Rubio tells G7 the blockade makes major combat against Iran unnecessary as oil rebounds on Hormuz attacks

Secretary of State Marco Rubio said on Tuesday that he told G7 allies that US economic sanctions and the naval blockade of Iran are working so well that there is no need for major combat operations^1,4. Rubio, speaking after the G7 meeting, said there is “no need” for further military action for now^2,3.

At the meeting in Paris, Rubio told his G7 counterparts that President Donald Trump had considered resuming the war with Iran or cutting a deal but chose a third option, strangling the Iranian regime, according to three people who attended⁵. Rubio, Treasury Secretary Scott Bessent, CIA Director John Ratcliffe and Trump adviser Jared Kushner had advocated that approach¹². “He’s been searching for the solution, but he wasn’t sure what’s the best way to go,” a US official close to Trump said⁵.

How oil reacted

Oil rose from a two-month low as attacks on shipping in the Strait of Hormuz offset hopes of an Iran truce^6,7. Brent futures climbed 71 cents, or 0.78%, to $92.20 a barrel, and US West Texas Intermediate crude rose 49 cents, or 0.57%, to $86.53^7,8. New data showed 37 ships had been attacked in the strait, keeping supply risks in the Middle East in view^8,9.

Iran’s army said on Wednesday that an oil tanker had struck a mine and caught fire in the Strait of Hormuz¹¹. US and Gulf officials described the American strikes as defensive operations⁹. French President Macron has held talks with Gulf countries about providing insurance for vessels going through the strait, where transport has been disrupted since the US and Israel began strikes on Iran in February¹⁰.

What to watch

The administration’s approach relies on economic pressure rather than strikes^1,5, which leaves shipping risk in the strait as the main driver of supply concern^6,9. The Iran war has become a political burden in Trump’s second term and cost Republicans in the midterms⁵.

The points to follow are whether attacks on Hormuz shipping continue^8,11, whether Gulf governments agree to the insurance scheme Macron has raised¹⁰, and whether the administration holds to its stated preference for sanctions over combat^3,5.