Crude oil tanker off Dubai hit by Iranian strike after Trump's latest threats

Strike on Kuwaiti ship causes crude to briefly spike as ship carries 2 million barrels of oil

A foreign tanker carrying Iraqi fuel oil damaged after catching fire in Iraq's territorial waters, following unidentified attacks that targeted two foreign tankers, according to Iraqi port officials, near Basra, Iraq, March 12, 2026. PHOTO: REUTERS

Iran attacked and set ​ablaze a fully loaded crude oil tanker off Dubai on Monday, as President Donald Trump warned the US would obliterate Iran's energy plants and oil wells if it did not open the Strait of ‌Hormuz.

The strike on the Kuwait-flagged Al-Salmi is the latest in a string of strikes on vessels disallowed to cross the Strait by missiles and explosive air and sea drones in the Gulf and Strait of Hormuz since the US and Israel attacked Iran on February 28.

The conflict has spread across the Middle East, killing thousands of civilians in Iran, Lebanon and other Gulf countries, disrupting energy supplies and threatening to send the global economy into a tailspin.

Crude oil prices briefly spiked anew after the attack on the tanker, which can carry around 2 million barrels of oil worth more than $200 million at current prices.

Kuwait Petroleum Corp, the ship's owner, said the ​attack happened early on Tuesday, causing a fire and hull damage, but there were no reported injuries.

Authorities in Dubai later said they had been able to bring the fire under control following a drone attack on the ​tanker. No injuries have been reported, they said.

The jump in oil and fuel prices has started to weigh on U.S. household finances and become a political headache for Trump and his ⁠Republican Party ahead of the November midterm elections, having vowed to lower energy prices and ramp up U.S. oil and gas production.

The US national average retail price of gasoline crossed $4 a gallon for the first time in more than three years on ​Monday, data from price-tracking service GasBuddy showed, as tightening global supplies push US crude prices above $101 a barrel.

Trump seeks to end war without reopening Hormuz

Trump is ‘willing to end war without reopening Hormuz,' according to the Wall Street Journal, citing US officials. Trump and his aides have assessed in recent days that attempting to pry open the chokepoint would push the war beyond the president’s timeline of four to six weeks.

White House press secretary Karoline Leavitt later said Trump wanted to reach a deal with Tehran before an April 6 deadline he set last week after extending an earlier deadline he had set for Iran to open the Strait of Hormuz.

Leavitt said talks with Iran were progressing, adding that what Tehran says publicly differs from what it tells US officials in private

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