The United States military has conducted strikes on Iran for the 13th consecutive night, following claims by Iran-backed Houthis in Yemen of attacking two Saudi tankers in the Red Sea. The escalating tensions have raised concerns over global shipping and contributed to a spike in oil prices. US President Donald Trump stated that any damages to ships or cargo resulting from these events would be paid for using Iranian assets held by the US.
Iranian state media reported that four people were killed and five injured in the strikes, which targeted military and commercial sites in the southern part of the country, including the port city of Bandar Abbas and Qeshm Island. The US military confirmed it had targeted "Iranian military command centers, drone storage facilities, communication networks, coastal surveillance sites and maritime capabilities" with the aim of degrading Iran's ability to threaten civilian shipping.
The recent events follow a pattern of escalating confrontations. In June, the US and Iran had agreed on a Memorandum of Understanding (MOU) aimed at halting military operations and reopening the Strait of Hormuz. However, President Trump declared the ceasefire over just three weeks later, citing Iranian attacks on ships in the Strait and subsequent US strikes.
Point 11 of the MOU stipulated that the "United States of America undertakes to make fully available for use the frozen or restricted funds and assets of the Islamic Republic of Iran." Trump characterized his plan to use these assets for damages as "fair and equitable."
Iranian Foreign Minister Abbas Araghchi responded critically to Trump's announcement, calling it an "incendiary precedent" and warning that "Those who celebrate or profit from such funds should remember: once governments normalize confiscation, no one's assets are safe." He added that the "ensuing chaos will not be pretty or peaceful."
The heightened tensions have had a tangible impact on global markets. The price of crude oil has surpassed $100 a barrel, reaching its highest level since May. Ship-tracking data indicated that only one tanker transited the Strait of Hormuz on Thursday, July 24, the lowest figure since early May, further highlighting the disruption to international shipping routes.
Bahrain's Interior Ministry reported that its air sirens had been activated, and Iranian state media also indicated that alarms had sounded in Jordan amidst the unfolding events.