The United States and Iran have signed a memorandum of understanding aimed at ending roughly four months of conflict centered on the Strait of Hormuz, the narrow chokepoint through which a significant share of the world’s oil supply passes. President Donald Trump announced the agreement, saying it resolved the standoff and blocked Iran from developing a nuclear weapon.
Iranian President Masoud Pezeshkian also signed the MOU, with ceremonies finalized around June 18, 2026. The deal marks the first formal diplomatic breakthrough between the two countries after hostilities that began in February 2026.
What the deal actually says
On the immediate side, the US naval blockade of Iran is set to end within 30 days of signing. Commercial vessels will get toll-free passage through the Strait for 60 days, with traffic restoration targeted within 30 days.
The 60-day negotiation window covers nuclear inspections, sanctions relief, and the potential reinstatement of the International Atomic Energy Agency to monitor Iranian compliance. Both countries are also expected to engage Oman regarding administration of the Strait, with Qatar and Pakistan encouraged to serve as mediators.
