Iran is reviewing a United States proposal aimed at ending the war involving the US, Israel and Iran, but major disagreements over Tehran’s nuclear programme and control of the Strait of Hormuz continue to stand in the way of a final agreement.

The proposed deal comes after months of conflict that triggered a global energy crisis, disrupted oil shipments and heightened fears of a wider regional war.

An Iranian Foreign Ministry spokesperson quoted by Iran’s ISNA news agency said Tehran would respond to the proposal after reviewing it. Donald Trump, United States president meanwhile said he believed Iran wanted an agreement.

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“They want to make a deal. We’ve had very good talks over the last 24 hours, and it’s very possible that we’ll make a deal,” Trump told reporters at the White House, according to Al Jazeera.

The latest diplomatic push followed Trump’s decision to pause “Project Freedom”, a United States operation aimed at reopening the Strait of Hormuz after weeks of disruption to shipping in the strategic waterway. The strait carries roughly one fifth of the world’s oil and gas supply and remains central to the negotiations.

What is in the latest US proposal?

According to Al Jazeera, citing Axios and Reuters, the latest proposal is built around a 14 point memorandum designed to formally end the conflict and begin wider negotiations between Washington and Tehran.

Under the reported proposal, Iran would agree not to develop a nuclear weapon and suspend uranium enrichment for at least 12 years. In return, the United States would lift some sanctions and release billions of dollars in frozen Iranian assets. Both sides would also reopen the Strait of Hormuz within 30 days of signing the agreement.

Reuters reported that the negotiations are being led by Trump envoy Steve Witkoff and Trump’s son in law Jared Kushner. If both sides accept the preliminary deal, detailed negotiations would follow over sanctions, shipping access and restrictions on Iran’s nuclear programme.

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However, several long standing United States demands appear unresolved. According to Al Jazeera, the proposal does not clearly address Iran’s missile programme, Tehran’s support for armed groups in the Middle East or the future of Iran’s stockpile of highly enriched uranium.

Benjamin Netanyahu, Israeli prime minister  has insisted that all enriched uranium must be removed from Iran to prevent Tehran from developing a nuclear weapon. Iran denies seeking nuclear weapons and says its nuclear programme is for civilian purposes permitted under international treaties.

Why is the Strait of Hormuz so important?

The Strait of Hormuz has become one of the most difficult issues in the negotiations because of its importance to global energy markets.

Iran has tightened its control over the waterway during the conflict, introducing new shipping procedures and security restrictions. According to Al Jazeera, Tehran wants the issue of Hormuz resolved before entering serious negotiations over its nuclear programme.

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Iran is demanding the lifting of United States pressure in the Gulf, guarantees on shipping access and the easing of sanctions before discussing broader nuclear concessions. The United States and its Gulf allies, however, want unrestricted navigation restored immediately because of fears the disruption could push the global economy into recession.

Iran has argued that sovereignty and security in the strait are now part of the wider political negotiations.

What are Iran’s main objections?

Iranian officials have publicly pushed back against reports that a deal is close.

Iranian lawmaker Ebrahim Rezaee described the proposal as “more of an American wish list than a reality”, according to Reuters.

Mohammad Bagher Ghalibaf, Iran’s parliament speaker also mocked reports of progress, posting online in English that “Operation Trust Me Bro failed.”

According to Al Jazeera, Iranian officials insist they are currently discussing only an end to the war and not the future of the country’s nuclear programme. Tehran is demanding direct guarantees from the United Nations Security Council, the lifting of sanctions and the full reopening of the Strait of Hormuz before entering broader nuclear discussions.

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Iranian officials continue to describe uranium enrichment as a “non negotiable” issue. Al Jazeera reported that Iran has drawn “a very firm red line” around its nuclear enrichment programme.

Could Iran eventually accept a compromise?

Some analysts believe a limited compromise remains possible despite the sharp disagreements.

Former United States assistant secretary of state Mark Kimmitt told Al Jazeera that a complete halt to uranium enrichment would likely be unacceptable to Tehran because even the 2015 nuclear agreement allowed limited enrichment for civilian purposes.

Iran currently possesses about 440 kilogrammes of uranium enriched to 60 percent purity, according to reports cited by Al Jazeera. Weapons grade uranium generally requires enrichment levels of around 90 percent.

Kimmitt suggested the United States may instead push for Iran’s existing stockpile to be moved outside the country or diluted to lower levels. However,  Tehran remains resistant to handing over its enriched uranium reserves.

What happens next?

Reuters reported that Pakistani mediators remain involved in passing messages between Washington and Tehran. If both sides agree to the preliminary memorandum, negotiations on a broader settlement could begin within weeks.

For now, however, both countries remain divided over the core issues driving the conflict.

The United States wants stronger restrictions on Iran’s nuclear activities and guarantees over shipping security in the Gulf, while Iran wants sanctions relief, international guarantees and recognition of its security interests in the Strait of Hormuz.

Whether the current proposal leads to a lasting agreement may depend on whether either side is willing to compromise on issues both still consider non negotiable.

Faith Omoboye is a foreign affairs correspondent with background in History and International relations. Her work focuses on African politics, diplomacy, and global governance.

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