Larry Johnson: The Ceasefire Is Collapsing as Chaos Breaks Out in Strait of Hormuz

In this intense episode of The Libertarian Institute, host Kyle Lansloan and guest Larry Johnson dissect the escalating crisis in the Strait of Hormuz, where Iran has reportedly attacked U.S. naval assets with drones and missiles, prompting retaliatory strikes by the U.S. and its allies. Johnson argues that the U.S. is ill-prepared for full-scale war with Iran, dismissing official claims of control over the strait as propaganda. He details Iran’s multi-layered defensive system—including mines, submarines, underwater drones, and coastal missile batteries—and asserts that opening the strait would require a million-man invasion, making U.S. military claims unrealistic. Johnson also critiques Treasury Secretary Scott Bessett’s optimistic statements about oil supply and market stability, calling them delusional, and warns of severe economic fallout due to disrupted oil flows and the U.S.’s inability to replenish weapons due to China’s control over rare earth minerals. He emphasizes that Iran’s leadership, hardened by years of war, is not intimidated by U.S. threats and that the U.S. is losing global credibility, with allies like Japan and South Korea seeking deals with Iran and Russia. The episode concludes with skepticism about diplomatic off-ramps, noting that Trump’s pressure on Netanyahu may be an attempt to end the broader conflict, but that Israel’s deteriorating international image and the U.S.’s isolationist posture make de-escalation unlikely in the near term.