Indonesia is exploring imposing a levy on ships transiting the Strait of Malacca, arguing that Indonesia should better capitalize on its position astride the major global trade and energy route, citing Iran's proposed tolls in the Strait of Hormuz as precedent, Channel News Asia reported on April 22. Singapore responded the same day that transit must remain free under the rights of passage and freedom of navigation, with Malaysia agreeing.
The idea surfaced as disruptions to the Strait of Hormuz have sharpened global attention on maritime chokepoints and prompted wider discussion of whether coastal states can extract economic or political leverage from routes long treated as open transit corridors. The roughly 500 mile (805 kilometer) Strait of Malacca accounts for around 20%-25% of global trade, 27% of global seaborne oil trade and 28% of global liquefied natural gas trade, and Indonesia holds the longest and largest littoral share among the three bordering countries.