transit passage is customary international law; it instead applies its own 1993 domestic maritime law and asserts an "innocent passage" standard requiring its consent for certain transits
- The US and most other states maintain that transit passage through Hormuz is part of customary international law and binding regardless of ratification
Because the Hormuz shipping lanes lie wholly within Iranian and Omani territorial waters, any bilaterally negotiated "coordinates" for a shipping corridor sits at the intersection of these competing legal positions — a bilateral Iran-Oman arrangement does not by itself resolve the broader international law dispute over whether passage requires coastal-state consent.
Chabahar Port and the INSTC as Alternatives to the Hormuz Chokepoint
India has invested in developing Iran's Chabahar Port (on the Gulf of Oman, outside the strait) as part of a strategy to build connectivity to Afghanistan and Central Asia that bypasses the Hormuz chokepoint, linking into the International North-South Transport Corridor (INSTC).
Key Details
- Chabahar sits on the Makran coast, outside the Strait of Hormuz, giving it strategic value as a chokepoint-independent gateway
- The INSTC is a multi-modal (ship-rail-road) corridor linking India, Iran, Central Asia, Russia, and Europe
- India's crude oil import dependence exceeds 85%, with significant concentration in Gulf suppliers, making chokepoint risk a recurring energy-security concern
- US sanctions-related waivers affecting Chabahar operations have lapsed in recent years, complicating India's use of the port as a reliable bypass route
Recurring instability in the Strait of Hormuz — including the disruptions since the 2026 regional conflict — is the specific risk that Chabahar and the INSTC are meant to hedge against for India's energy and trade security.
- Strait of Hormuz narrowest navigable width: approximately 33 km
- Share of global seaborne oil trade transiting the strait: approximately 20-25%
- Share of global LNG trade transiting the strait: approximately 20%
- India's share of crude oil imports transiting Hormuz: approximately 40%
- UNCLOS transit passage: governed by Articles 37 and 38 of the 1982 Convention
- Iran is not a party to UNCLOS; relies on its own 1993 maritime law