Strait of Hormuz oil flowing back to pre-Iran war levels, Vance says

Key Points:

• Oil flow through the Strait of Hormuz has returned to or exceeded pre-war levels despite overall lower maritime traffic, following a US-Iran memorandum of understanding that led Tehran to reopen the waterway, according to Vice President JD Vance.
• While total ship passages remain below the pre-war average of 130-150 daily, oil tanker traffic has recovered more quickly than other commercial vessels like container ships and bulk carriers.
• The reopening of the strait and the lifting of US sanctions on Iranian oil exports have allowed Iran to resume energy sales globally, contributing to increased oil flow and a significant drop in global oil prices from around $120 to about $70-$73 per barrel.
• Vance emphasized that the US strategy balances military readiness with economic stability, criticizing Republican calls for continued war with Iran as politically ineffective and highlighting the importance of easing pressure on the global energy market.
• The Strait of Hormuz remains a critical chokepoint for Gulf oil exports, and its reopening has helped stabilize world energy markets amid ongoing uncertainties about Iran’s future actions.