US President Donald Trump says a peace deal with Iran is close — maybe as early as this weekend. But Tehran isn't so sure.
“We just made a great settlement of the war with Iran,” Trump told reporters at the White House on Thursday. He said the Strait of Hormuz would officially reopen once the deal is signed, possibly in Europe over the weekend, with Vice President JD Vance attending.
Trump claimed Iran’s Supreme Leader, Ayatollah Mojtaba Khamenei, had approved the agreement. “I understand the answer is yes,” he said.
But in Tehran, the message was different. Foreign Ministry spokesperson Esmaeil Baghaei said large parts of the agreement have been finalised, but Iran hasn't reached a final conclusion. “This is a very important issue that is currently being reviewed by the relevant decision-making bodies,” he said.
The war began three months ago. It has killed thousands and sent global energy prices soaring after Iran effectively closed the Strait of Hormuz — a narrow waterway through which about a fifth of the world’s oil passes.
Asian stocks rallied on Friday on hopes of peace, and oil prices fell to two-month lows. But on the ground, tension remains high. US forces shot down two Iranian one-way attack drones after Tehran tried to strike commercial ships in the strait, a US official said. Iran’s military stopped a tanker from transiting the waterway, and state media reported the sound of explosions early on Friday.
Trump’s announcement came after he called off planned military strikes on Iran, citing progress in talks. He described the potential deal as “a very strong memorandum of understanding that is a little conceptual.”
Trump has repeatedly said any peace deal must ensure Iran can't develop a nuclear weapon. Iran denies it's seeking one. Iran’s demands include the lifting of international sanctions, the release of billions of dollars in frozen assets, and recognition of its control of the Strait of Hormuz.
“The big thing is there will be no nuclear weapons in Iran. That means not developed and not purchased,” Trump said later during a campaign event held by telephone.
Just a day earlier, Trump had said the United States would hit Iran “very hard tonight” and wanted eventually to take Kharg Island, Iran’s main oil export terminal.
The war has become a political headache for the White House. Polls show Trump’s approval ratings sinking as voters get angry over high petrol prices. Some Republicans worry the war’s unpopularity could cost them control of Congress in November’s midterm elections.
But Trump also has to satisfy Iran hawks within his own party, who scuttled a previous effort. They want any agreement to close Tehran’s path to a nuclear weapon.
The reaction of other Middle East powers will be crucial. Trump said on social media that Israel, Saudi Arabia, Qatar and the United Arab Emirates had approved the agreement.
Israeli Prime Minister Benjamin Netanyahu’s office said after Netanyahu spoke with Trump that Israel wasn't a party to the memorandum. But Netanyahu appreciated Trump’s commitment to securing a deal that includes removing enriched material, dismantling enrichment infrastructure, limiting missile output and ending support for regional proxies.
Tehran has been demanding an end to Israeli attacks in Lebanon, where fighting has continued in a parallel war between Israel and Iran-backed Hezbollah militants.