Iran Offers 7-Day Deal to Reopen Strait of Hormuz Amid US Sanctions
Iran has proposed a deal to reopen the Strait of Hormuz and resume nuclear talks in seven days if the US lifts its naval blockade, waives sanctions on Iranian oil sales, and observes a ceasefire that includes Lebanon. The proposal was made by Iran's foreign minister Abbas Araghchi at a private gathering in New York, according to Trita Parsi, executive vice president of the Quincy Institute think tank.
The deal would relieve economic pressure on Tehran, which has been piling up due to US sanctions. The Strait of Hormuz is a critical trade route, through which a fifth of the world's traded oil and gas transited before the war. Iran's disruption of the strait has had far-reaching effects beyond the Middle East.
US President Donald Trump has said he is in no rush to reach a deal, despite high oil prices fueling inflation and exacerbating cost-of-living concerns. The proposal resembles a previous Memorandum Of Understanding reached in June, but with an accelerated timetable. However, there are questions about whether Iran's hardliners will accept compromises championed by moderates like President Masoud Pezeshkian.
Parsi noted that Trump may calculate the deal is worthwhile if it brings political benefit before the midterms and reduces gas prices. However, he also mentioned 'deep suspicion' around the prospect of Iran merely buying time to ease its economic pain.