Trump says damage to ships in Strait of Hormuz to be paid from Iranian funds

US President Donald Trump said Thursday that Washington will use Iranian funds already in its “possession” to cover any damage to ships or cargo in the Strait of Hormuz by strikes.

“Please let this statement serve to represent, until further notice, that from this point forth, any and all damages done to Ships, Cargo, or anything related thereto, will be paid for by Iranian Money that the United States has in its possession, and controls,” Trump said in a statement posted on his Truth Social platform.

“These damages may be very substantial but, nevertheless, this is the fair and equitable thing to do,” he added.

Trump did not specify the source of the funds, but billions of dollars in Iranian assets remain frozen under US sanctions.

The US has carried out a series of strikes across Iran since last week, while Tehran has responded with attacks targeting facilities and bases it says are used by the US military in several countries across the region.

The exchange of fire has continued despite a Pakistan-brokered framework agreement signed by the US and Iran in June to end their war that began in February and pave the way for a lasting peace deal.

The war has driven up energy prices and affected shipping through the Strait of Hormuz, which is a critical global oil chokepoint.