PNN – In an analysis, The Economist suggests that paying fees to Iran is a more realistic approach than allowing the crisis in the Strait of Hormuz to persist.
According to the report of Pakistan News Network; The Economist writes that after more than five months of conflict, Arab states in the Persian Gulf have concluded that the US military solution has failed to secure the Strait of Hormuz. They now view reaching an agreement with Iran as the only realistic option—an arrangement that, while not ideal for them, would be less costly than the continuation of the crisis. Key points from the report are outlined below:
- US Military Action Failed to Reopen Hormuz
The Economist reports that, after months of conflict, the Strait of Hormuz remains largely closed. Each time negotiations between Washington and Tehran collapse, hostilities resume; conversely, whenever military operations reach a stalemate, both sides return to the negotiating table—a cycle demonstrating that military pressure has failed to achieve US objectives.
- Arab Nations See No Hope for an Iranian Retreat
According to the publication, Iran’s Arab neighbors no longer expect Tehran to back down from its stance regarding the Strait of Hormuz.
- Hormuz: Irreplaceable
According to The Economist, Arab nations’ efforts to construct new pipelines and establish alternative routes to bypass the Strait of Hormuz are unlikely to succeed. Even if all alternative projects are completed on schedule by 2030, approximately one-third of the oil that flowed through Hormuz prior to the conflict would still inevitably have to pass through this same waterway.
- Paying Iran is more realistic than prolonging the crisis
The Economist suggests that Arab nations might eventually have to accept paying transit fees to Iran to ensure the passage of ships through the Strait of Hormuz. The publication believes that while such an agreement is far from ideal, it could help de-escalate tensions.
- Conclusion
The Economist concludes that, contrary to the initial U.S. objective, the war has failed to deprive Iran of the Strait of Hormuz leverage. Arab nations are now contemplating an agreement with Tehran to manage the crisis rather than pinning their hopes on a military solution from Washington; in the current climate, this appears to be the only practical option for mitigating the region’s economic and security costs.