Source: Fortune
Summary
Financial markets showed little reaction to President Donald Trump’s announcement of “Project Freedom,” a plan to guide ships from neutral countries through the Strait of Hormuz, despite Iran’s mining of the area. Trump stated that the effort will start on Monday and is a “humanitarian gesture” on behalf of the US, Middle Eastern countries, and Iran. The US Navy has begun conducting anti-mine operations, but it may take weeks or months to eliminate the threats. Iran has insisted that ships pay a toll and follow a course approved by the Islamic Revolutionary Guard Corps.
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Trump’s announcement of Project Freedom comes as the US Navy has already tested the waters in the Strait of Hormuz, sending two destroyers through the area despite warnings from the IRGC. The Navy has also begun conducting anti-mine operations, but it may take weeks or months to eliminate the threats. The US has a naval blockade on Iran to keep its oil exports bottled up and add economic pressure. The situation is a complex game of cat and mouse, with the US and Iran engaging in a series of moves and counter-moves.
The announcement sounds like a carefully calibrated message, designed to reassure and provoke at the same time.
Author: Evan Null
