President Trump announced the US will ensure free flow of energy through the Persian Gulf with insurance guarantees and naval escorts. The Strait of Hormuz remains effectively closed after US and Israeli strikes on Iran triggered regional conflict. With ships unable to transit, producers cannot export, supertanker costs are skyrocketing, and Persian Gulf refinery storage is filling up as insurance mutuals withdraw war risk coverage.

Shipping industry experts view Trump's assurances as at best a partial solution to a historic crisis. RBC Capital Markets analysts question how much planning has gone into the insurance backstop and note execution challenges. Karnan Thirupathy of Kennedys Law LLP emphasizes shipowners prioritize safety: "No one goes into the trade if the risk of loss is simply too high." Iraq has already begun cutting oil output.

Trump's plan taps the US International Development Finance Corporation to support charterers, shipowners and maritime insurers. While precedent exists with a similar facility for Ukraine's grain exports, a Persian Gulf oil version would be far larger and more complex. Shipowners express wariness about tying their operations to a volatile US administration, with questions about sufficient naval assets and effectiveness of escorts.