Brazil's Lula Criticizes Trump's Proposed Toll on Hormuz Strait
Lula's Strong Condemnation of U.S. Policy
Luiz Inacio Lula da Silva, the President of Brazil, has expressed strong disapproval of U.S. President Donald Trump's initiative to impose a 20% transit fee on vessels navigating the Strait of Hormuz. Lula accused the U.S. of acting like a "pirate" state following Trump's declaration of the U.S. as the "Guardian of the Hormuz Strait," which included the announcement of a new toll for ships using this vital waterway.
During a public gathering in São Paulo on Monday, Lula ridiculed Trump's plan to charge commercial vessels for the privilege of passing through the strategic strait. He remarked, "President Trump tweeted that he will unblock the Strait of Hormuz. But for every ship... the oil owner must pay him 20 percent. This used to be considered piracy. A major nation like the United States... cannot now become a pirate," he stated.
Trump's Toll Announcement
These comments came shortly after Trump revealed the tolls and reinstated a naval blockade aimed at Iranian vessels and those trading with Iran, while permitting other maritime traffic to proceed. This announcement has reignited scrutiny over previous statements made by Secretary of State Marco Rubio, who, on June 23, asserted that no nation has the legal right to impose tolls on ships in the Strait of Hormuz, emphasizing that it is an international waterway protected by international law.
Rubio stated, "No country is allowed to charge tolls or fees on an international waterway. That's existing international law." Following Trump's declaration, the United Nations' International Maritime Organization supported Rubio's stance, asserting that there is "no legal basis" for enforcing mandatory transit fees on vessels in international straits.
Lula also connected the escalating tensions in the Gulf to the rising cost of living in Brazil, noting that increased oil prices have already led to higher costs for fuel and essential goods such as beans, rice, tomatoes, and onions. In response to the renewed conflict involving Iran, the Brazilian government has implemented temporary measures to alleviate the burden on consumers from rising fuel prices, while revenue from a newly introduced tax on crude oil exports is being utilized to mitigate some of the economic effects.