The United States has signaled skepticism toward a new proposal from Iran aimed at ending the ongoing conflict and reopening the vital Strait of Hormuz without resolving disputes over Tehran’s nuclear program.
While U.S. officials acknowledged the offer as an improvement on previous proposals, there was little indication that Washington is prepared to lift its naval blockade or separate peace efforts from nuclear negotiations. Marco Rubio emphasized that Iran’s nuclear ambitions remain central to the conflict, stating any agreement must prevent the country from developing nuclear weapons.
The proposal, reportedly mediated through regional actors, focuses on reopening the strait—through which roughly a fifth of global oil supply typically passes—and halting hostilities. However, it defers contentious nuclear discussions to a later stage, a condition that appears unacceptable to U.S. leadership.
Donald Trump and his national security team reviewed the proposal, but the White House indicated it is not seriously considering it in its current form. Officials reiterated that the administration’s “red lines” regarding Iran’s nuclear program remain unchanged.
Markets reacted quickly to the uncertainty. U.S. national gas prices climbed to a record average of $4.18 per gallon, while global oil benchmark Brent crude rose above $111 per barrel, reflecting continued strain on energy supplies.
The closure of the Strait of Hormuz has significantly disrupted global trade, with shipping traffic sharply reduced despite a fragile ceasefire. The standoff has also placed pressure on Gulf nations that rely on the route for energy exports, while the U.S. blockade continues to squeeze Iran’s economy by limiting its oil sales.
Iran maintains that its nuclear program is peaceful, but U.S. officials argue that uranium enrichment capabilities pose a direct risk. The disagreement remains a major obstacle to any comprehensive peace agreement.
As diplomatic efforts stall, indirect talks continue through regional intermediaries, including Pakistan. Iranian Foreign Minister Abbas Araghchi has also engaged with Vladimir Putin in Moscow, seeking broader international backing.
With both sides holding firm, the path to de-escalation remains uncertain, and the global economic impact—particularly on energy markets—continues to deepen.
