The administration is threatening to impose sanctions on individuals or entities that attempt to get through the Strait of Hormuz by paying the Iranian toll, which the Iranians are demanding for passage.
This is a serious threat because, obviously, the Treasury Department does have the power to impose these sanctions on individuals or on entities.
What the US is suggesting is they form a consortium of shipping companies, essentially, called the Maritime Freedom Construct.
Apparently, this is being set up by the State Department.
It will be operated by the US Central Command, and the idea is that ships wanting to get passage through the Strait of Hormuz liaise with the US Navy – get an escort through it – formalise it with the United States Navy, who would obviously vet each of these individual tankers before allowing them through.
It’s a complicated process and one that will be difficult to see how quickly it can be established and how effectively it can operate.
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