Canada backs US-led efforts to reopen Strait of Hormuz, pressures Iran with expanded sanctions

Canada formally backed the US, French, and British campaign to reopen the Strait of Hormuz on Sunday, throwing its diplomatic weight behind a coalition effort to restore navigation through the world’s most important oil chokepoint. The joint statement from Canadian Foreign Affairs Minister Anita Anand and Finance Minister François-Philippe Champagne condemned what Ottawa called Iran’s destabilizing activities in the Middle East.

The announcement lands at a moment when global energy markets are already rattled. The strait typically handles roughly 20% of the world’s oil supply and a significant share of global liquefied natural gas trade.

What Canada is actually doing

Ottawa’s response has been a mix of financial pressure and carefully hedged offers of operational help. Canada has now sanctioned 492 Iranian individuals and entities under its Special Economic Measures Act since 2010, a number that grew in August 2026 when five additional individuals were targeted for alleged efforts to obstruct navigation rights in the strait.

Prime Minister Mark Carney has signaled willingness to contribute expertise in areas like demining and cyber support, though that offer comes with a significant asterisk. Canada has conditioned logistical involvement on the establishment of a durable ceasefire.

The backstory: how tensions escalated

The current standoff traces back to February 2026, when US and Israeli military strikes on Iran prompted Tehran to issue threats about restricting military transit through the Strait of Hormuz. What began as rhetoric escalated into a genuine disruption of one of global trade’s most critical arteries.

The consequences have been felt far beyond the Middle East. Energy prices spiked as traders priced in the risk of prolonged disruption. Transport costs climbed as shipping companies rerouted vessels or demanded higher premiums for strait transit.

G7 discussions have increasingly focused on diversifying energy routes precisely because of this vulnerability. Canada, as a major energy producer, has been identified as a potential contributor to alternative supply arrangements, though expanding Canadian export capacity is a multi-year project rather than a quick fix.

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