US President Donald Trump on Tuesday announced a pause to “Project Freedom,” the naval operation escorting commercial ships through the Strait of Hormuz, citing progress toward a comprehensive agreement with Iran. The blockade of Iranian ports remains in force.
“Based on the request of Pakistan and other Countries, the tremendous Military Success that we have had during the Campaign against the Country of Iran and, additionally, the fact that Great Progress has been made toward a Complete and Final Agreement with Representatives of Iran, we have mutually agreed that, while the Blockade will remain in full force and effect, Project Freedom (The Movement of Ships through the Strait of Hormuz) will be paused for a short period of time,” Trump wrote on Truth Social.
The escort operation was announced Sunday and took effect Monday. US forces destroyed Iranian small boats, cruise missiles and drones during the first day of escorts, with the Pentagon characterising the engagements as defensive. Iran warned the operation crossed maritime “red lines.”
Oil prices fell for a second consecutive session on the announcement. Brent crude for July delivery dropped $1.52 to $108.35 per barrel by early Wednesday, after falling 4% Tuesday. US benchmark West Texas Intermediate fell to $100.77. Last week Brent had touched its highest level since March 2022 as Hormuz disruption tightened global supply.
Secretary of State Marco Rubio described Project Freedom as the “first step” toward fully reopening the waterway. Defence Secretary Pete Hegseth called the operation “defensive in nature, focused in scope and temporary in duration.”
There was no immediate reaction from Tehran. The strait — which typically carries about a fifth of global oil and gas supply — has been mostly cut off since the US-Israeli war against Iran began on February 28. Sri Lanka’s fuel import costs have surged repeatedly during the closure, with the Ceylon Petroleum Corporation absorbing per-barrel premiums of up to $50 above pre-war levels.
