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US-Iran sign deal to end conflict and restart Hormuz shipping route

US-Iran sign deal to end conflict and restart Hormuz shipping route

US-Iran Agreement Marks Shift Toward Diplomatic Resolution

US President Donald Trump and Iranian President Masoud Pezeshkian have signed a memorandum of understanding aimed at ending months of conflict between Washington and Tehran. The agreement is designed to ease tensions across the Middle East and establish a structured pathway toward renewed diplomatic engagement between the two nations.

Formal Signing Confirms Immediate Implementation

Speaking after the signing, President Trump confirmed the development, stating that the document had been officially finalized. According to officials from both countries, the agreement was initially endorsed electronically before being formally signed by the two leaders. The MoU has taken immediate effect, replacing earlier plans for a formal signing ceremony in Switzerland.

Iranian officials also confirmed the agreement, stating that the document was completed and validated through signatures from both sides. The development signals a coordinated effort to move from conflict toward negotiated settlement.

Strait of Hormuz and Sanctions Relief at Center

A key element of the agreement focuses on restoring stability in the Strait of Hormuz, a critical global shipping route that had been disrupted during recent tensions. The reopening of the waterway is expected to be among the first steps in implementation.

The United States has also agreed to immediately remove oil-related sanctions that have significantly impacted Iran’s economy. The agreement outlines broader economic measures that may follow once progress is made on Iran’s nuclear programme.

Nuclear Framework and Financial Provisions

The document includes provisions for Iran to reduce its enriched uranium stockpile under international supervision. This process, reportedly monitored by the International Atomic Energy Agency, is intended to build confidence and pave the way for broader economic engagement.

The agreement also outlines the possibility of a large-scale reconstruction support framework backed by regional partners once a final nuclear understanding is reached. However, US officials clarified that direct American financial assistance is not guaranteed under the current terms.

Two-Month Negotiation Phase Begins

A structured two-month negotiation period will now follow, during which both sides are expected to work on technical and political implementation of the agreement. The reopening of maritime routes and easing of economic restrictions are expected to be early priorities.

While the agreement represents a major diplomatic shift, officials acknowledge that ongoing regional instability, particularly in Lebanon, could complicate implementation. Despite these risks, the MoU marks a significant step toward reducing tensions and re-establishing dialogue between Washington and Tehran.

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