Hormuz tensions rise as Iran warns Gulf

Iran's armed forces on Wednesday warned Gulf countries against assisting the United States, hours after the United Arab Emirates (UAE) suspended all economic dealings with Tehran, as uncertainty over the Strait of Hormuz continued to slow shipping through the vital waterway.

The warning from Iranian armed forces chief of staff Ali Abdollahi came after the UAE announced on Tuesday that it was suspending all trade, commercial exchanges and financial transactions with Iran "until further notice" in light of regional escalations.

Abdollahi said Gulf countries hosting US military installations should be aware that Tehran was monitoring the situation. He warned that any assistance

or facilitation provided to the US military would amount to participation in its military operation, according to Mehr news agency.

The warning followed an announcement by Abu Dhabi that Iran had fired two ballistic missiles towards the UAE with one falling into the sea and other landing within UAE territorial waters. Iranian Foreign Ministry spokesman Esmaeil Baqaei categorically rejected the UAE's claim, calling its accusations baseless.

The UAE's decision marked the latest measure taken against Iran since the conflict began. The two Gulf neighbours share cultural and historical ties, while the UAE had been a major trading partner for Iran and is home to a sizable Iranian community.

Meanwhile, shipping through the Strait of Hormuz also slowed on Tuesday, according to the preliminary data released on Wednesday, as shipowners largely avoided the key waterway amid uncertainty over whether it would reopen.

Six commodity vessels crossed the strait on Tuesday, according to Kpler data, down from nine a day earlier and below the 10-day daily average of 11. The Strait of Hormuz remains a major flashpoint as a framework US-Iran deal aimed at reopening the trade corridor has collapsed.

Although US envoy Jared Kushner said on Monday that Washington and Tehran were engaged in "very positive and active conversations", US President Donald Trump said on Tuesday that there were no talks or scheduled discussions.

The conflict between Iran and the United States began on February 28 with US-Israeli attacks on Iran, followed by Iranian missile and drone strikes across the region. Several Middle Eastern countries have said they would not allow their territories to be used as launchpads for attacks.

Meanwhile, Iraqi parliament speaker Haibat al-Halbousi called for special status for Iraqi oil exports through the Strait of Hormuz during talks with his Iranian counterpart Mohammad Baqer Qalibaf in Baghdad on Wednesday, according to his office.

The US has largely paused military operations, while the USS George Washington aircraft carrier is being redeployed to the Middle East to relieve the USS Abraham Lincoln following reports of deteriorating living conditions for its crew.