Washington: U.S. President Donald Trump, Vice President JD Vance, and Iran's parliamentary speaker Mohammad Bagher Ghalibaf have signed a memorandum of understanding (MOU) aimed at ending the ongoing Middle East conflict. The signing ceremony is scheduled for Friday, as announced by senior U.S. officials on Monday.
According to Yonhap News Agency, the officials discussed the electronic signing of the MOU, following President Trump's announcement of a 60-day extension to the ceasefire between the U.S. and Iran. This period is intended for negotiations on unresolved issues, including nuclear and other matters, to reach a final peace agreement. The MOU stipulates that the Strait of Hormuz will be toll-free for 60 days, and Washington expects this condition to be part of the final agreement.
While other details of the MOU have not been disclosed, officials have promised to release more information within the next day or two. An official emphasized the importance of "full transparency" in the negotiations with Tehran. Vice President Vance will continue to lead these discussions, which are set to delve into more technical aspects later this week.
The MOU is expected to result in a "significant increase" in ship movements through the Strait of Hormuz, a crucial shipping route for oil and natural gas, which was nearly closed during the conflict that began with a U.S.-Israeli attack on Iran in late February. Officials anticipate a gradual return to pre-war traffic levels, considering the necessary mine-clearing and safety precautions required for safe passage.
The MOU explicitly states that the strait will be toll-free for 60 days, and officials hope this arrangement will continue in the final agreement. Iranian state media confirmed that the waterway would be toll-free for the specified period, after which Iran and Oman will manage it.
Restoring free passage through the strait is a significant aspect of the U.S.-Iran negotiations, as disruptions have impacted global energy prices and economic stability. South Korea and other nations are keen on an early resolution, as their vessels remain stranded in the strait due to the conflict.
U.S. officials have reiterated that any benefits from the peace deal will depend on Iran's compliance. Discussions include the potential release of frozen Iranian funds and sanctions relief, contingent on "verifiable milestones" in Iran's adherence to the agreement. The U.S. is prepared to take reciprocal actions if Iran demonstrates commitment to the deal through verifiable steps.