Iran maintains firm control over Hormuz Island, a key observation and defensive outpost at the entrance to the Strait of Hormuz that supports Iranian efforts to monitor and influence maritime traffic. In the ongoing US-Iran conflict that began in February 2026, Tehran has used Hormuz and neighboring islands such as Larak and Qeshm to enforce traffic schemes, deploy anti-ship capabilities, and assert administrative authority, even as a fragile interim memorandum of understanding attempts to stabilize passage. Recent months have featured repeated US Central Command strikes on Iranian coastal radar, missile sites, and IRGC vessels in the strait area, alongside Iranian drone and missile responses, yet these exchanges have targeted military assets without altering territorial control of the islands. Gulf states and international actors continue to reject Iranian tolls or exclusive management claims, while negotiations with Oman on future arrangements remain stalled amid enforcement actions and retaliatory incidents through September 2026. Trader assessments reflect the low probability of any near-term shift in sovereignty absent a major escalation or negotiated territorial concession.