By The South Asia Times

WASHINGTON - Iran has introduced sweeping new demands in efforts to end its conflict with the United States and Israel, including a proposal that could generate billions of dollars in revenue while reshaping global energy flows.

At the center of Tehran’s strategy is the Strait of Hormuz, the narrow but critical waterway through which roughly one-fifth of the world’s oil and liquefied natural gas supplies typically pass. Iranian officials are now seeking formal recognition of their authority over the strait, alongside the introduction of transit fees for tankers -- a move that could transform the chokepoint into a major source of income, according to CNN.

The demand marks a significant shift in Iran’s negotiating position. While Tehran has long called for sanctions relief and recognition of its nuclear rights, it had not previously pushed for control or monetization of Hormuz in talks with Washington.

The proposal follows weeks of disruption in the waterway, where heightened tensions and attacks have slowed shipping traffic to a near standstill. The impact has reverberated across global markets, driving up energy prices and forcing countries far beyond the Gulf region to scramble for alternative supplies.

Analysts say Iran appears to have been surprised by the effectiveness of its strategy. “Tehran has discovered a powerful new form of leverage,” said regional experts, noting that controlling access to Hormuz allows Iran to exert pressure not just on its adversaries but on the global economy itself.

Estimates suggest the financial gains could be substantial. With around 20 million barrels of oil passing through the strait daily under normal conditions, even a fee of a few million dollars per tanker could generate hundreds of millions of dollars each month.

If extended to liquefied natural gas shipments, revenues could rival those of the Suez Canal, one of the world’s most important artificial trade routes.

However, the proposal has drawn strong opposition. US Secretary of State Marco Rubio warned that any attempt to impose tolls would be “illegal” and “dangerous,” emphasizing that international law guarantees free passage through such waterways. Similar concerns have been raised by maritime experts, who argue that the strait is governed by widely accepted global conventions ensuring unimpeded transit.

Despite the legal challenges, there are signs Iran may already be testing elements of the plan. Shipping data indicates that some vessels are using routes closer to Iranian waters, with reports suggesting that certain operators may have quietly paid for safe passage.

Iranian officials insist the strait remains open, but with conditions. Authorities have indicated that vessels deemed “non-hostile” can pass, provided they coordinate with Tehran -- a stance that effectively introduces a controlled access system.

The development comes as diplomatic efforts intensify to end the conflict, with regional and global powers pushing for negotiations. Yet Iran’s latest demands underscore how the war has not only escalated militarily but also evolved into an economic and strategic contest over one of the world’s most vital trade routes.

As talks continue, the future of the Strait of Hormuz -- and the stability of global energy markets -- may hinge on whether these demands can be reconciled with international law and geopolitical realities.