Trump Hints at Iran Peace Deal Amid Renewed Escalation

Fri Jun 12 2026 08:18:11 GMT+0000 (Coordinated Universal Time)

Trump claims a near‑final Iran settlement, while Tehran denies progress; amid latest strikes the region's oil corridors tense after Kharg Island threats.

President Donald Trump declared a settlement with Iran is close and described it as a “great” deal, yet Iranian officials say no agreement has been finalized. A series of US and Israeli air strikes have escalated tensions, prompting Iranian retaliation against Gulf states and raising fears over key shipping lanes. The Strait of Hormuz—a vital route for global oil—faces potential closure, but reports suggest the US intends to lift it once a convention is signed. Despite the President’s optimism, the United Nations and several regional powers have urged de‑escalation, calling for a return to the ceasefire agreement that was reached earlier this year.

Trump Hints at Iran Peace Deal Amid Renewed Escalation

President Donald Trump told reporters in the Oval Office that a settlement with Iran is almost finalised, describing it as a "great settlement" that would end the war. He added that the Strait of Hormuz would reopen "as soon as the documents are signed."

Iran’s foreign ministry spokesperson Esmail Baghaei countered, calling the reports speculative and stating that "no agreement has been finalised". He noted that the United States had made excessive demands and added new requests to the draft memorandum.

The stop‑gap ceasefire reached earlier this year has been punctuated by sporadic strikes. On 28 February, US and Israeli forces launched extensive attacks on Iranian targets, triggering a retaliatory campaign from Iran against Israeli and US‐allied positions in the Gulf. The Strait of Hormuz, through which almost 90 per cent of Iranian oil passes, has been partially closed during these exchanges.

Hours before his latest remarks, Trump threatened the Iranian oil island of Kharg, describing it as a key target that could be seized. The island powers about 90 per cent of Iran’s exports and is a focal point of the ongoing conflict.

Iranian military leaders have warned of a severe retaliation should further attacks occur, and its Revolutionary Guard Corps has struck US bases in Bahrain, Kuwait, and Jordan. The US Central Command confirmed a wave of strikes on military, surveillance and radar sites in southern Iran, and US forces have fired on multiple ships moving through the Gulf.

Several regional powers, including Jordan, Kuwait, Pakistan, Russia, China, Turkey, India, Saudi Arabia, and the United Nations, have called for de‑escalation and for all parties to return to the ceasefire terms. The UN Secretary‑General voiced deep concern over the ongoing escalation.

20 Apr – Trump said a deal would be made "relatively quickly".

6 May – Trump predicted the war would be over swiftly and called the memorandum "largely negotiated".

23 May – Trump again stated the deal was largely negotiated and would reveal details soon.

27 May – Trump said he was not satisfied with the draft terms.

28 May – Vice‑President JD Vance claimed the deal was very close but not finalised.

29 May – Trump stated no official deal had been announced after a meeting for final determination.

11 Jun – Trump asserted the US reached a great settlement and the signing would occur in the next few days.

The conflict’s impact extends beyond diplomatic exchanges; it touches global markets as Brent crude fell to about $89 a barrel following Trump’s comments. Meanwhile, the blockade aims to restrict Iranian oil export revenue by limiting ship access to Iranian ports.

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