Key facts
- The U.S. and Iran have electronically signed a framework deal to end a three-month war and reopen the Strait of Hormuz.
- The agreement provides 60 days for negotiations on nuclear issues and sanctions relief.
- Maritime traffic in the Strait of Hormuz is expected to increase significantly within two weeks.
- Iran's Foreign Ministry stated that Iran and Oman will regulate safe passage through the strait.
- U.S. officials denied any immediate release of frozen Iranian assets, stating relief would be phased.
- Pakistani Prime Minister Shehbaz Sharif announced an immediate and permanent end to military operations on all fronts, including Lebanon.
The United States and Iran have electronically signed a framework deal aimed at ending a three-month conflict and reopening the vital Strait of Hormuz. Senior U.S. administration officials announced the virtual signing on June 15, with President Donald Trump and Vice President JD Vance signing for the U.S., and Iran's parliament speaker Mohammad Baqer Qalibaf signing for Tehran. A formal ceremony is anticipated in Geneva on June 19, with the full text of the memorandum expected to be released within 48 hours under a promise of full transparency.
The framework agreement sets a 60-day period for both nations to negotiate a permanent settlement, addressing key issues such as Iran's nuclear program and the lifting of sanctions. Washington has stressed that preventing Iran from acquiring nuclear weapons and ensuring the free flow of shipping through the Strait of Hormuz are paramount.
The strait, a critical chokepoint for global oil and gas supplies, was effectively closed by Iran following the launch of a U.S.-Israeli military campaign on February 28, which significantly impacted energy markets and the global economy. Officials anticipate a substantial increase in maritime traffic within the next two weeks, projecting a rise from the current approximately 25 ships daily to potentially 40 to 50 by the end of the week, with full reopening expected by June 19.
Ambiguity remains regarding the regulation and potential fees for passage through the strait. While Washington insists on toll-free passage for 60 days, Iranian sources suggest a coordinated arrangement with Oman for regulating traffic and collecting fees for services like navigation and environmental protection. U.S. officials denied any immediate release of $25 billion in frozen Iranian assets, stating that sanctions relief would be contingent on verifiable milestones related to Iran's nuclear activities and regional conduct.
The deal is framed as part of a broader effort to reduce regional hostilities, though U.S. officials noted Israel retains the right to respond to continued Hezbollah attacks. Pakistani Prime Minister Shehbaz Sharif announced an agreement for an immediate and permanent cessation of military operations on all fronts, including Lebanon. Direct talks between Israel and Lebanon are also reportedly underway, with the overarching goal of establishing a new regional framework focused on diplomacy and economic cooperation.
Ordinary Iranians expressed a range of reactions, from cautious optimism for peace and economic improvement to hesitancy and skepticism about the long-term impact of the deal, particularly given the continued rule of the clerical establishment.