Secretary Rubio calls Iran's Hormuz toll proposal "not acceptable" as the US naval blockade enters its third week and markets react.
Secretary of State Marco Rubio rejected Iran's latest proposal to reopen the Strait of Hormuz on 27 April 2026, declaring that any arrangement allowing Tehran to charge tolls or control access to the international waterway is "not acceptable" to the United States.
The announcement, made at a State Department briefing in Washington, D.C., came hours after Iran's Foreign Minister Abbas Araghchi departed Islamabad following a failed second round of indirect talks brokered by Pakistan. Rubio dismissed the proposal bluntly: "The Iranians cannot be allowed to decide who gets to use an international waterway, and how much you have to pay them to use it," he told reporters Monday.
Iran · Strait of Hormuz · Marco Rubio
Iran's offer, relayed through Pakistani intermediaries, called for reopening the Strait in exchange for a US lifting of its naval blockade on Iranian ports, an end to the current war, and the deferral of nuclear negotiations to a later stage. The White House confirmed that President Donald Trump reviewed the proposal with his national security team before Rubio's public rejection. Trump's verdict was equally dismissive: "If they want to talk, all they have to do is call," he said Friday, canceling plans for his son-in-law Jared Kushner and special envoy Steve Witkoff to fly to Islamabad for a second negotiating round.
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“Lloyd's of London reported on 24 April that marine insurance premiums for tankers transiting the Persian Gulf have risen 340 percent since the blockade began.”
The US naval blockade, now in its third week, has diverted or turned back 38 vessels attempting to enter or leave Iranian ports, according to Pentagon figures released on 25 April 2026. The Strait of Hormuz, a 21-mile-wide chokepoint between Oman and Iran, handles roughly 20 percent of the world's daily oil flow — approximately 17 million barrels. Lloyd's of London reported on 24 April that marine insurance premiums for tankers transiting the Persian Gulf have risen 340 percent since the blockade began.
Key Takeaways
→Iran: Iran proposed reopening the Strait in exchange for a US naval blockade lift, an end to the current war, and postponement of nuclear negotiations to a later stage, according to two US officials cited by CNN on 26 April 2026.
→Strait of Hormuz: Iran proposed reopening the Strait in exchange for a US naval blockade lift, an end to the current war, and postponement of nuclear negotiations to a later stage, according to two US officials cited by CNN on 26 April 2026.
→Marco Rubio: Iran proposed reopening the Strait in exchange for a US naval blockade lift, an end to the current war, and postponement of nuclear negotiations to a later stage, according to two US officials cited by CNN on 26 April 2026.
→US foreign policy: Iran proposed reopening the Strait in exchange for a US naval blockade lift, an end to the current war, and postponement of nuclear negotiations to a later stage, according to two US officials cited by CNN on 26 April 2026.
The IRGC — Iran's Islamic Revolutionary Guard Corps — showed no sign of capitulating. In a statement released in Tehran on 27 April, it declared that "controlling the Strait of Hormuz and maintaining the shadow of its deterrent effects over America and the White House's supporters in the region is the definitive strategy of Islamic Iran." That posture makes any near-term reopening unlikely without concessions Washington has so far refused to offer.
Iran · Strait of Hormuz · Marco Rubio
The diplomatic collapse carried immediate financial consequences. Global oil markets ticked upward on 27 April, with Brent crude rising 1.8 percent to $96.40 per barrel after Rubio's comments, according to Reuters. The International Energy Agency warned in its April 2026 market report that every month the Strait remains restricted adds roughly $12 billion to global energy costs. The US Energy Information Administration projected an additional 18 cents per gallon of gasoline for American consumers if the disruption extends beyond early May.
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Iran's foreign minister pressed ahead with a regional diplomatic tour, meeting Russian President Vladimir Putin in Moscow on 27 April — a visit that drew immediate attention in Washington given Russia's role as one of Tehran's remaining economic lifelines. Iranian state media described the Moscow meeting as focused on "coordination of strategic positions," without disclosing specific outcomes.
The next formal diplomatic opportunity is a scheduled United Nations Security Council session on 2 May 2026, where the US and UK are expected to introduce a resolution calling for unrestricted freedom of navigation through international straits. Iran holds no veto on the Security Council, but Russia and China do — and both have signaled opposition to any resolution endorsing the current US military posture.
Iran proposed reopening the Strait in exchange for a US naval blockade lift, an end to the current war, and postponement of nuclear negotiations to a later stage, according to two US officials cited by CNN on 26 April 2026.
Why did Rubio reject Iran's Hormuz proposal?
Rubio said any deal in which Iran charges tolls or controls access to the international waterway is unacceptable, arguing on 27 April that international straits must remain freely navigable without Iranian permission.
How much oil flows through the Strait of Hormuz?
Roughly 20 percent of the world's daily oil supply — approximately 17 million barrels — transits the Strait of Hormuz each day, making it one of the world's most critical energy chokepoints.
When is the next opportunity for US-Iran diplomacy?
A UN Security Council session is scheduled for 2 May 2026, where the US and UK plan to introduce a navigation rights resolution. Russia and China are expected to veto it. No direct bilateral talks are currently scheduled.
