President Donald Trump on Monday rejected Iran’s latest response to a U.S. peace proposal, deepening concerns that the ongoing conflict in the Middle East could continue to disrupt global oil supplies and further destabilize the region.
The conflict, now in its 10th week, has largely shut down shipping through the Strait of Hormuz, one of the world’s most critical oil transit routes. Oil prices rose nearly 3% Monday as fears grew that negotiations between Washington and Tehran remain deadlocked. Before the war began in late February, roughly one-fifth of the world’s oil and liquefied natural gas shipments passed through the narrow waterway.
Iran’s counterproposal, released Sunday, called for an end to the war across the region, including fighting involving Hezbollah militants in Lebanon. Tehran also demanded an end to the U.S. naval blockade, compensation for war damages, lifting of sanctions, and the release of frozen Iranian assets. Iranian officials further insisted on maintaining sovereignty over the Strait of Hormuz.
Trump swiftly dismissed the proposal on social media, calling it “totally unacceptable” without elaborating further. The original U.S. proposal reportedly sought an immediate halt to fighting before broader negotiations over Iran’s nuclear program and regional military activities could begin.
Iran defended its position Monday, with Foreign Ministry spokesman Esmaeil Baghaei describing Tehran’s offer as “generous and responsible.” Iranian officials argued that ending the blockade and restoring secure shipping routes would improve regional stability.
Although a ceasefire announced in early April reduced large-scale combat, tensions remain high throughout the region. Shipping through the Strait of Hormuz has slowed dramatically, though tracking data showed a small number of crude oil tankers managed to leave the area last week with tracking systems turned off to avoid possible attacks.
The conflict has also created political pressure in the United States as gasoline prices climb ahead of congressional elections later this year. Internationally, the U.S. has struggled to gain broader military backing, with NATO allies declining requests to deploy naval forces to reopen the Strait without a comprehensive peace agreement.
Trump is expected to discuss the conflict later this week during a visit to China, where Iranian tensions are expected to be a major topic in meetings with Chinese President Xi Jinping.
Meanwhile, regional violence continued over the weekend. The United Arab Emirates reported intercepting two drones launched from Iran, while Qatar condemned a drone strike on a cargo ship in its waters. Clashes also continued in southern Lebanon between Israel and Hezbollah despite an earlier U.S.-brokered ceasefire.
Source: Reuters