Shipping executives warned that President Donald Trump’s proposed 20% levy on vessels passing through the Strait of Hormuz could backfire by discouraging ship traffic and further reducing activity on the crucial trade route.
Shipping giant Hapag-Lloyd rejected the idea of imposing tolls on the Strait of Hormuz, irrespective of the country imposing it, calling it “fundamentally wrong” to charge for passage through international waters. The company said fees for infrastructure-based waterways like the Suez and Panama Canals are justified due to major investments, unlike the Strait of Hormuz, reported CNBC.
