US and China Agree No Transit Fees in Strait of Hormuz

The US government announced on May 11, 2026, that the United States and China have reached an agreement barring any party from collecting transit fees in the Strait of Hormuz. The deal seeks to maintain freedom of navigation and stability of maritime traffic in a strategic region that handles roughly one-third of the world's seaborne oil shipments.

According to a US statement, the two countries pledged to cooperate in preventing any unilateral action to impose fees or restrict passage through the Strait of Hormuz. The move is seen as an effort to ease trade tensions and safeguard global energy security.

The Strait of Hormuz lies between the Gulf of Oman and the Persian Gulf, serving as a vital waterway linking major Middle Eastern oil producers to world markets. The US-China agreement drew immediate praise from nations dependent on oil supplies from this region.