Saudi Arabia is pressing the Trump administration to drop its blockade of the Strait of Hormuz and return to the negotiating table, The Wall Street Journal reported Monday.
There have been growing concerns that the escalating conflict could destabilize global energy markets and the regional economy.
Officials fear Iran could retaliate by targeting the Red Sea, particularly the Bab el-Mandeb, putting Saudi oil exports at risk.
The U.S. blockade is intended to pressure Iran's economy after Tehran shut the strait, disrupting about 13 million barrels of daily oil exports and driving prices above $100 per barrel.
Despite this pressure, Iran has not backed down, leading to the enforcement of the blockade after failed talks.
The situation highlights the risks of the U.S. strategy, as Saudi Arabia has managed to maintain exports by rerouting oil, but those supplies remain vulnerable if the conflict spreads.
As the White House said, "President [Donald] Trump has been clear that he wants the Strait of Hormuz to be fully open to facilitate the free flow of energy," emphasizing ongoing coordination with Gulf allies.
U.S. naval forces have launched a blockade of Iranian ports, deploying more than 15 warships to restrict oil shipments and intensify economic pressure on Tehran following the collapse of ceasefire talks.
The operation targets tankers carrying sanctioned Iranian crude, with U.S. forces prepared to intercept and potentially seize vessels outside the Persian Gulf to reduce exposure to Iranian attacks.
Trump has defended the move as necessary to counter what he described as Iranian coercion.
"We can't let a country blackmail or extort the world, because that's what they're doing," Trump said at the White House on Monday.
"Iran is doing absolutely no business, and we're going to keep it that way," Trump said.
The blockade is a complex and resource-intensive operation involving aircraft carriers, destroyers, and special operations boarding teams, supported by U.S. and allied surveillance assets.
While no interdictions were reported in the initial days, officials say sustained enforcement will be required and will carry the risk of escalation, including possible Iranian retaliation using missiles, drones or fast-attack boats.
Supporters of the strategy argue that cutting off Iran’s oil revenue could force political concessions.
"Without a source of income, I think it becomes very difficult for the regime to continue to stay in power," said retired Vice Adm. John Miller.
However, Saudi officials and other regional actors fear the economic consequences of prolonged disruption in one of the world's most critical transit corridors.
The blockade also comes at a politically sensitive moment for Republicans back home.
With midterm election projections slipping, the Trump administration is seeking to balance the economic fallout of the conflict, including volatility in global energy markets and trade disruptions, while still pursuing its military objectives and pressuring Iran back into negotiations.