Shipping Security in the Strait of Hormuz

Summary

It Could Happen Here — “Shipping Security in the Strait of Hormuz”

Podcast: It Could Happen Here
Date: March 16, 2026
Hosts: James Stout & Garrison Davis
Theme: The podcast delves into the rising threats and complexities surrounding maritime shipping security in the Strait of Hormuz amid renewed Iranian attacks, the surge of private military contractors at sea, and the broader implications for global trade and accountability.

---

Episode Overview

This episode unpacks the escalating security threats to commercial shipping in the Strait of Hormuz, focusing on Iran’s recent attacks on vessels, the historical evolution and current realities of private maritime security, and the broader geopolitical, legal, and ethical ramifications. James and Garrison offer both granular historical context and sharp commentary on how states and private actors shape the safety and insurability of global trade routes.

---

Key Discussion Points & Insights

1. Current Events: Rising Danger in the Strait of Hormuz

• Iranian Attacks on Shipping:

  • Iran is actively attacking commercial vessels in the Strait of Hormuz and other sensitive areas; as of recording, at least six ships were targeted (02:44).
  • Attacks now include advanced tactics such as uncrewed surface vessels (drones) and classic sea mines (35:52, 37:47).

• US Response Limitations:

  • The US has both offered and rescinded military escorts for shipping, unable to provide consistent coverage for all vessels (03:42).
  • The situation mirrors historical precedents like the 1987 “Tanker War” and raises concerns about escalation and mistakes in a crowded, high-stakes environment (26:56).

2. The Rise and Role of Private Maritime Security

• Historical Background:

  • The use of private security on ships has deep roots but became more prominent in the 21st century due to legal loopholes at sea and the rise in modern piracy (03:50).

• Why Private Security Exists:

  • Flag of convenience loopholes (registering ships in countries such as Liberia, Panama, or Marshall Islands to avoid taxes, labor, and safety regulations) enable lax oversight, including allowing privately armed guards or contractors aboard (16:10–20:23).
  • “The reason that we can have private security contractors, often with machine guns, et cetera, on boats is the same reason that horrific labor abuses are perpetrated on boats on a daily basis.” — James (04:34)

• Piracy’s Evolution:

  • Modern piracy notably shifted from smash-and-grab heists in Southeast Asia to more organized Somali piracy — seizing vessels and crew for ransom.
  • The Maersk Alabama case exemplified the new era of piracy, with US Navy SEALS ultimately intervening (09:27–11:51).

• The Contractors and Their World:

  • Contractors are often ex-military from global north or countries like Colombia.
  • Offered services now extend beyond armed guards to intelligence and crisis response.
  • “Most of the security provided to boats in the world in general is not provided by states. It is provided by private military contractors.” — James (05:13)

• Legal and Accountability Void:

  • Due to ambiguous or absent state oversight, private military companies (PMSCs) operate with near impunity on the high seas.
  • “The state has more or less completely removed itself from this sphere and removed itself from doing anything approaching accountability.” — James (24:05)
  • Reporting and justice mechanisms for both violence and labor abuses at sea are weak or nonexistent.

• Tactics:

  • Early anti-piracy defenses included barbed wire, sonic weapons (lrad), and later on onboard armed teams (20:23–22:52).
  • “Floating armories” provide weapons and serve as mustering points for contractors in transit zones with legal restrictions (22:52–23:15).

3. Jurisdiction, Flags of Convenience, & Weak Oversight

• Flags of Convenience System:

  • Enables shipowners to bypass strict national regulations by registering ships in countries with few constraints (16:10–18:02).
  • In incidents (e.g., piracy or attack), flag states like Liberia are unable/unwilling to provide rescue or legal action.

• Industry Self-Policing:

  • Most standards are set within the industry, akin to police investigating themselves: “Standards for cops that the cops themselves set... generally not been the best means of accountability.” — James (24:05)
  • Lax reporting for shootings or deadly incidents.

4. Threats: From Pirates to Missiles—Contemporary Dangers

• Mine and Drone Tactics:
  • Iranian forces deploy WWII-style sea mines and remotely piloted suicide boats, making area denial simple and defense challenging (35:52–37:47).
• Swarming by Fast Attack Craft:
  • IRGC naval forces use numerous small, fast boats with machine guns or RPGs for swarming tankers (37:32–37:47).
  • "Even if that vessel has private security on board, the straightforward moves is 21 miles across. Like you could harass people if you had a jet ski." — James (37:32)
• Uninsurability as a Strategy:
  • Iran doesn’t need to sink every ship; making the strait “uninsurable” for commercial traffic could halt global trade:
    • “The Iranians only have to make transiting the Strait of Hormuz uninsurable to succeed.” — James (30:58)

5. Limits of State Power & Global Trade’s Cost

• US (and Other States) Capacity Gaps:

  • The US Navy lacks capacity to escort or protect all vessels, especially in such a geographically complex and crowded area (35:52).

• Changing Logic — State to Corporate Security:

  • Nations are choosing to cede monopoly on violence at sea, leaving lethal force, protection, and sometimes crisis-making to contractors focused on property, not public good (41:13).

• Human and Environmental Costs:

  • The risk of violence and environmental catastrophe (e.g., oil spills) is collateral to the imperative to “keep the treats moving,” i.e., maintain the flow of goods for consumer demand:
    • “It is wild that right now the solution of the global shipping industry seems to be some of these people will die, but that we will keep the oil moving and the treats moving.” — James (46:45)

• Historical Parallels:

  • References to the 1987 Tanker War, where US escorts and misjudgments led to disasters, such as the accidental shooting down of an Iranian civilian airliner (26:56–28:00).

6. Broader Reflections

• Anarcho-Capitalist Realities:
  • The open ocean increasingly resembles an “ancap future”—powerful actors, little oversight, and commodified violence (23:30, 23:32).
• Insider Commentary:
  • The hosts frequently step back to consider the moral ambiguity and multilayered interests (pirates, states, corporations, activists) present in this space.
• Calls for Accountability and Awareness:
  • Recommendations include listening to the "Outlaw Ocean" podcast for more on labor and maritime abuses (24:50, 29:30).

---

Notable Quotes & Memorable Moments

• On Private Security & Lawlessness at Sea:
  • "It is a vision of the ancap future that I don't love. That is very interesting." — James (23:32)
• On Flag of Convenience Reality:
  • "I'm guessing Liberia is not going to be of much assistance." — Garrison (17:59)
  • "Yeah, they're not coming. Yeah, yeah. The Liberian Navy is not available to help you..." — James (18:02)
• On Insurability as Vulnerability:
  • "The Iranians only have to make transiting the Strait of Hormuz uninsurable to succeed." — James (30:58)
• On State Power and Outsourcing Violence:
  • "The state has more or less completely removed itself from this sphere and removed itself from doing anything approaching accountability." — James (24:05)
  • "Some people will die, but we will keep the treats moving has been pretty much the status of the shipping industry for most of the 21st century." — James (47:26)
• Sarcastic Critique:
  • "Our flag means a complete lack of accountability. It could happen." — James (47:56)
  • “Shout out to Greenpeace for also patronizing these companies.” — James (43:29)

---

Timestamps for Key Segments

• 02:44–03:39: Iran attacks vessels: background and urgency.
• 03:50–06:37: Why private maritime security is the norm, not the exception.
• 09:27–12:00: The Maersk Alabama: modern piracy’s turning point.
• 16:10–20:23: Flags of convenience, legal loopholes, and their consequences.
• 22:52–23:30: Floating armories and the world of maritime contractors.
• 24:05–25:00: Industry’s lack of accountability and weak legal standards.
• 26:56–29:30: Historical parallel: the 1987 Tanker War and state failures.
• 30:58–32:41: Shipping as an insurable/uninsurable proposition; state vs. private roles.
• 35:52–37:47: Iran's current means of attacking ships: mines, fast boats, and suicide drone vessels.
• 41:13–44:10: Systemic risk, human costs, and the limits of global trade logic.
• 46:45–47:53: Modern shipping’s human cost and the inevitability of violence for profit.

---

Tone & Style Notes

The conversation is unsparing, world-weary, and grimly tongue-in-cheek. While knowledgeable and sharp, the hosts insert dry humor alongside critiques of neoliberal globalism, state failure, and the cold calculations underpinning global trade and maritime security.

---

Further Resources & Recommendations

• Podcast: The Outlaw Ocean (for deeper dives on labor and security abuses at sea)
• Reading: JSTOR articles on private maritime security, flagged vessel regulations, and historical piracy case studies (per James’ mention; links in episode notes)

---

Closing Reflection

This episode is essential listening for anyone seeking to understand the intersection of military privatization, legal gray zones, and the hard boundaries of state power in the globalized world. As the Strait of Hormuz crisis unfolds, it exposes the high human and environmental costs embedded in the systems that keep trade flowing—costs likely to remain hidden until, perhaps, too late.

Transcript

[Sponsor/Ad Voice]

This is an iHeart podcast. Guaranteed Human.

[James]

Ryan Reynolds here from Mint Mobile with a message for everyone paying Big Wireless Way too much.

[Sponsor/Ad Voice]

Please, for the love of everything good

[James]

in this world, stop with Mint. You can get premium wireless for just $15 a month. Of course, if you enjoy overpaying. No judgments. But that's weird. Okay, one judgment anyway. Give it a [e-mail] Switch upfront payment

[Sponsor/Ad Voice]

of $45 for three month plan equivalent to $15 per month required intro rate first three months only, then full price plan taxes and fees extra. See full [e-mail] we spend so much time of our lives switched on. Scrolling, multitasking, reacting. Miraval Resorts is an invitation to unplug and be present. For over 30 years, Miraval has been a global leader in mindfulness and well being, helping people reconnect to what matters body, mind and spirit through meditation, yoga, time in nature, equine experiences and moments designed for true presence. Miraval offers practical tools you can carry into everyday life. Miraval meets you where you are and supports wellness that actually lasts. Discover More by visiting miravalresorts.com when your schedule sounds like this.

[James]

Are you kidding me?

[Sponsor/Ad Voice]

An oil change is the last thing you have time for. So drive into Take five and let our techs change your oil. Check your tires, top off your fluids and have you back on the road pit stop fast all while you stay in your car. No putting your entire schedule on hold. No upsells, no problem.

[James]

So you can get back to your

[Sponsor/Ad Voice]

to do list or not. Find your nearest [e-mail] Take 5 the stay in your car 10 minute oil

[Garrison]

change taco Bell is rolling out the

[Sponsor/Ad Voice]

new Chicken Bacon Ranch street chalupas.

[James]

And here's the thing.

[Sponsor/Ad Voice]

You literally can't just get one.

[James]

They come in twos. And thank goodness they do because these

[Sponsor/Ad Voice]

toasted Cheddar street chalupas filled with slow

[James]

roasted chicken, crispy bacon and avocado ranch

[Sponsor/Ad Voice]

are stacked with bold flavor that keeps you going.

[James]

Back for more Chicken Bacon Ranch Street

[Sponsor/Ad Voice]

Chalupas Only a Taco Bell get yours

[James]

today at participating U S Taco Bell

[Sponsor/Ad Voice]

locations for a limited time only while

[James]

supplies last call Zone Media Hi everyone and welcome to It Could Happen here. It's me, James today and I am very lucky. Joined by Garrison. Hi Gary.

[Garrison]

Hello.

[James]

Hi Garrison. I've summoned you here today to talk about boats, a topic that white men love. But we're not going to talk about like going out on the lake and looking for bass today. I've only done bass fishing Once it's not for me.

[Garrison]

Do you hold up the fish for the picture? Do you do the picture?

[James]

I wasn't blessed with a bass on that trip, but I did get to. It was very interesting because the guy had like a purple boat with gold flecks in it. It didn't represent who I thought he was as a person. Turned out actually that he had a boat sponsorship and he was going to sell it. But it was a cool boat. I got to drive that boat pretty, pretty fast, do some donuts and stuff. So that is another thing that calls to a part of my soul. I want to talk about private maritime security today. The reason why, of course, is that Iran is currently attacking boats in the Strait of Hormuz and elsewhere. Right. There's some. Some boats were attacked in port in Basra yesterday. We're recording this on Thursday. At the time of recording, they have attacked six boats. It's more likely than not that there will be more boats attacked by the time you are listening to this. It's been a really bad week for boat guys.

[Garrison]

It's been a bad year for boats in general.

[James]

Oh, Venezuela. Yeah. Yeah. Let's talk about private maritime security. So, like, when these boats are transiting the Strait of Hormuz, Right. The United States has offered and then rescinded the offer to escort them through the Strait of Hormuz. It is very unlikely that the United States is going to be able to sufficiently escort every boat that goes through the state of Hormuz. And this is a long standing issue. Right. I think probably lots of listeners won't be aware of the long history of private security on ships. Right. I'm only going to talk about this in the context of the 21st century, but this goes a lot further back. It's largely a consequence of the way the law governs the ocean. It's actually the same. Wow. Sorry. Daddy Long legs. I don't know if there's. Is there an American word for that that I don't know?

[Garrison]

Daddy long legs.

[James]

That's correct. Okay. Yeah. Absolute unit that's just entered my office space. I will let him be. The reason that we can have private security contractors, often with machine guns, et cetera, on boats is the same reason that horrific labor abuses are perpetrated on boats on a daily basis. Right. Perhaps the most well documented or among the most well documented are the ones off Thailand on fishing ships which often involve Burmese refugees or people fleeing Myanmar Right. There essentially enslaved on these boats or in sort of indentured servitude of Trying to, quote, unquote, pay off their trip out of the country they were fleeing.

[Sponsor/Ad Voice]

Right.

[James]

And we're talking about labor abuses today. But I want to talk more about private security. Most of the security provided to boats in the world in general is not provided by states. It is provided by private military contractors. Right. Earlier ON in the 20th century, the typical profile of one of these people would have been that they'd left the military in a state in the global North. They had found, let's say, life or employment in the civilian world to be difficult for them. And I've met a number of these people in a number of places. Many of them went to parts of Africa thinking that they were going to work protecting wildlife and then ending up protecting large container ships instead, or attempting to work for a company that would one day let them protect wildlife or something similar. Generally, the companies they end up working for are generally referred to as private Maritime Security Companies. PMSCs as opposed to PMC. Private Military Contractor. Right. Although it is a version of the same thing. Generally these companies offer a shipping company a sort of package that's not just armed. Security also includes stuff like intelligence, crisis response, potential intervention. I spoke to someone, for instance, who had worked for a shipping company and his major job was to deal with when people were kidnapped off the boats. He would then either go and rescue the people or negotiate with the people who had kidnapped them.

[Garrison]

These are like on like cargo ships. Oil. Oil tankers. Like what? What kind of.

[James]

Yeah, so mostly they're on large commercial vessels. Right. Cargo ships, oil tankers, things with an expensive cargo. Although it is not unheard of for PMCs. For instance, you may have a maritime security company to secure your large mega yacht.

[Garrison]

Sure.

[James]

Right. Or another boat that you're worried about.

[Garrison]

I mean, these happen on like cruise ships sometimes.

[James]

Yes, there was a. There was a shootout in the early 2000s or a shootout. It's probably a private security characters on. I think it was an Italian cruise ship fired at pirates who were attempting to board the cruise ship. Huh. It's a lot less uncommon than you would think.

[Garrison]

So when we're planning the 2028 Cool Zone media cruise, all access included, we're going to have to contract with one of these companies.

[James]

I think we can probably bring that in house. I think that would be the goal at that point. Right. Within the greater Iheart ecosystem. Garrison, we have so many automatic weapons. You don't listen to the like belt fed machine gun podcast, the I Heart Militia. It's us and Ted Cruz and we're we haven't really agreed on very much other than gun ownership. Maybe we should talk about when the real reason like PMSCS took off in the 21st century was the rise in piracy off Somalia. Right. Before this, piracy had existed mostly in Southeast Asia. Piracy has existed for as long as people going on boats has existed. Right. That specifically piracy of Southeast Asia had before this been more of a like a smash and grab kind of situation. Like turn up, take what you can, leave. What was distinct in this piracy that we began to see from like 2008 onwards was that pirates were either trying to seize the entire cargo of a vessel, the vessel itself, or to kidnap people from the vessel and hold them for ransom. I guess the most high profile case was called the Maersk Alabama. Are you familiar with this one?

[Sponsor/Ad Voice]

No.

[James]

Okay. This is. That's good because you get to hear

[Garrison]

a story I don't keep up with. Piratenews.org Really.

[James]

I can see you being like pirate curious. No. You're not interested in.

[Garrison]

It's. I've always had kind of a love hate relationship with pirates.

[James]

Okay.

[Garrison]

You know, undeniably cool in some way. Also a little bit messy.

[James]

They can be messy. Yeah, yeah. Lots of, lots of overlap between pirates and anarchism. I'm sure you've.

[Garrison]

This is true.

[James]

Yeah.

[Garrison]

Some of my same critiques there for, you know, both sides.

[James]

Yeah, yeah. It can also be messy.

[Garrison]

As soon as the pirates all start wearing matching black suits, then we can talk.

[James]

I think that's inherently like the piracy isn't about that. Piracy is about self expression.

[Garrison]

That's the thing.

[James]

You gotta see it. Well, yeah. Agree to disagree. I like a diverse pirate outfit personally. In this case a small vessel. Right. I think they had four or five pirates. They had like pretty basic weaponry. Right. Like Kalashnikovs. I think they boarded the Maersk Alabama. The boat had a pirate alarm and they sounded the pirate alarm. In this you have to struggle to repress your like 18th century, like mind palace, right?

[Garrison]

Yeah, yeah, yeah.

[James]

The crew sheltered in. They had like a safe room.

[Garrison]

Yeah.

[James]

They went in this safe room where they captured the captain of the ship pretty quickly. The ship didn't have any means of defending itself other than it tried to like. I'm not a massive boat understander. It tried to use its rudder to swamp the pirate ship as it was coming up. So like kind of flick it, but that didn't work.

[Garrison]

Yeah.

[James]

And one member of the ship's crew who hid himself with a knife and successfully subdued and captured the leader of the pirates and the Crew then attempted to trade this person for their captain. They tied up the. The pirate who they had captured, attempted to trade him for their captain. The pirates took the. The leader of the pirates and then never gave the crew their captain and then made off in a lifeboat with a large amount of cash and the captain. This resulted in a standoff. Now, the Maersk Alabama was a, I believe, a US Flagged ship. It may have been a US Dutch ship, but it was flagged to like a nation in the major in the global North. Right. This will become relevant later. The United States sent two boats which proceeded to engage in a standoff with the lifeboat for several days, where they first attempted to drop a sat phone and a mobile phone to the pirates in the lifeboat. The pirates threw those in the ocean because they thought that they were using them to communicate with the captain of the ship. At one point, the captain who they'd held hostage ended up in the ocean, but then he got back into the lifeboat. The situation was resolved eventually by the Navy seals shooting all the pirates. They were based on one of the US ships and they used sniper rifles to shoot the pirates.

[Garrison]

Really?

[James]

Yep. That shot them all off the lifeboat while the captain of the ship was also in the lifeboat. Whoa. Yeah. No, I would be shocked if there's not a film about this or I know the captain of the ship has written a book about his time being captured, but obviously this kind of rattled the world. Right. It scared a lot of people, specifically in the shipping industry, because this is a scary thing to happen. And specifically this change in the nature of piracy from taking stuff to potentially capturing people. And I believe the goal of the pirates here was to get the captain ashore where they could hide it more easily. Right. In Somalia. And then it becomes, it becomes an entirely different issue when you're trying to get US troops into a completely different country to rescue someone, a different land mass. Yeah, yeah. And I think it's really important to talk about the jurisdictional issues here, but because they are what gives the PMSCS so much leeway, I think we'll take a little break talking about jurisdiction and then we will come back.

[Sponsor/Ad Voice]

We spend so much time of our lives switched on. Scrolling, multitasking, reacting mirror of all resorts is an invitation to unplug and be present. For over 30 years, Miraval has been a global leader in mindfulness and well being. Helping people reconnect to what matters, body, mind and spirit. Through meditation, yoga, time in nature, equine experiences and moments designed for true presence. Miraval offers practical tools you can carry into everyday life. Miraval meets you where you are and supports wellness that actually lasts. Discover More by visiting miravalresorts.com did you

know you can get your prep for free? Prep is a once daily pill that's up to 99% effective at preventing the transmission of HIV. Mr. Makes it easy and free to get started all online, no doctor's office and no paperwork. They also provide free Doxy pep, a simple antibiotic you take after sex to help prevent certain STIs. Kind of like morning after pill for STIs. Whether you have insurance or not, mistr's got you covered in three easy steps. 1. Sign [e-mail] 2. Consult with a licensed doctor online and 3 complete your at home testing kit. Then your medication is delivered discreetly right to your door. It's safe, easy and completely judgment free. Protect yourself and protect each other. Sign [e-mail] today.

You've never been one to settle, stand down or stand still. You're a lifelong learner, energized by excellence. There's a fire inside you you can't ignore. You've got competition to outrun, momentum to build on, and your own high standards to meet. Stop now. Not a chance. At Capella University we help you. You catch what you're chasing because you've always had the drive. Now go earn the degree. Capella University what can't you do? Visit capella.edu to learn more.

Support for the show comes from Public, the investing platform for those who take it seriously. On Public, you can build a multi asset portfolio of stocks, bonds, options, crypto and now generated assets which allow you to turn any idea into an investable index. With AI. It all starts with your prompt. From renewable energy companies with high free cash flow to semiconductor suppliers growing revenue over 20% year over year. You can literally type any prompt and put the AI to work. It screens thousands of stocks, builds a one of a kind index and lets you back test it against the S&P 500. Then you can invest in a few clicks. Generated assets are like ETFs with infinite possibilities, completely customizable and based on your thesis, not someone else's. Go to public.com podcast and earn an uncapped 1% bonus when you transfer your portfolio. That's public.com podcast paid for by Public Investing Brokerage Services by Open to the Public Investing Inc. Member FINRA and SIPC Advisory Services by Public Advisors, llc. SEC Registered Adviser Generated Assets is an interactive analysis tool. Output is for informational purposes only and is not an investment recommendation or advice. Complete disclosures available at public.com disclosures.

[James]

All right, we're back. So to understand private maritime security companies, you've got to understand the world of flags of convenience first. Are you familiar with flags of convenience, Garrison?

[Garrison]

No.

[James]

No. Okay, this is good. This is. James gets to download shit that he reads at no for no reason at like 11 o' clock at night. There are nations in the world states that allow vessels to register under their flag even if the owner of the vessel is not a citizen of that country. It's called an open registry. So if you hang out in the port, spend time looking at boats, look at the flags on the boats. You will often see flags of a few countries and the most common ones are Liberia, Panama and the Republic of the Marshall Islands. The reason that boat owners might choose, let's say you, Garrison, have a boat, right. Or you a shipping company, Garrison Davis Boats Incorporated, and you don't want to register in Canada or the United States, might be to avoid tax liability. Might be to avoid, like what you consider to be burdensome safety regulations.

[Garrison]

Okay.

[James]

Might be to avoid the frustrating constraints of Canadian labor law, or it might be to avoid some ecological constraints on your boats which your flag nation might impose. And generally, flags of convenience have very little in the way of taxation and regulation. Right. And so people might choose to flag their vessel in Liberia, Panama, Republic of Marshall Islands, Hong Kong instead to avoid some of those issues. Right now the issue comes when you say you register your boat in Liberia and your boat is off on its way delivering things, and then some pirates seize your boat.

[Garrison]

I'm guessing Liberia is not going to be of much assistance.

[James]

Yeah, they're not coming. Yeah, yeah. The Liberian Navy is not available to help you in that instance right now because there tends to be very little constraint on flags of convenience. There's also very little constraint on what can happen on those boats. Right. So you could hire a private maritime security company and they could protect your boat. And the chances are the flag, a convenience country would not regulate anything that they did on your boat or the weaponry they held on your boat. Oh, the RMI does, The Marshall Islands does regulate somewhat the weaponry that the Marshall Islands flagged boats could have. I think the reason there are so many boats flagged in the Marshall Islands, at least in part, is because half the world's tuna is caught in Marshall Islands waters. So a lot of those vessels will probably have. They'll choose have the Marshall Islands flag because it allows them to fish in territorial waters. Would Be my guess. I've met some contractors on Marshallese boats. I met a guy who was a helicopter pilot for a tuna fishing boat in a bar once. I guess they fly the helicopter to look for the fish and then the boat comes and catches the fish, huh? Yeah. Fascinating world. I don't think it's a highly enjoyable job, but I think people do it to get their flight hours up so they can do other things. So because of this legal. It's not really a legal gray area. It's just the fact that these people are not regulated in any way. Right. People can carry weapons on ships. Now, in the case of piracy of Somalia specifically, the United nations did authorize military action against Somali pirates. And like between 20 and 40 boats were there at any given time in the next four years trying to police piracy. But that's not enough boats because every boat that is moving through that area is at risk for piracy. And pirates can use very small boats to board very big boats. Right. And unless that very big boat is somehow able to defend itself, all they need is a few weapons and the ability to get on board and they're hard to trot. Right. I've heard from people who did contracting in the pre 2008 era that basically that they put barbed wire on the edge of the boat to stop people getting on. And then they had the lrad like the. Was that long range?

[Garrison]

The sound weapon?

[James]

Yeah, the sound weapon. I'm not sure that it was there as a weapon. I think it was there to notify other ships, like get out the way, but that it could be weaponized. And then after that it was like big sticks and harsh words, I guess. So like when you have the guys who took over the Maersk Alabama coming in with a few Kalashnikov, they have the balance of force on their side. Right. That is no longer the case anymore. Initially in 2009, groups like Blackwater tried to get in on this and they did it actually by more or less, I guess, like copying the Privateer model that we'd seen in the 19th century. They refitted commercial boats with weapons and offered them for hire as like a rental, like as an accompaniment.

[Garrison]

They would like escort another ship.

[James]

Yeah, they'd escort you through this dangerous area and then turn around and escort someone who was going the other way or that was the idea. Sure. It didn't really work, A, because it was expensive. Right. To run these vessels and B, because you'd need so many of them. And so what they ended up doing instead was actually stationing people on the Vessels. So, like these security contractors will now live on the oil tanker or the container ship either for its whole journey or for the duration of the time. It's considered danger.

[Garrison]

And also mean if pirates try to get onto the big ship and all of the military guys are on a different ship a little bit behind, you have to get those guys onto the other ship.

[James]

Right. And then now you're shooting at the ship that you're supposed to be protecting. And I can see that being.

[Garrison]

That does just make it a little bit more complicated.

[James]

Yeah, yeah. Unfortunately, the way. According to reports I've read, I should say the way they have got around this issue is by preemptively shooting at vessels that they consider to be a threat. Sure. There are plenty of allegations of that. And we'll get on to the lack of really any means of legal accountability at some point. What they do instead is they allow contractors to go on the ships. And these contractors then have to be armed. Right. The way they tend to be armed is depending on the flag of the ship and what regulations it has. Right. Generally, if they're entering into an area where they can't be armed, they have what are called floating armories. Those are what they sound like. You don't understand how long in my freelance career I spent trying to get onto one of these particular boats. It was a long time.

[Garrison]

So is this just like a tiny boat on a string with a whole bunch of guns on it? Like what it could be.

[James]

It could be an old oil platform.

[Garrison]

Yeah.

[James]

Okay. It could be a little boat, it could be a big boat. Sometimes the contractors themselves, or like that's where the contractors will meet the big boat. Right. And they'll get on it there. So they have like an area they can hang out. Like it has living facilities.

[Garrison]

Huh.

[James]

I've spoken to a few people in this world, but, you know, if you happen to be listening and you're a boat security guy. I know this just continues to fascinate me as an area where, like, the state doesn't exist and we have this like, post state private militarization.

[Garrison]

It's like anarcho capitalism.

[James]

Yeah, yeah, yes, yeah, yeah, exactly. It is. It is a vision of the ancap future that I don't love. That is very interesting. Right. There were states that offered to have like, vessel detachments. The Dutch did this. I believe they would be like, we will send you. I'm not familiar with the Dutch military. Sorry, Dutch listeners. Dutch marines, I imagine. Right. And you can have a few of them on your boat. But even Dutch Companies or Dutch flag vessels weren't using it because it was. There was so much paperwork and the government couldn't keep up with their demands. They were like, no, we'll just get some guys, we'll just pay them, we're fine.

[Garrison]

Yeah.

[James]

The state has more or less completely removed itself from this fear and removed itself from doing anything approaching accountability. And so it is extremely hard for these people to be held accountable for things that they do in international waters. Right. There are like industry standards that the industry itself sets in the same way that there are standards for cops that the cops themselves set. And those have generally not been the best means of accountability. Right. In theory, anytime they engage someone, certainly if they kill someone, the ship's authorities should report that.

[Garrison]

Yeah, hopefully.

[James]

Yeah. Cool. I'm sure they will. I'm sure they love to do the paperwork. But then who would they report it to? Right? Do they report it to the country they suspect the people they are shooting at their country? Do they report it to the flag of convenience country? Do they report it to the company they work for? Like, I'm sure there is some jurisdiction of maritime law which would give us an answer to that. But in practice, there appears to be very little mechanism for accountability in the same way that there is very little mechanism for accountability for labor law violations at sea. I would recommend, if people haven't listened, there's a podcast called Outlaw Ocean. It's probably five or six years old at this point. I think it was a New York Times investigation along with someone else. It was a good podcast about labor violations at sea. And they specifically looked at some of these fishing vessels and the fact that they use people who are essentially an indentured servitude. But they also touched on private maritime security. These days we see a lot less piracy off Somalia. Right. Like it has reached its peak. I found this little chunk in an article I was reading on JSTOR this morning that I thought was interesting. Quote, maritime security companies have been consulted on Greenpeace activists attempt to climb onto a Gazprom offshore platform in September, September 2013 to protest drilling in the Arctic and attacks against oil and gas installations by the Movement for the Emancipation of the Niger Delta. So I guess these people have a wide, a wide remit in which they operate. As I say, they're somewhat different from like land based PMCs because land based private military contractors are generally operating either with backup from a state or as backup to a state. And so there is an accountability mechanism somewhat there. We saw in the global war on terror that we still lack accountability mechanisms for private military contractors on land. But that certainly remains the case on the ocean. Right?

[Garrison]

Yeah.

[James]

So another thing we should consider here is the historical parallels. Right? And the obvious historical parallel would be to look to 1987 and what's generally referred to as the Tanker War, Right. What the United States attempted to do was to open up a channel. The strait to Formuz is very narrow, as I said, its narrowest point is just 21 miles. There are two channels, because obviously not the entire 21 miles is deep enough ships to go through. There are two channels that are each about two miles wide. I think they're three kilometers wide. Still not very great at that conversion. So the United States attempted to open one channel and then run a convoy system. Right. Think about when you have roadworks and, you know, the cars go one way and then the cars go the other way, and someone goes in front of you and they have, like, a flashing light tell you to follow them or what have you. And the United States attempted to escort convoys of mostly reflagged Kuwaiti oil tankers through the Strait of Hormuz. Right. The very first escort mission involved a Kuwaiti oil tanker that had been reflagged as an American tanker to become the Bridgerton. And it was the Bridgerton that struck an underwater mine on that very first mission. It didn't cause any casualties. It did cause damage to the ship. During that same operation, a United States ship also struck a mine. It was called the United States Samuel Roberts. Samuel B. Roberts. I believe it struck a mine while transiting international waters. It just goes to show that when there are mines in this area, in any area, it's very hard to know when they've all been removed. And it's very hard to know where they all are right now. During that same operation, a United States warship mistakenly shot down an Iranian civilian flight, killing all 290 people on board. This goes to show how crowded the space is around the Strait of Hormuz. And it goes to show how, I mean, even in a relatively modern war, the possibility for mistakes is very high. And that's before you even consider the fact that the Trump administration is willing to accept, even among administrations in the United States, they are willing to accept a very high number of innocent deaths. I also want to talk about, because this is such a small strait, such a crowded strait, the possibility of attack is not just limited to naval attack. Right. To boats. We know the US Destroyed most of Iran's navy, and we're going to speak about how the IRGC Navy is not the same as Iran's regular flag Navy Navy, Right. When we talk about the Iranian Navy, big gray boats, yes. The US has destroyed many of those with the irgc, we're looking at much smaller, fast attack vessels, Right? Sometimes civilian vessels with a machine gun mounted to them. Those have not all been destroyed. It will be very hard for the United States to destroy those all from the air as it will be for the United States to destroy the ground attack capability that Iran has. Right. They have Hormuz missiles, they have Shahid drones. They can use regular unguided rockets. A Shaheed drone from anywhere in the country of Iran, given its range, could hit a boat in the Strait of Hormuz. These Hormuz class missiles, they're called Hormuz missiles. They're launched from vehicles, right? It looks like a lorry and it comes out and it pops up its back, lifts up the missile and launches it. These are very easy to hide, Right? Lots of entities in this region use tunnels and caves to hide things. I'm sure the Iranian state does too. But you could hide one of these missile launches anywhere, in a city, in a cave, in a tunnel. It only needs to pop out, deliver its missile, and then it can be abandoned. Right. Or it can go back into its cave, whatever it wants. But the Iranians don't need to destroy every ship that transits the Strait of Hormuz to close the Strait of Hormuz. First of all, there are only two, three kilometer channels, right? If there is a wrecked ship in one of those channels, the channel gets smaller and smaller and therefore your chance of hitting the mines that are there gets higher and higher. Right. Because there's less way to go around them. The Iranians only have to make transiting the Strait of Hormuz uninsurable to succeed. Right? So what has happened with private maritime security contractors so far is that their presence has made transiting high risk areas, areas at high risk for piracy, an insurable effort. Because frequently you will hear that a ship with armed security has never been taken by pirates. That's really hard for us to confirm, Right. Like there's no independent data on that, but certainly it likely reduces the chance of them being taken by pirates, and that has made them insurable. The Iranians knocking out one or two tankers will make the Strait of Hormuz an uninsurable passage, or it will make that insurance so costly that commercial entities will not be willing to undertake that journey. Right. Now, Donald Trump has said the United States will act as the insurer I know, man. It will be a lot of tankers for us to buy if the Iranians keep, you know, they've knocked out two large vessels overnight. It seems unlikely. Donald Trump has said a lot of things, right? Not all of them are true. Very even in the last few weeks, Donald Trump said a lot of things about the Strait of Hormuz that were not true. So we will see. But I wanted to explain some of those threats. Let's have a talk about the specific naval threat. Now that IRGC Navy.

[Sponsor/Ad Voice]

We spend so much time of our lives switched on Scrolling Multitasking, Reacting Miraval Resorts is an invitation to unplug and be present. For over 30 years, Miraval has been a global leader in mindfulness and well being, helping people reconnect to what matters body, mind and spirit through meditation, yoga, time and nature, equine experiences and moments designed for true presence, Miraval offers practical tools you can carry into everyday life. Miraval meets you where you are and supports wellness that actually lasts. Discover More by visiting miravalresorts.com did you

know you can get your prep for free? Prep is a once daily pill that's up to 99% effective at preventing the transmission of HIV. Mr. Makes it easy and free to get started all online. No doctor's office, no paperwork. They also provide free Doxy pep, a simple antibiotic you take after sex to help prevent certain STIs. Kind of like morning after pill for STIs. Whether you have insurance or not, Mistra's got you covered in three easy steps. 1. Sign [e-mail] 2. Consult with a licensed doctor online and 3 complete your at home testing kit. Then your medication is delivered discreetly right to your door. It's safe, easy and completely judgment free. Protect yourself and protect each other. Sign [e-mail] today.

You've never been one to settle, stand down or stand still. You're a lifelong learner, energized by excellence. There's a fire inside you you can't ignore. You've got competition to outrun, momentum to build on, and your own high standards to meet. Stop now. Not a chance. At Capella University we help you catch what you're chasing because you've always had the drive. Now go earn the degree. Capella University. What can't you do? Visit capella.edu to learn more.

Support for the show comes from Public, the investing platform for those who take it seriously. On public, you can build a multi asset portfolio of stocks, bonds, opt crypto and now generated assets which allow you to turn any idea into an investable index with AI. It all starts with your prompt. From renewable energy companies with high free cash flow to semiconductor suppliers growing revenue over 20% year over year. You can literally type any prompt and put the AI to work. It screens thousands of stocks, builds a one of a kind index and lets you back test it against the S&P 500. Then you can invest in a few clicks. Generated assets are like ETFs with infinite possibilities, completely customizable and based on your thesis, not someone else's. Go to public.com podcast and earn an uncapped 1% bonus when you transfer your portfolio. That's public.com podcast paid for by Public Investing Brokerage Services by Open to the Public Investing Inc. Member FINRA and SIPC Advisory services by Public Advisors llc. SEC Registered Advisor Generated Assets is an interactive analysis tool. Output is for informational purposes only and is not an investment recommendation or advice. Complete disclosures available at public.com disclosures.

[James]

Alright, so let's move on to discussing exactly this means in the current era, right when the United States is saying the Strait of Hormuz is open except for Iran shooting at ships and Iran is radioing ships right now and telling them that they are not allowed to enter the Strait of Hormuz and then obviously threatening them if they do. So what we will see right now in the Strait of Hormuz is this situation where Iran has a few mechanisms for attacking these, these ships, right? The one that's being talked about the most are mines. And the mines in Iran has to my understanding of just straight up World War II like sea mines. Have you ever played Minesweeper Garrison? Yeah, yeah, yeah, yeah. So they look like that, right? They have these big contact fuses on them. That is what they are, right? The way the current works in a straight of Hormuz they can kind of circulate around, okay. Which will make them, you know, you can't be like okay, this area is mine, that area.

[Garrison]

We're just going to avoid the mines.

[James]

Yeah, right. Like this whole strait is mine now. And as we covered in ED on Friday, the US doesn't have a great capacity to remove those mines. But the thing which has been less discussed is that the IRGC has tons and they don't have if they run out, it's very easy to make more right of like civilian fast boats. Think of a little boat with a motor on the back and a belt fed machine gun in the front, right? Like very easy to take those boats and swarm a large vessel Right. Like, even if that vessel has private security on board, the straightforward moves is 21 miles across. Like you could harass people if you had a jet ski. Yeah.

[Garrison]

You could have a little jet ski Technical.

[James]

But just. Yeah, yeah. With an RPG on the back. Yeah, yeah, yeah. The most dudes rock vessel that has ever taken to the seas. Yeah. I might have to hand it to the IRGC if they did that, but

[Garrison]

under very few circumstances.

[James]

Under no circumstances. Yeah. Do you have to hand it to the Iranian state in any capacity. No, I'm shitting around. I think the state of Iran is a terrible misogynist, violent and oppressive entity and shouldn't exist. Just to be super duper clear, they also have what are called uncrewed surface vessels. I'm sure they use like the gender neutral framing, but they are think of a large. Think of a boat that doesn't have anyone driving it. Right. And it was uncrewed surface vessels that they used last night at the time of recording to explode a tanker in the port in Basra. Right. Okay. Very hard for the United States to stop these uncrewed surface vessels. Right. They are like the Shahid drone of the ocean. This boat's not coming home. It's designed to eliminate another boat, but it can be steered. Right. It's not just like a torpedo. So what exactly are the options, I guess, for the United States? Trump has offered to secure shipping through the Strait of Four Moves. Right. He offered to accompany ships. The navy doesn't have the capacity to do that. To accompany the amount of the world's shipping that goes through the Strait of Four moves would require masses of ships to accompany them. Right. They'd have to travel at the same speed as these ships. Some of these ships are flagged to countries all over the world. Right. Including countries the US doesn't have the best relationship with, especially right now. The companies could hire more private maritime security, and I'm sure they will. But also part of the role of private maritime security companies is to be like, don't do that. It's too dangerous. And going through a straight up one movie right now is probably too dangerous. Right, sure. So I don't know how you would quickly equip a ship in a way that you could be like cast iron secure that it will be able to fend off like a swarm of little boats trying to attack it. Right. I don't think an RPG could sink one of these ships, but it could really fucking give it a bad day. Oh, you know, like, it's not a good situation. When there's a hole in your boat, from what I understand. So like the other option would be for the US to put personnel on these ships, which would be problematic from a number of approaches. Right. It is a Liberian flagged ship and now you're asking like what US Marines to risk their lives to defend the Liberian flagship so everyone can get their TEMU purchases and like we cannot slow down global trade. Like there is not a good option here. There's the state, the states of the world couldn't find a good option when we were dealing with piracy in 2009. 10, 11, 12. Right. They, they felt better outsourcing the accountability for that to private companies. The states didn't want to have to wear the, the reputation damage for like this boat once again opened up with a belt fed on what turned out to be a fishing vessel. Or they, they felt like that liability was too much for them. Right. So they didn't want to do it and they would much rather have private companies do it. I don't really see an option here that like makes the shipping safe going through this area.

[Garrison]

You could not start a war with Iran.

[James]

Yeah, yeah, that is a really good option actually one that, one that sadly that ship has sailed, as they say, Garrison. But yeah, it is. This industry is already problematic. Like even before the United States started bombing Venezuelan and Colombian fishing vessels or vessels that it accused of being drug traffickers, there has been a long history of a lack of accountability for people being killed at sea and for people being abused at sea through labor violations. I don't really see a way we come out of this without more damage to innocent lives. Right. Like either the United States just decides that it's going to go scorched earth on any boat it sees in the Strait of Hormuz isn't like a big tanker. But even then, these vessels, they're not all US flagged. Right. The US doesn't have a means to be like, okay, you can go now, you can't go now. Straightforward moves. It's not in the United States. It doesn't control that water. And so I don't really see a solution for this. Now one thing that the world of private maritime security shows us is that neoliberal globalism is willing to look the other way a great deal and allow a great deal of violence on behalf of corporations, not on behalf of the state. Right. Like, yeah, like when people are getting engaged by these vessels, it is to protect property. And granted, sometimes it is also to protect life. Right. Like these pirates have Killed people and kidnap people and such. But the state has been willing to cede its monopoly on violence at the high seas because it could find a good solution to this. And it's been willing to overlook a lot of loss of life. And I just don't see a way that this doesn't lead to more loss of life. And that is probably what we have to look forward to. It may have already begun happening in the Strait of Hormuz between when we record this and when you hear it, but it is deeply concerning and pretty shit given that there are so many people just trying to make their way and live their lives in that area. Yeah. It's a happy one. Shout out to Greenpeace for also patronizing these companies.

[Garrison]

Yeah. You told me this was going to be a recording about pirates.

[James]

There were pirates in it. There was a big. I know. If you're a pirate and you're listening, I would love to hear from more pirates.

[Garrison]

Between the pirates, the private maritime contractors and the governments, it's like everyone here has their own issues.

[James]

Yeah.

[Garrison]

And all these issues are getting massively intensified by the conflict in Iran, obviously.

[James]

Yeah. Before we even talk about the ecological crisis that we will see in the Gulf. Right. Like you start putting holes in oil tankers, that is going to be absolutely horrific for the environment again in an area where people are ready to struggling to make it by.

[Garrison]

I mean, why don't they just pull a. Pull a Fitzgeraldo. Why don't they just pull those ships up?

[James]

Oh God.

[Garrison]

Just avoid the strait. Avoid the strait altogether.

[James]

Maybe people haven't seen this. This surfaces like every three days right now on Twitter. Like why don't they just go across land? It turns out that mountains, big mountains, hard water, doesn't like going uphill. Quite a challenging terrain to transit. I think maybe people don't realize that 80%. I think, I believe it's 80% of global trade still travels by boat. Yeah. Like it is still the way that most things get to most places. And I think we are about to find out. The boat ignorers are about to find out. If this continues for weeks or months, then it will be incredibly detrimental.

[Garrison]

Is this a good or a bad time to enter the private maritime contracting business?

[James]

How much are you enjoying your life? Decently. Well. Okay. Yeah, probably stay out of it if I was you.

[Garrison]

Because they got to be getting a lot of money, but also they're in one of the most high risk positions they've probably ever been in. So.

[James]

Yeah. This was already an area of military contracting that people Looked to get into and get out of. I would say, okay, like the bulk of these folks now will be. The ones I've met have been Colombians. The Colombians provide a lot of military contractors around the world. Now the people who are able to get out of it will do business in other areas. Right. Like they'll do the private close protection and stuff like that. There are protective details for journalists I know in who are operating in Iraq right now. Sure. Yeah. These people will be making a lot of money, I think especially like probably consulting right now with global shipping. I was reading about the East India Company this morning. I was learning, for instance that the value of a tea ship leaving China was be a billion dollars in 2024 money. Which is how like these private maritime security companies in another age were able to develop. Right. Because it was worth boat jacking, that boat pirating, whatever that's called because of the value of tea at that time. So it's not a new problem. But there was a relatively short period of time in global trade history in which the state attempted to advance any form of hegemony over the high seas. And it has completely retreated from that in the 21st century. And it will be very difficult for any state to try and regain that now. Like I don't see. Even the United States doesn't really have the capacity to do that. Garrison looks ponderous.

[Garrison]

Yeah, well, I guess I'll cancel my TEMU orders.

[James]

They'll come. Someone right now is strapping a belt fed machine gun to a boat to make sure that you get your team orders. It is really kind of fucked that we're asking people to run a minefield. Right. And I understand global trade is not just TEMU orders, but certainly a lot of stuff is consumed in the global North. It doesn't need to be consumed. And it is wild that right now the solution of the global shipping industry seems to be some of these people will die, but that we will keep the oil moving and the treats moving. But that has been as I hope I've illustrated here. Right. Like some people will die, but we will keep the treats moving has been pretty much the status of the shipping industry for most of the 21st century.

[Garrison]

Yeah, yeah. It's the status of the entire world at this point.

[James]

Yeah, yeah. That is the capitalist logic. Right. It's just, it's like particularly, I think particularly naked here. Yeah. Highly recommend the Outlaw Ocean podcast. If you're interested in learning more about this, I will link to some of the JSTOR deep dive that I went on this morning. If you are able to get past the JSTOR paywall and would like to read that, I think that's about all we got. Anything else you want to say about Boats?

[Garrison]

Garrison now is the age of Pirates.

[James]

Yeah, our flag means a complete lack of accountability. It could happen.

[Sponsor/Ad Voice]

Here is a production of Cool's Zone Media.

[James]

For more podcasts from Cool Zone Media,

[Sponsor/Ad Voice]

Visit our website coolzonemedia.com or check us

[James]

out on the iHeartRadio app, Apple Podcasts or wherever you listen to podcasts.

[Sponsor/Ad Voice]

You can now find sources for It

[Garrison]

Could Happen here listed directly in Episode Descriptions.

[Sponsor/Ad Voice]

Thanks for listening. We spend so much time of our lives switched on scrolling, multitasking, Reacting Mirror of all resorts is an invitation to unplug and be present for over 30 years, Miraval has been a global leader in mindfulness and well being, helping people reconnect to what mattersbody mind and spirit through meditation, yoga, time in nature, equine experiences and moments designed for true presence, Miraval offers practical tools you can carry into everyday life. Miraval meets you where you are and supports wellness that actually lasts. Discover more by visiting miravalresorts.com There's a

fire inside you you can't ignore. Stand still. Not a chance. You're a lifelong learner who's come this far. Now we're here to help you keep going further. Capella University what can't you do? Visit Capella. Edu to learn more. Life gets messy spills, stains, head accidents and kid chaos. But we're with Anibey. Cleaning up is easy. Our sofas are fully machine washable inside and out so you never have to stress about messes again. Made with liquid and stain resistant fabrics, that means fewer stains and more peace of mind. Designed for real life, our sofas feature changeable fabric covers allowing you to refresh your style anytime. Need flexibility? Our modular design lets you rearrange your sofa effortlessly. Perfect for cozy apartments or spacious homes. Plus, they're earth friendly and built to last. That's why over 200,000 happy customers have made the switch. Upgrade your space today. Sofas start at just $699. Visit washablesofas.com now and bring home a sofa made for life. That's washablesofas.com offers are subject to change and certain restrictions may apply.

Pro drivers live for race day, but for small business owners, every day is race day. That's why going pro with Lenovo Pro matters one on one advice IT solutions and customized hardware powered by Intel Core Ultra processors keep your business on the right track. Business goes pro with Lenovo Pro. Sign up for [e-mail] Pro.

This is an iHeart podcast. Guaranteed Human.