US-Iran peace talks have entered a critical stage after President Donald Trump said a possible agreement with Iran has been “largely negotiated.” The statement, made on Saturday, May 23, 2026, has raised hopes that the three-month-long conflict between the United States and Iran may be moving toward a diplomatic breakthrough. However, the agreement is not final yet, and both sides still appear to have major issues to resolve.
According to Trump, the proposed understanding could include steps to end the war and reopen the Strait of Hormuz, one of the world’s most important energy shipping routes. Any disruption in the Strait can affect oil supplies, shipping costs, inflation, and global energy prices. Iranian-linked reports have pushed back on parts of Trump’s claim, especially around control of the Strait of Hormuz, making it clear that this remains one of the toughest points in the talks.
Iran has also confirmed that it is working on a proposed 14-clause memorandum of understanding with the United States. Iranian Foreign Ministry spokesman Esmaeil Baghaei said Tehran wants the MoU to focus first on ending the conflict across all fronts, including Lebanon. The first-stage framework is expected to cover ending military action, easing maritime tensions, restoring shipping activity, and addressing Iran’s frozen assets.
One of Iran’s key demands is an end to what it describes as US maritime attacks or a naval blockade. Tehran also wants restrictions on its ports and oil-related activity eased. Nuclear negotiations are not expected to be part of this first-stage deal, although they may follow later if the war-ending MoU moves forward. This means the current talks are focused more on de-escalation than a full strategic settlement.
Trump also said he spoke with Israeli Prime Minister Benjamin Netanyahu and described the call as positive, showing that Israel remains an important factor in any wider Middle East settlement. Pakistan has also emerged as a mediator between Washington and Tehran. For now, US-Iran peace talks appear more serious than previous attempts, but calling it a completed peace deal would be premature until both sides sign and implement a clear agreement.
