Trump Threatens Sanctions and Military Force Against Oman Over Strait of Hormuz

CNBC reported Friday that the Trump administration has directed explicit threats of sanctions and potential military force at Oman, a long-standing U.S. security partner in the Gulf. The warnings center on a possible Iran-linked arrangement over navigation of the Strait of Hormuz.

Bessent Puts Oman on Notice Over Oman Sanctions Threat

Treasury Secretary Scott Bessent posted a stark warning Thursday, saying Washington would pursue aggressive sanctions against any party helping Iran create a tolling mechanism in the Strait of Hormuz. The strait handles roughly one-fifth of global oil traffic. Bessent singled out Oman directly, saying the Treasury would target actors facilitating such arrangements. He urged all nations to reject any Iranian effort to disrupt open commerce through the waterway.

The warning followed remarks President Donald Trump made at a cabinet meeting a day earlier. When asked about reports of a potential Iran-Oman arrangement over the strait, Trump said Oman would either fall into line or face military consequences. Analysts described the comments as the first time a sitting U.S. president had threatened military action against a Gulf Cooperation Council member state.

A Mediator Nation Suddenly Under Pressure

Oman has cultivated a carefully neutral posture for decades. Its geographic position on the southeastern Arabian Peninsula places it directly across the Strait of Hormuz from Iran. That location, combined with Muscat’s tradition of quiet diplomacy, has earned it the informal label of the “Switzerland of the Middle East.”

Brian Katulis, senior fellow at the Middle East Institute, told CNBC the country has consistently upheld the principle of free navigation and has served as a back-channel mediator in numerous regional disputes. He said Trump’s outburst reflected frustration rather than deliberate policy, and characterised it as performative rather than actionable.

Mehran Haghirian of the Bourse and Bazaar Foundation echoed that framing. He noted that the reported Iran-Oman discussions involved shared navigation control rather than toll collection, and that both countries retain geographic leverage over the strait regardless of political pressure.

Background: Why the Strait of Hormuz Matters

The Strait of Hormuz is the world’s most critical oil chokepoint, with Saudi, Emirati, Kuwaiti, and Iraqi crude all passing through it. Any disruption would immediately affect global energy prices. Iran has previously signalled interest in co-managing the waterway, though Oman has not publicly endorsed any such proposal. Oman’s Foreign Ministry had not responded to CNBC’s request for comment at the time of publication.

Washington’s pivot toward threatening an ally marks a significant departure from prior Gulf diplomacy, raising fresh questions about U.S. credibility in the region.

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