President Donald Trump has announced US intervention to ease the Strait of Hormuz traffic crisis.
According to Trump, the United States will help build shipping traffic in the Strait of Hormuz which has been closed since the conflict between the US and Iran began.
This positive development comes after the US and Iran agreed to a two-week ceasefire plan brokered by Pakistan.
A breakthrough deal was finalized on Tuesday to avoid a high-stakes deadline set by President Donald Trump, according to Reuters.
After a stern ultimatum from the President regarding the vital shipping route, an agreement was reached in less than two hours.
“We’ll be working with all kinds of supplies and moving around to make sure everything is OK,” Trump said.
He said, “There will be a lot of positive action! Big money will be made. Iran can start the reconstruction process.”
Additionally, after achieving a “two-week ceasefire agreement with Iran”, Trump called the progress a “complete and total victory”, as reported by Agence France-Presse.
The Strait of Hormuz is a major shipping route responsible for shipping 20 percent of the world’s oil. The continued blockade of Hormuz has unsettled energy markets and investors, sending oil prices soaring.
A temporary pause in the conflict and the reopening of the Strait of Hormuz would allow Middle Eastern energy exporters to ship large quantities of oil. About 130 million barrels of crude oil and 46 million barrels of refined fuel are currently floating on about 200 tankers in the region, according to data from analytics firm Kpler.
