The new crossfire in the Persian Gulf comes after US President Donald Trump suggested an interim deal and ceasefire in the Iran war was "over".
US Defense Secretary Pete Hegseth wrote online: "Iran made a poor choice. Now they pay."
The United Arab Emirates warned the public Sunday of an incoming missile and drone attack as explosions could be heard in nearby Qatar. A missile alert sounded in Qatar shortly after the blasts.
Meanwhile, missile alerts sounded in Bahrain, an island kingdom in the Persian Gulf home to the US Navy's 5th Fleet.
It wasn't immediately clear what locations were under attack in the UAE, which so far hadn't been targeted in the latest round of attacks by Iran.
In the Strait of Hormuz attack, a Cyprus-flagged container ship was hit by Iran and suffered "significant engineroom damage" and a civilian crew member is missing, US Central Command said on X.
"A civilian crew member is missing and the vessel is unable to continue the journey due to an onboard fire and significant engineroom damage,"
Iran's IRGC navy said earlier on Sunday that it had struck and halted a vessel that had "jeopardized maritime security by switching off its systems" after it, along with other vessels, attempted to transit through an unauthorised route despite warnings to correct its course.
Iran's paramilitary Revolutionary Guard said multiple vessels "disregarded our warnings and instructions to correct their course and proceed along the approved route".
One of them "was struck by a warning shot and brought to a stop".
Iran said that the strait would remain closed "until further notice" and said it would consider targeting "additional enemy bases in the region" if it faced more attacks.
with Reuters