Trump Orders US Navy Blockade of Strait of Hormuz After Iran Talks Collapse, Sending Oil Prices Soaring

President Donald Trump declared that the United States will commence a naval blockade of the strategic Strait of Hormuz in response to the breakdown of peace talks between Washington and Tehran held in Islamabad.

In addition to the blockade, Trump warned that American forces could target Iran’s water‑treatment plants, power stations and bridges unless Tehran abandons its pursuit of a nuclear weapons capability.

The announcement came after a 21‑hour round of direct negotiations between the two sides collapsed on Sunday morning, ending a brief cease‑fire that had been brokered by the United States, Israel and Iran.

U.S. Vice‑President JD Vance, who led the American delegation, said Iran refused to renounce the possibility of developing nuclear weapons, while Iranian officials accused Washington of failing to earn their trust.

Trump instructed the U.S. Navy to begin “blockading any and all ships trying to enter or leave the Strait of Hormuz” starting Monday at 10 a.m. ET (14:00 GMT). He also accused Iran of “extortion” for charging tolls to tankers and announced a de‑mining operation in the waterway’s central sector, although the exact number of mines remains unclear.

The Iranian Revolutionary Guard warned that any warships enforcing the blockade would be deemed a breach of the cease‑fire and would be met with a strong response, insisting the strait remains under Iranian control.

Two U.S. destroyers transited the strait on Saturday without incident, a move the Pentagon described as the start of a mine‑clearance mission, even as Iranian media claimed the vessels were threatened as they departed.

Financial markets reacted sharply: U.S. crude oil jumped 8% to $104.24 per barrel and Brent crude rose 7% to $102.29, reflecting concerns that the blockade could disrupt the flow of roughly 100 tankers that have been paying up to $2 million each for passage.

Vance reiterated that the United States seeks a clear, affirmative commitment from Iran not to pursue a nuclear weapon, describing it as the “core goal of the president.”

Iranian parliament speaker Mohammad Bagher Ghalibaf argued that Tehran offered “constructive initiatives,” but U.S. demands were “excessive” and hindered an agreement, according to the semi‑official Tasnim news agency.

Pakistani mediators urged both parties to avoid renewed hostilities and pledged to arrange fresh talks, emphasizing the importance of upholding the existing cease‑fire.

In a televised interview, Trump warned that if a deal cannot be reached, the United States may resume bombing Iran, specifically targeting its water‑supply infrastructure, desalination plants and power generation facilities.

Regional fallout continued: at least 11 people were killed in southern Lebanon amid a series of Israeli strikes, while Pope Francis called for an immediate cease‑fire, expressing solidarity with the Lebanese people.

The broader conflict, now six weeks old, has claimed more than 3,000 lives in Iran, over 2,000 in Lebanon, dozens in Israel and several Gulf states, and has inflicted extensive damage on critical infrastructure across the Middle East.