U.S. ready to lift blockade on Iran in exchange for reopening Strait of Hormuz
The U.S. and Iran are discussing a phased agreement in New York that could become the first step toward ending their nearly seven-month conflict. At the center of the talks is the Strait of Hormuz: Washington wants freedom of navigation restored, while Tehran is demanding that the economic blockade be lifted.
According to Reuters, one of the main options under consideration would see Iran reopen the strait to shipping in exchange for the U.S. easing economic pressure. Tehran also hopes to regain access to some of its assets frozen abroad.
The main obstacle is that neither side wants to give up its leverage first. The U.S. is using sanctions and the blockade, which have restricted Iranian oil exports and foreign currency inflows. Iran, meanwhile, controls access to one of the world’s most important oil trade routes.
Deal could be implemented in stages
A senior Iranian official said a phased settlement may be the most realistic option. The first step would involve simultaneously lifting the U.S. blockade and restoring shipping through the Strait of Hormuz.
Iran is also prepared to move its demand for transit fees on vessels outside the main agreement. Gulf countries have previously opposed such charges. For Tehran, securing relief from economic restrictions is now a higher priority than immediately resolving the issue of transit payments.
At the same time, Iran does not intend to give up administrative control over the strait. Reuters sources said any agreement on the issue would likely be temporary and would not mean Tehran had permanently abandoned its previous position.
Both sides maintain tough positions
U.S. President Donald Trump has previously said Washington and Tehran are capable of reaching an agreement. At the same time, the White House argues that the U.S. is in the stronger position and does not intend to ease pressure without reciprocal concessions from Iran.
Tehran is also preparing for the possibility that the conflict will continue. Iranian authorities say the U.S. is using the blockade and the threat of military force as tools of pressure in the negotiations and warn that the risk of renewed escalation will remain if no compromise is reached.
Gulf countries, meanwhile, support restoring freedom of navigation and oppose turning the Strait of Hormuz into a permanent instrument of pressure. At the same time, they are urging the U.S. and Iran to move toward a political settlement, fearing a prolonged conflict in the region.
The negotiations therefore currently revolve around an attempt to trade the two sides’ main sources of leverage: access through the Strait of Hormuz and the U.S. economic blockade. No concrete agreement has yet been reached.
How the Strait of Hormuz became Iran’s main leverage
The current conflict began on February 28, when the U.S. and Israel launched large-scale strikes on Iran. Supreme Leader Ali Khamenei and several senior Iranian officials were killed in the first wave of attacks. On the same day, Tehran announced the closure of the Strait of Hormuz to shipping, prompting major carriers and oil companies to halt tanker traffic through one of the world’s key energy trade routes.
Mojtaba Khamenei, who later came to power, maintained that policy and said in March that the strait should remain closed as a tool of pressure on the U.S. and Israel. Iran required vessels to coordinate passage with its naval forces, while traffic through the strait fell sharply. Since then, control over Hormuz has become one of Tehran’s main sources of leverage in the conflict and is now at the center of negotiations with Washington.
The U.S.-Iran talks resumed at the UN.