Trump says Strait of Hormuz to reopen on Friday under US-Iran deal
US President Donald Trump said a memorandum of understanding to end the war and reopen the Strait of Hormuz has been signed, with a formal signing ceremony by the US and Iran set for Friday in Geneva.
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TEHRAN: United States President Donald Trump said on Monday (Jun 15) that ships were again moving through the Strait of Hormuz and the vital oil route would be "completely open" by Friday, after Washington and Tehran announced a deal to end the Middle East war.
The reopening of one of the world's most important energy chokepoints would mark a major step toward ending months of deadly conflict and economic turmoil triggered by US-Israeli strikes on Iran in late February.
"Ships are starting to move, many loaded up with Oil, out of the Strait of Hormuz," Trump said, adding later that he did not "think we will need much help" keeping the waterway open.
Iranian media reported on Monday evening that three oil tankers and two cargo ships carrying goods had passed through the area that had been subject to a US naval blockade.
Iran had blockaded the strait since the start of the war, sending oil prices soaring and raising fears of a prolonged inflation shock. The US then blocked shipping to and from Iranian ports.
The US, Iran and mediator Pakistan said the peace agreement was to be signed on Friday in Switzerland.
A senior US administration official, however, said Trump, Vice President JD Vance and Iran's parliamentary speaker Mohammad Bagher Ghalibaf had already signed the text electronically.
"The president wanted to sign it personally because he wanted to show his ... dedication to bring this through to a successful resolution," said the official.
Asked at the G7 in France when the text would be released, Trump said: "It's a very powerful document, and I want it to be released. So probably pretty soon."
Iran's Deputy Foreign Minister Kazem Gharibabadi said the deal brought an "immediate end" to the war, with talks on a "final agreement" to be held within two months.
His country's military hailed the accord as a victory, claiming it had "humiliated" the US and Israel, while President Masoud Pezeshkian called it "a great achievement" for the region.
But Iranian Foreign Minister Abbas Araghchi struck a more cautious note.
"We have a history of broken commitments," he said. "We have a history of agreements being torn up. All of this is present in our minds."
LEBANON QUESTIONS
Iran's foreign ministry spokesman Esmaeil Baqaei said Washington must ensure that Israel stops fighting in Lebanon under the agreement.
Lebanon was pulled into the war in early March when Iran-backed Hezbollah launched rockets at Israel after the killing of Iran's supreme leader, prompting Israeli strikes and a ground invasion.
"The United States must honour its commitments. It must ensure that the Zionist regime also respects its own regarding Lebanon," Baqaei said.
But Israeli Prime Minister Benjamin Netanyahu said the country's forces would remain in Lebanon, Syria and Gaza "as long as necessary".
He said the war with Iran had spared Israel from the Islamic republic's threat of "nuclear annihilation", while Israeli figures across the political spectrum criticised the deal.
Lebanese President Joseph Aoun welcomed the agreement during a call with Araghchi, saying he hoped it would be a "positive step towards reducing tensions".
Lebanese state media later reported the first deadly strike since the announcement, saying the Israeli attack in the south killed one person.
Hezbollah, which thanked Iran for insisting Lebanon be included in the deal, said it had repelled an Israeli force trying to "advance" in southern Lebanon.
TERMS UNCLEAR
The deal follows weeks of fraught negotiations and threats of renewed hostilities, but key details remain unclear.
Baqaei said Washington had "committed" to releasing frozen Iranian funds abroad and compensating Tehran for wartime damage.
Iran's Mehr news agency had reported the US would release US$12 billion in frozen assets before negotiations begin.
Baqaei said Tehran would seek UN Security Council ratification after negotiating a final agreement on its nuclear programme.
That could prove contentious as Washington presses to end Iran's nuclear ambitions and address its stockpile of highly enriched uranium, said to have been buried by US strikes last year.
Trump told The New York Times the US was still negotiating whether Iran would suspend enrichment for 20 years, hinting he might settle for 15.
Baqaei said Iran would charge maritime service fees, rather than tolls, on shipping through Hormuz.
The announcement of the agreement sent oil prices sharply lower and lifted global stocks, with traders betting that the reopening of a route that normally carries about 20 per cent of the world's crude would ease pressure on energy supplies.
Crude prices fell nearly 5 per cent toward US$80 a barrel after having surged above US$110 soon after the war began, while the Dow hit a fresh record and the Nasdaq jumped more than 3 per cent.
In Tehran, English teacher Arya, 38, said "our people will not return to normal".
"They came to understand that Trump is not their ally," he said.
DEAL REMAINS FRAGILE, SAYS ANALYST
Competing interpretations of the agreement underscore how fragile it remains, said Kamran Bokhari, a strategic forecaster and senior resident fellow at the Middle East Policy Council.
He noted that the agreement was still in its early stages. The memorandum of understanding is "about a page and a half long" and still needs to be fleshed out during a 60-day follow-up negotiation period, he told CNA’s Asia First.
Bokhari said the differing narratives from Washington and Tehran reflected the domestic pressures facing both governments as they seek to sell the agreement to audiences at home.
He noted that several key issues remain unresolved, including the scope of sanctions relief, Iran's uranium enrichment programme, access to nuclear facilities, its stockpile of highly enriched uranium, ballistic missile capabilities and the activities of regional proxy groups.
"There's just so much that needs to be discussed," Bokhari said. "There's a lot that has to fit together in order for it to be successful."
Bokhari added that Tehran is likely to portray the agreement as a victory, arguing that Iranian leaders will seek to show that the regime withstood military pressure and forced Washington back to the negotiating table.
"They have to come up with an interpretation that, hey, look, the regime survived. That's how we won," he said.
He also said differences between the US and Israel over how to deal with Iran could complicate efforts to turn the preliminary agreement into a lasting settlement, describing the situation as "a significant moment in US-Israeli relations where there's a divergence of interests".
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