Tufton: Ships still avoiding Hormuz despite Iran peace talks hype

• Shipping activity in the Strait of Hormuz has not significantly improved, with most vessels still avoiding the route.
• War risk premiums for insurance remain high, and insurers are reluctant to provide full coverage, expecting months before normalization.
• Iran is attempting to exert new control over the strait, requiring coordination for passage and potentially imposing tolls, which shipping companies are wary of due to sanctions risk.
• The situation is unlikely to normalize until there is greater clarity and sustained implementation of a lasting peace agreement.

Despite recent U.S.-Iran talks, shipping through the Strait of Hormuz remains severely disrupted. Most vessels are still avoiding the route due to high war risk premiums and uncertainty over the fragile peace deal, with traffic nowhere near pre-war levels. Iran is attempting to assert control over the strait, further complicating operations.