President Donald Trump said Monday that the U.S. Navy has cleared mines from the Strait of Hormuz and now maintains “100%” control of the critical waterway, while also escalating his demands that Iran pay reparations. The latest comments add another layer of tension to an already dangerous standoff between Washington and Tehran.

Speaking to reporters in the Oval Office, Trump asserted that American forces now exercise complete control over the strait. “It’s open now,” he said, while emphasizing that the United States was “the only one that has control of the Strait of Hormuz right now.”

Trump characterized the American military presence as a “steel wall,” arguing that occasional Iranian efforts to lay mines have not undermined U.S. control. “They will, on occasion, drop a mine, and we find the mine,” he said. The United States has maintained a naval blockade of Iranian ports since mid-April.

Iranian officials, however, have maintained that the Strait of Hormuz will remain closed unless Washington meets a series of Iranian demands, including ending its naval blockade. Tehran has also said that its discussions with Oman regarding shipping arrangements would not necessarily result in a complete reopening of the waterway.

Trump escalated the dispute over compensation in a Truth Social post early Tuesday, saying Iran’s demand for reimbursement for war-related damage had given him “an interesting idea.” He argued that Tehran should instead compensate the United States for Americans killed or wounded in roadside bombings and other attacks allegedly connected to Iran, as well as for Iranian protesters whom he said had been killed by the Iranian regime over the past five decades.

The president’s reparations demand has created another obstacle after Iran announced its own requirements Saturday for reopening the strategic waterway. Before the conflict, the Strait of Hormuz carried approximately one-fifth of the world’s oil supplies, making continued disruption a major concern for global energy markets.

Mohammad Bagher Zolghadr, secretary of Iran’s Supreme National Security Council, said Saturday that the strait would remain closed until Washington lifts its naval blockade and sanctions, removes American forces from the region, provides war reparations and unfreezes Iranian assets. The council also demanded an end to U.S. attacks against Iran’s regional allies.

Trump has indicated that he may allow Iran’s worsening economic conditions to increase pressure on Tehran rather than immediately pursue additional military action.

Iranian officials pushed back Tuesday against Washington’s economic pressure campaign. Foreign Ministry spokesman Esmaeil Baqaei responded to Treasury Secretary Scott Bessent’s characterization of U.S. sanctions as “suffocating” Iran.

Baqaei argued that Washington turns to sanctions when diplomatic efforts fail and intensifies them when they do not produce the desired results. He described the approach as having become less a “policy” than a “compulsive addiction.”

The continuing deadlock reflects two sharply different positions. Washington views its naval deployment as a lasting guarantee of access through the waterway, while Tehran regards the American military presence as the principal barrier to restoring normal shipping. Iran has repeatedly said it will not reopen the Strait of Hormuz while the United States continues its blockade of Iranian ports.

The disruption to energy supplies remains a major concern for financial markets. Tanker traffic through the strait continues to operate at reduced levels, according to Lloyd Chan, senior currency analyst at MUFG Bank in Singapore, who also noted that Brent crude prices remain well above levels seen before the conflict.

Chan said further flare-ups remain possible but added that a wider regional war is still not considered the most likely outcome.

Oil prices surged Monday as tensions and rhetoric intensified, reversing a short-lived decline from the previous week. West Texas Intermediate crude for September delivery rose about 5% to settle near $82.13 per barrel, while Brent crude gained roughly the same amount to reach about $87.72. Oil prices were modestly higher in Asian trading Tuesday.

With Washington and Tehran continuing to disagree over control of the Strait of Hormuz, military deployments, sanctions and financial compensation, the strategic waterway remains at the center of an increasingly tense confrontation that could continue to weigh on global energy markets.