Iran Vows Strait of Hormuz Will Stay Shut Until U.S. "Accepts Defeat"; Trump Says Americans Must Tolerate Higher Gas Prices

BlockBeats reported on Aug. 15 that the U.S.-Iran standoff is intensifying, with crude shipments through the Strait of Hormuz still effectively halted. Iran said it will not allow navigation to resume unless Washington acknowledges what Tehran called the "reality of failure" and ends pressure. Deputy Foreign Minister Kazem Gharibabadi said the decision to open or close the Strait of Hormuz rests with Iran. He added that as long as the United States "does not accept defeat and continues to harbor illusions," Iran will keep restrictions in place. Reuters noted the strait handled roughly one-fifth of global oil supply before the conflict. Tanker movements have since collapsed: vessel-tracking firm Kpler recorded only two transits on Friday and no crude cargoes, versus more than 130 vessels a day before the conflict. Speaking at a political rally in New York, U.S. President Donald Trump argued that higher gasoline prices are an acceptable cost to prevent what he called "evil nations" from obtaining nuclear weapons, saying consumers should accept modestly higher oil prices. AAA data show the U.S. average retail gasoline price has climbed to about $4.08 per gallon, up 29% year over year. Oil markets have reacted as well. Brent crude futures are up about 6% this week, while WTI crude futures have gained roughly 5.4%. Iran is also feeling economic strain. President Masoud Pezeshkian said U.S. port blockades and sanctions on Iran's oil exports have added to domestic inflation pressures. Peace talks between the two sides have not restarted. U.S. Treasury Secretary Scott Bessent said additional economic measures targeting Iran will be announced next week. Separately, Iran-backed Houthi forces launched a new wave of attacks in Yemen, heightening concerns about a broader regional escalation.