US President Donald Trump and senior administration officials are considering limited strikes against Iran in the Strait of Hormuz aimed at preventing Tehran from rebuilding military capabilities used to threaten ships in the strategic waterway, Axios reported on Monday.

The report cited three US officials who said the proposal was developed by US Central Command (CENTCOM) over the past week and has the support of Secretary of Defense Pete Hegseth. Trump had not approved the proposal prior to the latest exchange of fire between the US and Iran, but the recent escalation could affect the administration's calculations.

One US official told Axios that the proposed strikes are intended to reduce the threat posed by Iran to oil tankers, US Navy vessels and US Air Force aircraft operating in the area.

A White House official told Axios that Trump "retains all options at his disposal," adding that Iran wants an agreement but has repeatedly failed to act in time.

The report said that during the past two months, the US military has increasingly established control over much of the Strait of Hormuz by weakening Iranian military capabilities, clearing mines and helping vessels navigate the waterway.

Those efforts have reduced Iran's ability to strike oil tankers while enabling additional maritime traffic and oil exports to pass through the strait, according to the report.

However, US officials told Axios that CENTCOM has become concerned by Iranian efforts to restore radar systems, air defenses and anti-ship missile capabilities that could allow Tehran to more accurately target vessels.

Those concerns increased following the recent launch of an Iranian anti-aircraft missile toward a US F-35 fighter jet providing cover for ships in the strait, according to a US official cited in the report. The missile did not come close enough to pose a danger, but US officials viewed the launch as an indication that Iran was attempting to rebuild its military capabilities.

CENTCOM subsequently informed Hegseth, Chairman of the Joint Chiefs of Staff Gen. Dan Caine, and the White House that periodic strikes against Iran could be necessary to allow dozens of oil tankers to leave the Gulf safely each day, Axios reported.

Hegseth backed the proposal and forwarded it to the White House several days ago. US officials said the White House had been leaning against approving additional strikes last week due to concerns that they could further escalate the conflict.

That calculation could change following Iran's ballistic missile attacks on US bases in Jordan on Sunday. The Iranian attacks followed a US strike on Iranian forces who were preparing to launch rockets carrying mines into the Strait of Hormuz.

Trump said Monday morning that the US would respond to the attack on American forces.

"We're going to hit them hard; there will be a response," Trump told Fox News, indicating that all but one of the Iranian missiles had been intercepted.

Earlier Monday, Trump declared Iran a "failed" and "dead" nation in a post on Truth Social, citing the condition of its military, economy and leadership.

The developments also come as the Trump administration continues its campaign of economic pressure on Tehran. US Treasury Secretary Scott Bessent announced Sunday that the administration is preparing sanctions against another bank as part of efforts to further isolate Iran financially.

Last week, Bessent announced "Operation Economic Outcast," a campaign intended to restrict the flow of funds to the Iranian government. The US subsequently announced sanctions targeting UAE branches of Egypt's Banque Misr.