In a landmark diplomatic breakthrough, US President Donald Trump and Iranian President Masoud Pezeshkian have signed a deal to end the war in West Asia, with the US confirming the Strait of Hormuz will reopen on Friday following the formal signing ceremony .
The memorandum of understanding (MOU) was signed electronically by Trump, Vice-President JD Vance, and Iran’s chief negotiator Mohammad Bagher Ghalibaf . Pakistan, which acted as a mediator, announced the breakthrough, with both sides agreeing to the “immediate and permanent termination of military operations on all fronts, including in Lebanon” .
‘Ships of the World, start your engines’
Trump declared he had ordered the immediate removal of the US naval blockade of Iranian ports, and announced the Strait of Hormuz—through which 20% of the world’s oil passes—would be reopened on Friday . “Ships of the World, start your engines. Let the oil flow!” Trump wrote on Truth Social .
Oil prices fell sharply following the announcement, easing pressure on the global economy . The US has also agreed to issue sanctions waivers for Iranian oil exports .
What the agreement contains
The MOU, described by US officials as about a page and a half, establishes a framework that defers the thorniest issues to a 60-day negotiation period . Key provisions include:
- A 60-day ceasefire extension, following the 8 April truce
- A commitment by Iran to “downblend” its highly enriched uranium stockpile under IAEA supervision
- A US commitment to work with regional partners on a plan of at least $300 billion for Iran’s reconstruction
- The release of some frozen Iranian assets, though conditions remain attached
Iran’s leadership has expressed “deep mistrust” of the US, portraying the agreement as merely a step towards reducing tensions rather than a final solution . Foreign Ministry spokesperson Esmaeil Baghaei confirmed the agreement, stating: “Now it is time to test the implementation of the agreement” .
Israel excluded from negotiations
Israel, a full military partner in the war, was excluded from the negotiations and has viewed the deal with dismay . Defence Minister Israel Katz opposed any withdrawal from occupied Lebanese territory, and far-right ministers have declared “Trump’s agreement does not bind us” .
The war, which began when the US and Israel struck Iran on 28 February, has killed thousands, disrupted global energy markets, and strained US alliances in the Gulf . The agreement offers a pause, but the 60-day window to resolve Iran’s nuclear programme—a goal that took the Obama administration 20 months to achieve—represents a formidable challenge .
