U.S. President Donald Trump said negotiations with Iran would begin on Monday afternoon. He also suggested that an agreement concerning the Strait of Hormuz could be close.
Speaking to reporters aboard Air Force One on Sunday, Trump said the United States was communicating with Iran through formal negotiations. However, he added that it remained unclear whether the discussions would produce meaningful results.
Trump Signals Progress on Hormuz Deal
Trump said Saudi Arabia believed an agreement with Iran was imminent.
According to the U.S. president, the potential deal would focus on the Strait of Hormuz and could eventually address concerns surrounding Iran’s nuclear programme.
The strategic waterway is one of the world’s most important routes for energy shipments. Therefore, any agreement to restore safe passage could have a major impact on global oil markets.
U.S. Cancels Planned Strike on Iran
Trump said the United States remained prepared to take military action against Iran despite cancelling a major planned strike on Saturday.
He explained that discussions with Saudi Arabia, the United Arab Emirates, Qatar and Iran had persuaded him to halt what he described as a large-scale attack.
The decision provided some relief after two weeks of repeated military exchanges between Washington and Tehran.
Iran and Oman Talks Reach Final Stages
Trump’s comments followed a statement from Iranian Foreign Minister Abbas Araghchi, who said negotiations with Oman regarding the Strait of Hormuz had entered their final stages.
Iranian Foreign Ministry spokesperson Esmail Baghaei also said the discussions involved creating an agreed transit route through the waterway.
Oman has frequently played a diplomatic role between Iran and Western governments. Its involvement could help both sides reach a temporary agreement while wider negotiations continue.
Regional Tensions Begin to Ease
The cancellation of the U.S. strike marked a possible reduction in tensions between Washington and Tehran.
The two countries had exchanged attacks during the previous two weeks. The United States was also reportedly considering strikes against Iranian energy infrastructure.
Iran had warned that any attack on those facilities would trigger a severe response.
Regional Mediators Push to Restore Peace
The latest hostilities weakened a memorandum of understanding signed by the United States and Iran in June.
However, regional mediators, including Pakistan, Saudi Arabia and Qatar, continued working to preserve the earlier diplomatic agreement.
Their efforts appear to have contributed to the renewed negotiations announced by Trump.
Iran Says No Final Hormuz Agreement Yet
Despite the positive signals, Tehran said earlier on Sunday that it had not yet agreed to reopen the Strait of Hormuz.
Iranian officials also maintained that the country’s policy toward the waterway had not changed.
Iran had effectively restricted passage through the strait following U.S. military action earlier in the year.
Oil Prices Fall After Trump’s Comments
Oil prices dropped by more than 4% during early trading on Monday.
The decline followed Trump’s decision to cancel the planned strike and begin negotiations with Iran.
Markets interpreted the developments as a sign that the risk of an immediate military escalation and prolonged disruption to oil shipments had decreased.
