US and Iran Make Progress Towards Deal as Tensions Remain High in Middle East
President Donald Trump said the US held “very good talks” with Iran over the past 24 hours and claimed a deal now appears “very possible.” While Iran has not formally responded to Washington’s latest proposal, the country’s Foreign Ministry said diplomatic messages are still being exchanged through mediator Pakistan. Trump also paused the US military’s “Project Freedom” mission aimed at reopening the Strait of Hormuz, saying “great progress” was being made toward a “complete and final agreement” with Iranian representatives. A senior Egyptian diplomat told Al Jazeera Arabic that progress on the Iran situation could directly influence negotiations over Gaza. He said the war on Iran has slowed US focus on Gaza, but once a deal is reached with Tehran, Washington is expected to push forward with renewed negotiations. The diplomat added that this would also increase pressure on Israel to implement the first phase of its ceasefire agreement with Hamas. Iranian President Masoud Pezeshkian told French President Emmanuel Macron that the US cannot be trusted, accusing Washington of undermining diplomacy during negotiations. He said the US behaviour “has diverted the path of diplomacy toward threats, pressure and sanctions”, adding that Tehran sees its past experience with talks as “stabbing from behind”, since military action coincided with negotiations. Pezeshkian also said Iran has not carried out any attack on the UAE and insisted its military only acts with clear public declarations. On the Strait of Hormuz, he said Iran has always helped secure the waterway but blamed US actions, including the naval blockade, for disrupting stability. He added that any future negotiations on reopening the strait depend on lifting the US naval blockade Iran has strongly denied any involvement in the blast and fire reported on a South Korean-operated vessel earlier this week in the Strait of Hormuz. “Iran firmly rejects and categorically denies any allegations regarding the involvement of the armed forces of the Islamic Republic of Iran in the incident involving damage to a Korean vessel in the Strait of Hormuz,” Iran’s embassy in Seoul said in a statement. South Korea’s Foreign Ministry, meanwhile, said the exact cause of the explosion and fire on board the ship is still under investigation and will only be known once the vessel reaches port. US President Donald Trump had earlier claimed on his Truth Social account that Iran fired on a South Korean cargo ship in the strait. Iran’s embassy also said that because of US and Israeli actions, Tehran now considers the Strait of Hormuz a key part of its “defensive geography”, adding that security arrangements in the waterway have changed due to rising tensions and “hostile forces and their allies”. Former US Assistant Secretary of State Mark Kimmitt said Trump’s reported demand that Iran completely stop uranium enrichment is probably unrealistic. “I don’t think it’s realistic as an offer to the Iranians,” Kimmitt told Al Jazeera. He said Iran is likely to insist on its right to enrich uranium up to 3.67 percent, which is allowed under nuclear non-proliferation agreements. Kimmitt noted that even the 2015 nuclear deal, known as the JCPOA, allowed Iran to continue limited enrichment. Still, he said Trump could present any temporary suspension of enrichment as a major diplomatic victory. “If the president can get the Iranians to suspend all enrichment activities for a specific period of time, he will characterise that as a significant win,” Kimmitt said. The growing conflict and the global fuel crisis are expected to dominate discussions at the ASEAN summit being held in Cebu in the Philippines. Leaders and ministers from the 11-member Southeast Asian bloc are gathering for meetings on Thursday and Friday, with energy security and food supplies becoming major concerns for nearly 700 million people in the region. According to Reuters, analysts believe the worsening Middle East situation could test the Philippines’ leadership of ASEAN as countries look for ways to manage the economic fallout. Don McLain Gill, a geopolitical analyst and lecturer at De La Salle University in Manila, told Reuters that “planning to cushion the economic fallout could eventually outweigh other immediate regional issues.” The summit is also expected to discuss Myanmar’s ongoing civil war and the unresolved border tensions between Thailand and Cambodia. Israel carried out an air strike near Haret Hreik in Beirut’s southern suburbs, marking the first strike on the Lebanese capital since the ceasefire announced in April. The Israeli military also said it intercepted what it described as a “suspicious aerial target” launched from Lebanon after warning sirens sounded in northern Israel. Meanwhile, Hezbollah claimed responsibility for 17 attacks on Israeli forces in Lebanese territory on Wednesday, accusing Israel of repeatedly violating the ceasefire. In Gaza, Hamas political bureau leader Khalil al-Hayya said his son was injured in an Israeli strike on Gaza City. The US military also said one of its naval aircraft disabled the rudder of an Iranian-flagged oil tanker in the Gulf of Oman after it allegedly tried to break the US blockade of Iranian ports. Iran’s mission to the United Nations later urged member states to reject what it called a “flawed” and “politically motivated” resolution drafted by the US and Gulf allies regarding safe passage through the Strait of Hormuz. Trump told supporters that the conflict with Iran could end soon if Tehran agrees to US demands, including major reductions in enriched uranium and reopening the Strait of Hormuz. “When you look at the kind of things that are happening, we are doing that for one very important reason: We cannot allow them to have a nuclear weapon,” Trump said. “So, I think most people understand that. They understand that what we are doing is right, and it’ll be over quickly,” he added. At the same time, Trump warned that if diplomacy fails, military action could resume at a much higher level. According to reports from Washington, US President Donald Trump is hoping to secure some form of agreement with Iran before his upcoming trip to China ends next week. CNN reporter Kimberly Halkett said negotiators are reportedly discussing a 14-point framework through Pakistani intermediaries. Iran is currently reviewing a proposal sent by the US and is expected to respond through Pakistani mediators. There is also speculation that Trump may want to personally attend a signing ceremony if a deal is reached. Optimism over possible diplomacy between the US and Iran also boosted Asian markets. Japan’s Nikkei 225 surged by 4 percent after reports of a possible breakthrough in negotiations. The index climbed to 61,937.78 points shortly after markets opened Thursday morning. Investors were also watching the Japanese yen closely amid speculation that the government could step in to support the struggling currency. At the same time, reports suggest some oil tankers are still managing to enter the Gulf region despite the US naval blockade around Iranian ports. TankerTrackers.com, a vessel monitoring service, claimed that at least two cargo-empty oil tankers crossed into the blockade zone. One of the ships, identified as the VINA/VALLEY (9157478), reportedly entered the area on Wednesday. The tanker is known for transporting Iranian liquefied petroleum gas (LPG) to Houthi-controlled areas in Yemen. The monitoring group also said a larger Iranian oil tanker arrived in the region. The US has maintained the blockade as part of its pressure campaign against Tehran, hoping to force Iran into negotiations to end the war. US crude oil prices moved higher early Thursday as investors reacted to growing speculation that the United States and Iran could be moving closer to a peace agreement that may calm tensions in the Middle East. US West Texas Intermediate (WTI) crude futures rose by around $1 during trading. Prices climbed 80 cents to reach $95.88 per barrel by 22:23 GMT after earlier touching a session high of $96.33 on Wednesday. The rise came after reports suggested that Washington and Tehran were nearing an initial agreement that could help ease the conflict involving the US, Israel and Iran. Trump also revealed that he recently met executives from major US oil companies including Chevron Corporation and ExxonMobil to discuss oil production and Venezuela. Speaking to reporters, Trump said the companies were eager to expand operations. “I was with ExxonMobil last night. The chairman was here, and we’re talking about Venezuela, along with a lot of them — Chevron. They were all here last night. They all want to go there and elsewhere,” he said. The comments came after reports that some oil executives had praised Trump’s move to blockade Iranian ports during earlier discussions. US Secretary of State Marco Rubio is expected to meet Pope Leo XIV on Thursday at a time of growing tensions between Washington and the Vatican. US President Donald Trump said on Wednesday that discussions with Iran over the past 24 hours had been “very good,” though he insisted there was “never a deadline” for Tehran to respond to Washington’s proposal. “We’re in good shape,” Trump told reporters at the Oval Office. “If we don’t get what we have to get, we’ll have to go a big step further. But with that being said, they want to make a deal.” “It’s very possible that we’ll make a deal,” he added. Trump also repeated his long-standing demand that Iran should not possess nuclear weapons. “Iran cannot have a nuclear weapon, and they won’t, and they’ve agreed to that, among other things,” he claimed. However, there has been no public confirmation yet from Iran on what exactly it may have agreed to. The situation in the Strait of Hormuz continues to create major problems for global shipping companies. Around 1,600 ships remain stuck in the waterway, with many firms unwilling to move vessels because of the danger posed by the ongoing conflict. Trump’s military operation to “guide” ships through the strait lasted only 48 hours, and just two ships were escorted during that period. Shipping companies are now being forced to decide whether it is worth risking both cargo and crew without guaranteed insurance coverage. Wartime clauses in insurance contracts may not protect ships caught in active conflict zones, making any damage potentially devastating financially. While global attention remains fixed on the standoff between the US and Iran, authorities inside Iran have sharply increased executions tied to political and security-related cases. According to a US-based human rights group, at least 28 people have been executed in just seven weeks on charges linked to politics, protests or alleged espionage activities. Iran is expected to give its response on Thursday to a US proposal aimed at ending the ongoing war, according to a regional source who spoke to CNN. The source said mediators are waiting for Tehran’s reply as discussions between the two sides continue behind the scenes. Iran has been reviewing the proposal for the last few days. Another source said both Washington and Tehran appear to be moving closer toward some kind of agreement to stop the fighting. The developments come as tensions in the region remain extremely high, with fighting, political crackdowns and shipping chaos continuing across the Middle East. On Iran, US President Donald Trump says, "They want to make a deal badly and we will see if we get there. They can't have nuclear weapons... They don't have any planes and anti-aircrafts, radars, their missiles are decimated... Their leaders are all dead so I think we have won... We have had very good talks over the last 44 hours and it is very possible that we are going to make a deal." US President Donald Trump said Iran wants to negotiate and reach a deal with the United States, reported Reuters. He added the US was “doing very well in Iran” and that the situation was “going very smoothly.” Israeli PM Benjamin Netanyahu said he and US President Donald Trump agree the key goal on Iran is removing all enriched uranium and dismantling its enrichment capabilities. He has previously stressed that “all enriched material has to leave Iran” and that there should be “no enrichment capability… dismantle the equipment and the infrastructure.” Iran’s permanent mission to the United Nations urged member states to reject a US- and Gulf-backed resolution on shipping through the Strait of Hormuz, calling it “flawed” and “politically motivated.” “The only viable solution … is a permanent end to the war, the lifting of the maritime blockade, and the restoration of normal passage,” it said on X. France’s aircraft carrier strike group is moving south of the Suez Canal and into the Red Sea in preparation for a potential French-British mission in the Strait of Hormuz, the French armed forces said. US President Donald Trump said it is “possible” a deal with Iran to end the war could be reached before his visit to China next week, reported PBS. He said the two sides are “getting close,” but cautioned that “we’ll have to see what happens.” Iran’s Foreign Ministry spokesman Esmaeil Baghaei said Tehran has not yet issued a formal response to the latest US proposal. “Messages are being exchanged through the Pakistani mediator, and reviews regarding the exchanged texts are ongoing,” he said, according to IRIB. Iran’s parliament speaker Mohammad Bagher Ghalibaf accused the US of using economic and media pressure to create divisions and push Iran to “surrender.” “The enemy is very hopeful about economic pressure … they have made wrong decisions,” he said, according to Fars News Agency. Iran’s Foreign Ministry spokesman Esmaeil Baghaei said negotiations must involve a sincere effort to “resolve the dispute” without “deception” or “coercion.” Citing a 2011 ICJ ruling, he said negotiations require “a genuine attempt to engage in discussions with a view to resolving the dispute.” The remarks come as reports say the US and Iran have made progress toward a deal, with Tehran reviewing a new US proposal. Iran's foreign minister Abbas Araghchi said he held “constructive talks” in Beijing with Wang Yi. “Both sides reaffirmed Iran’s right to uphold national sovereignty and national dignity,” he said, adding Tehran appreciated China’s four-point proposal for regional peace. Araghchi said Iran “trusts China” and looks to its continued role in promoting peace and shaping a post-war regional framework. National News Agency said two Israeli air strikes on al-Dawoudiya farm near al-Saksakieh in southern Lebanon killed a number of residents. The army also targeted a car on the Hadaya road near Al-Siraj High School between Wadi Jilo and Tyre Dibba, causing more casualties. The exact death toll from the attacks has not yet been reported. US President Donald Trump said it is “too soon” to consider face-to-face peace talks with Iran, according to an interview with the New York Post. Asked if a reporter should go to Islamabad, he replied, “I don’t think so.” New York Post reported that Trump ended the call abruptly, saying he had “an appointment with the generals.” Iranian lawmaker Ebrahim Rezaei rejected an Axios report claiming the US and Iran are close to a memorandum to end the war, calling it “more of an American wish list than reality.” The reported draft includes Iran halting nuclear enrichment, US lifting sanctions, and both sides easing restrictions on the Strait of Hormuz, reported Al Jazeera. Rezaei said, “The Americans will not achieve in a failed war what they did not gain in face-to-face negotiations,” adding that any “mischief” would trigger a “harsh and regret-inducing response.”
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