US and Iran sign historic deal, averting war and reopening Strait of Hormuz
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US and Iran sign historic 14-point peace deal, averting regional war and reopening Strait of Hormuz
The United States and Iran have formally signed a 14-point memorandum of understanding that ends hostilities, reopens the Strait of Hormuz, and paves the way for sanctions relief tied to nuclear steps, senior US officials confirmed on Wednesday. The agreement, which President Donald Trump said was signed electronically on Sunday while he dined with French President Emmanuel Macron, entered into force immediately, two US officials told Axios . A planned signing ceremony in Switzerland on Friday has been downgraded to a follow-up meeting between US Vice President Vance and Iranian parliamentary speaker Mohammad-Bagher Ghalibaf.
The text, read aloud to reporters by a senior administration official, commits Iran to neutralise its enriched uranium stockpile and guarantees free transit through the Strait of Hormuz, with future transit fees explicitly left open . Sanctions on Iranian oil and fuel sales will be lifted in stages, conditioned on verifiable nuclear actions, US officials said . Trump dismissed reports of a $300 billion reconstruction fund for Tehran as “fake news,” telling reporters, “We are not putting up 10 cents” .
G7 leaders meeting in Canada endorsed the deal as a historic opportunity to prevent Iran from acquiring nuclear weapons and to stabilise regional security . The European Union’s foreign policy chief called it “a critical step toward de-escalation,” while Israeli Prime Minister Benjamin Netanyahu reiterated Israel’s right to defend itself if Iran violates terms .
Trump warned Iran that any breach would trigger immediate military action. “If I don’t like it, if they don’t behave, we’ll go right back to dropping bombs right smack in the middle of their head,” he said during a press pool encounter in France . The White House framed the accord as a strategic win despite concessions, insisting it had prevented a global economic downturn by securing Hormuz transit within 48 hours .
Analysts caution that finalising a comprehensive nuclear agreement remains fraught with technical and political hurdles, including verification of uranium down-blending and missile restrictions . Negotiations resume Friday in Switzerland, where Vance and Ghalibaf will attempt to convert the memorandum into a binding treaty.
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