Iran's SNSC orders swift Hormuz Strait passage under Iran-US MoU
Synopsis
Key Takeaways
Iran's Supreme National Security Council (SNSC) on 19 June directed authorities to process vessel passage requests through the Strait of Hormuz with immediate effect, citing obligations under a newly signed memorandum of understanding (MoU) between Tehran and Washington. The directive came hours after Iranian President Masoud Pezeshkian and US President Donald Trump formally signed the accord electronically.
Key Terms of the Hormuz Passage Order
Under the MoU, no transit fees will be levied on vessels crossing the Strait of Hormuz for a period of 60 days, with all associated costs to be borne by the Iranian government. Ships seeking passage must submit requests to the Persian Gulf Strait Authority (PGSA), which will also publish executive arrangements and technical details for transit.
The SNSC noted in its statement that vessels must adhere to designated routes and scheduled timings, citing 'specific circumstances and existence of some safety hazards along the passage route.' It gave assurances that traffic through the waterway would increase gradually.
The Iran-US-Pakistan MoU: Background
Iran, the United States, and Pakistan announced the finalisation of the MoU early Monday, framing it as a framework to end conflict on multiple fronts, including in Lebanon. The electronic signing by Pezeshkian and Trump followed shortly thereafter on Thursday. The accord represents one of the most significant diplomatic engagements between Tehran and Washington in years, covering Iran's nuclear activities, regional conduct, and its future relationship with the international community.
Washington's 60-Day Roadmap
US Vice President JD Vance on Thursday outlined the Trump administration's implementation timeline at a White House press conference, describing the coming 60 days as the period that will determine whether the MoU evolves into a durable settlement or collapses under the weight of longstanding mistrust.
'I would say the 60-day period officially started today,' Vance told reporters. He stressed that any future economic benefits for Iran would be contingent on verified actions — not promises — signalling a compliance-first approach from Washington.
What Happens Next
The PGSA is expected to publish technical guidelines for Hormuz transit in the near term. Analysts note that the strait handles an estimated 20% of global oil trade, making its unimpeded operation a matter of international economic consequence. The next 60 days will be closely watched by energy markets, regional powers, and nuclear non-proliferation observers alike. Whether the MoU framework hardens into a binding agreement or frays amid implementation disputes will likely define the trajectory of Iran-US relations through the remainder of 2025.