Iran says Iraqi ships exempt from Strait of Hormuz restrictions

Iran said on Sunday that Iraqi vessels would be exempt from restrictions in the Strait of Hormuz, allowing them to pass freely through the strategic waterway, according to a statement by the Khatam al-Anbiya Central Headquarters carried by the Tasnim news agency.

"We hold profound respect for Iraq's national sovereignty," the headquarters said, adding: "You are a nation that bears the scars of American occupation, and your struggle against the US is worthy of praise and admiration."

Iran has effectively blockaded the strait since the start of the US-Israel war on Iran on Feb. 28, sharply reducing maritime traffic through a route that typically carries about one-fifth of the world's oil and liquefied natural gas, says Al Jazeera.

Despite the restrictions, shipping activity has shown signs of a limited recovery, with weekly transits rising to 53. Recent crossings have included vessels linked to France and Japan, according to shipping data.

The disruption has had significant economic consequences, with Brent crude prices rising above $109 a barrel and prompting fuel price increases and emergency energy-saving measures in several countries.

Iraq has been particularly affected, with oil production falling to 1.2 million barrels per day from 4.3 million due to export constraints linked to the strait.

The announcement comes after a 48-hour ultimatum from US President Donald Trump, who said "all hell" would rain down if Tehran did not relinquish control of the waterway or reach an agreement.

Iranian military officials rejected the warning, calling it a "helpless, nervous, unbalanced and stupid action".

Separately, reports indicated a drone attack on a Kuwaiti oil facility and the recovery by the United States of a crew member from an F-15E jet downed in Iran.

Tehran said that while Iraqi ships would be allowed to pass, restrictions would remain in place for vessels from "enemy countries".