Trump, Iran and mediators say they reached a deal intended to end more than three months of war and reopen the Strait of Hormuz, with key terms still unresolved.
President Donald Trump, Iran and mediators from Pakistan said they have reached an agreement intended to end more than three months of war and reopen the Strait of Hormuz, a potential diplomatic breakthrough in a conflict that has shaken the Middle East and global oil markets.
The announcement, however, leaves major questions unresolved. The text of the memorandum of understanding has not been released, and accounts of the deal describe several core issues — including Iran’s nuclear program, sanctions relief and the durability of a wider ceasefire — as still subject to further negotiation.
Trump and Pakistani Prime Minister Shehbaz Sharif, who played a mediating role in the talks, both said on social media that an official signing ceremony is planned for Friday in Switzerland. Iran’s Supreme National Security Council said the agreement followed “a difficult and intensive” period of negotiations over several months.
Sharif said the United States and Iran had declared the “immediate and permanent termination of military operations on all fronts, including in Lebanon.” That claim could face an early test: Israel was not part of the negotiations, and Israeli Defense Minister Israel Katz said Monday that Israel would keep troops in southern Lebanon indefinitely. Israel and Hezbollah have continued fighting despite a formal ceasefire, with Hezbollah firing drones into northern Israel on Sunday and Israel responding with a deadly strike in Beirut’s southern suburbs.
The Strait of Hormuz is central to the deal’s economic stakes. Iran has effectively controlled the passage since shortly after the war began on Feb. 28, sharply limiting a route used for about 20% of the world’s oil. The United States blockaded Iranian ports in response. Trump said the strait would reopen for mine removal after the deal is signed and wrote, “Ships of the World, start your engines. Let the oil flow!”
Oil futures fell 4% after Trump’s announcement, according to NPR. Prices remain above prewar levels, and a reopening of the strait would not necessarily restore oil flows or prices immediately.
Under the agreement as described by officials and media reports, the current U.S.-Iran ceasefire would be extended for 60 days, with the goal of reaching a permanent end to the war in follow-up talks. The fate of Iran’s nuclear program remains one of the most sensitive unresolved questions. Trump did not mention the nuclear issue in his initial posts, though he had cited it as a central reason for launching the war. Vice President JD Vance told Fox News that the deal means Iran “will never have a nuclear weapon,” while NPR reported that Trump told The New York Times Iran would be allowed low-level nuclear enrichment.
Iran is also seeking billions of dollars in frozen assets and the lifting of U.S. and international sanctions. It is not clear what happens if the parties fail to reach agreement during the 60-day negotiating period.
Iranian state-controlled media presented the memorandum as a victory over Washington and Israel. Deputy Foreign Minister Kazem Gharibabadi, quoted by Iranian state media, said the deal “does not mean trusting the enemy” and had been written with “active distrust.”
The announcement is expected to dominate Trump’s trip to the G7 summit in France. French President Emmanuel Macron said leaders would examine the consequences of the agreement, its implications for Lebanon, the long-term reopening of the Strait of Hormuz and the future of Iran’s nuclear and ballistic weapons programs. Qatar’s prime minister, European leaders and U.N. Secretary-General António Guterres also welcomed the deal while urging further progress.
The next major marker is Friday’s planned signing. Until then, the durability of the ceasefire, Israel’s posture in Lebanon and the unresolved nuclear and sanctions terms remain the key tests of whether the announcement becomes a lasting settlement.
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