President Donald Trump’s plan to guarantee the free flow of energy shipments through the Persian Gulf met with tepid enthusiasm, as the shipping industry warned the proposal may struggle to restore confidence after attacks effectively shut the Strait of Hormuz. Trump said on Tuesday the US would offer insurance backstops and naval escorts for commercial vessels transiting the region, seeking to reassure markets rattled by a spiralling conflict involving Iran. Multiple attacks on vessels in recent days have choked off traffic through the narrow waterway, hurting energy consumers such as India. Insurers have largely withdrawn cover for transiting Hormuz, though policies are available for ships stuck in the Gulf, as long as vessels don’t transit. “The core thing shipowners are thinking about is the real risk of loss,” Karnan Thirupathy, partner at Kennedys Law LLP, told Bloomberg.

Source: The Telegraph March 05, 2026 00:58 UTC