The United States and Iran have reached an agreement to end hostilities and reopen the Strait of Hormuz, according to statements from President Donald Trump and details of a draft memorandum released by Iranian state-affiliated media.
Trump announced Sunday that the deal had been finalized, saying it would lead to the reopening of the strategic waterway and the removal of the US naval blockade.
”The deal with Iran is now complete,” Trump said in a post on Truth Social, adding that the Strait of Hormuz would reopen once the agreement is signed.
Pakistani Prime Minister Shehbaz Sharif also confirmed the breakthrough, saying both sides had agreed to an immediate and permanent end to military operations.
According to Sharif, the agreement will be formally signed in Switzerland on Friday. He added that ”pre-implementation discussions” would take place before the signing, though no further details were provided.
Iranian state-linked media reported that the agreement includes a commitment by Tehran not to pursue nuclear weapons, a key demand repeatedly raised by Washington during negotiations.
Iran’s Supreme National Security Council said all military operations would cease immediately and permanently under the deal, while the naval blockade would be lifted. The council added that certain US commitments must be fulfilled before negotiations on a final agreement can begin.
The agreement is intended to formally end the conflict between Iran and the US-Israel alliance, which began in February and disrupted shipping through the Strait of Hormuz, a route that typically handles about 20% of global oil trade.
Oil markets reacted positively to the announcement. US crude fell more than 4.5% to around $80 per barrel, while Brent crude dropped about 4%, as traders priced in lower risks to global energy supplies.
However, questions remain over when the Strait of Hormuz will fully reopen. Trump said the waterway would reopen following Friday’s signing to allow for mine-clearing operations, although US military officials have not publicly confirmed that Iran placed mines in the strait.
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