Iran says US proposal 'still under review,' response to be conveyed through Pakistani mediators

Iran said on Wednesday that a US proposal conveyed through Pakistani mediation remains under review and that Tehran would communicate its final position after completing internal assessments.

Foreign Ministry spokesman Esmaeil Baghaei told Iran’s semi-official ISNA news agency that the US proposal was still being examined and that Iran would convey its conclusions to the Pakistani side once its review process was finalised.

ISNA also reported that parts of the content published by US outlet Axios regarding a possible agreement between Tehran and Washington were “media speculation,” adding that the Iranian negotiating team remained focused on the issue of “ending the war completely.”

According to the report, nuclear issues “were not under discussion at this stage” of negotiations.

Separately, Iran’s Tasnim news agency, citing an informed source, reported that Tehran had not yet formally responded to the latest US proposal because some provisions were viewed as unacceptable.

The remarks came after Axios reported Wednesday that Iran and the US were nearing a preliminary agreement to end their conflict and establish a framework for broader negotiations.

According to the report, the proposed memorandum would declare an end to the war and launch a 30-day negotiation process covering issues including the Strait of Hormuz, Iran’s nuclear program and sanctions relief.

Axios said discussions under the draft include a temporary moratorium on uranium enrichment, phased sanctions relief and expanded inspections of Iran’s nuclear activities, while stressing that no final agreement had been reached.

Baghaei had previously said during a Monday press conference that the US message conveyed through Pakistan remained under review and that Washington continued to raise “unreasonable demands.”

Referring to media reports about Iran’s reported “14-point initiative,” the spokesman said issues related to enrichment and nuclear materials remained speculative and had not reached any finalised understanding.

US and Iran closing in on memorandum to end war, Pakistani source says

The United States and Iran are closing in on an agreement on a one-page memorandum ​to end the war in the Gulf, a source from mediator Pakistan familiar with the negotiations said.

The Pakistani source said a report earlier by the US media outlet Axios on ‌the proposed memorandum was accurate. The Axios report had cited two US officials and two other sources familiar with the discussions.

“We will close this very soon. We are getting close,” the Pakistani source said. Last month, Pakistan hosted the war’s only peace talks so far, and it has continued in that role of mediator, ferrying proposals between the sides.

Reports of the possible agreement to end the war caused global oil prices to plunge, with benchmark Brent crude futures falling more than 8% to around $100 ​a barrel. Global share prices also leapt and bond yields fell on optimism of an end to a war that has disrupted energy supplies.

The White House, the State Department and Iranian officials contacted by ​Reuters did not immediately respond to requests for comment. US news channel CNBC quoted a spokesperson from the Iranian foreign ministry as saying Tehran was evaluating a ⁠14-point US proposal.

Axios reported that the White House believed it was closing in on a one-page memorandum to end the war with Iran. The report came hours after US President Donald Trump paused a three-day-old naval ​mission to reopen the Strait of Hormuz.

The Axios report said the US expected Iranian responses on several key points in the next 48 hours.

Among other provisions, Axios said, the deal would involve Iran committing to a moratorium ​on nuclear enrichment, the US agreeing to lift its sanctions and release billions of dollars in frozen Iranian funds, and both sides lifting restrictions around transit through the Strait of Hormuz.

14-point memorandum of understanding

The one-page, 14-point memorandum of understanding was being negotiated between US envoys Steve Witkoff and Jared Kushner and several Iranian officials, both directly and through mediators, Axios said.

In its current form, the memorandum would declare an end to the war in the region and the start of a 30-day period of ​negotiations on a detailed agreement to open the strait, limit Iran’s nuclear programme and lift US sanctions, Axios added.

Iran’s restrictions on shipping through the strait and the US naval blockade of Iran would be gradually lifted ​during that 30-day period, Axios said, citing one US official who added that if the negotiations collapsed, US forces would be able to restore the blockade or resume military action.

Earlier, Trump announced a pause to “Project Freedom”, a mission announced on Sunday to guide ships through the blocked strait. The mission had failed to bring about any significant resumption of traffic through the waterway, while provoking a new wave of Iranian strikes on ships in the strait and on targets in neighbouring countries.

Iran denied that any crossings had taken ​place. Also, it said that their forces did not carry out missile or drone operations against the UAE in recent days, according to Al Jazeera.

Al Jazeera said that according to sources in Iran, negotiations with the US are focusing solely on the Strait of Hormuz at this stage, and there will be no talks for now on the nuclear file.

“They are saying that anything else is just fabricated; they are fabricated media reports which are misleading,” an Al Jazeera correspondent said.

“They are not confirming at this stage they are negotiating their nuclear file, or the regional security policies, their relations with their allies or Iran’s missile programme. They say all of these are not being discussed now, they are excluded.”

The correspondent said Iran is offering a three-stage process, with the first 30 days solely focused on how to reopen the Strait of Hormuz. If agreement is reached, nuclear negotiations could begin, followed by a regional security dialogue with neighbouring countries.

Trump puts hold to ‘Project Freedom’, citing deal progress, request from Pakistan

US President Donald Trump ​said on Tuesday he would briefly pause an operation to help escort ships through the Strait of Hormuz, citing “great progress” toward a comprehensive agreement with Iran as well as the “request of Pakistan and other Countries.”

Hours earlier, US Secretary of State Marco Rubio had ‌outlined the effort that began on Monday to escort stranded tankers out of the Gulf. The strait has been virtually shut since the conflict began, blocking some 20% of world oil supplies and igniting a global energy crisis.

“Based on the request of Pakistan and other countries, the tremendous Military Success that we have had during the campaign…Great Progress has been made toward a Complete and Final Agreement with Representatives of Iran.” He wrote on Truth Social.

“We have mutually agreed that, while the Blockade will remain in full force and effect, Project Freedom … will be paused for a short period of time to see whether or not the Agreement can be finalised and signed.”

Read: Trump presses Iran to ‘wave white flag’

There was no immediate reaction from Tehran, where it was early on Wednesday morning.

Shortly after Trump’s post, ​US crude oil futures fell $2.30 and broke below $100 per barrel, a much-watched threshold since the conflict sent energy prices soaring two months ago.

The White House did not immediately respond to a request for comment on the progress made or how long the pause would last.

Rubio and other senior administration officials said earlier on Tuesday that Iran could not be allowed to control traffic through the ⁠strait.

Iran has effectively sealed off the strait by vowing to deploy mines, drones, missiles and fast-attack craft. The United States has countered by blockading Iranian ports and mounting escorted transits for commercial vessels.

The US military said on Monday it had destroyed ​several Iranian small boats, as well as cruise missiles and drones.

Iranian President Masoud Pezeshkian asserted that the Iranian nation will never submit to threats, advising US officials to end the military threats against the region, according to Press TV.

PM Shehbaz thanks Trump for pausing Project Freedom

Prime Minister Shehbaz Sharif extended his gratitude to Trump in a post on X for “his courageous leadership and timely announcement regarding the pause in Project Freedom in the Strait of Hormuz.”

He also mentioned the requests of other brotherly countries, “particularly the Kingdom of Saudi Arabia and my dear brother Crown Prince and Prime Minister of Saudi Arabia H.R.H Prince Mohammed bin Salman.”

He then reaffirmed Pakistan’s commitment to supporting all efforts that promote restraint and peaceful conflict resolution.

Beijing extends support to Iran amid conflict with US ahead of Trump’s China trip

China on Wednesday extended support to Iran amid the conflict with the US as Beijing prepares to host US President Donald Trump next week.

“China supports Iran in safeguarding its national sovereignty and security and appreciates Iran’s willingness to seek a political solution through diplomatic channels,” Foreign Minister Wang Yi told his Iranian counterpart Abbas Araghchi during a meeting in Beijing.

He added that a complete cessation of hostilities “is imperative,” while restarting the conflict “is unacceptable, and persisting in negotiations is particularly important,” according to a statement from China’s Foreign Ministry.

According to Al Jazeera, FM Yi said the US-Israel war on Iran was illegitimate.

Araghchi reached Beijing at China’s invitation for their first in-person talks since the US and Israel initiated war with Iran on February 28.

Pakistani mediation efforts continue

The war has killed thousands of civilians in Iran and Lebanon and has spread to the rest of the Gulf, ⁠roiling the global economy. The head of the International Monetary Fund said on Tuesday that even if the conflict ended immediately, it would take three to four months to deal with the consequences.

Rubio said 10 civilian sailors were among those who had died in the conflict, adding that crew on vessels stranded in the waterway were “starving” and “isolated.”

Trump told reporters in the Oval ​Office that Iran’s military had been reduced to firing “peashooters” and Tehran wanted peace, despite public posturing.

The conflict is also pressuring Trump’s administration ahead of crucial midterm elections in November, ​as rising gas prices hit voters’ ⁠pockets.

Read more: UAE says air defences ‘actively engaging’ missiles, drones coming from Iran

Trump has said the US-Israeli attacks aimed to eliminate what he claimed were “imminent threats from Iran”, citing its nuclear and ballistic missile programs and its support for Hamas and Hezbollah.

However, the first day of US-Israeli attacks in Iran landed on a girls’ school in Minab, massacring around 110 children and 168 people in total.

Iran has called out the attacks as a violation of its sovereignty and said that it has the right to develop nuclear technology for peaceful purposes, including enrichment, as a party to the Nuclear Non-Proliferation Treaty.

Diplomatic efforts to end the conflict have yet to yield results. US and Iranian officials have held one round of face-to-face peace talks, but attempts to ⁠set up further ​meetings have failed.

Iranian Foreign Minister Abbas Araghchi has said that peace talks were still progressing with Pakistan’s mediation.

He arrived in Beijing on Wednesday morning ​for talks with his Chinese counterpart on bilateral ties and regional and international developments, Iran’s Press TV reported.

Trump is also due to visit China this month.

Rubio says main operation over

Rubio told reporters at the White House that the United States had achieved its objectives in its military campaign, which was launched on February 28 alongside Israel.

“Operation ​Epic Fury is concluded,” Rubio said. “We’re not cheering for an additional situation to occur.”

One of Trump’s central objectives in launching military strikes against Iran was to ensure Tehran does not develop a nuclear weapon, something Tehran has repeatedly denied seeking throughout years of accusations to the contrary, especially from Israel.

While Rubio was speaking, Britain’s Maritime Trade Operations agency reported that a cargo vessel had been struck by a projectile in the strait. Further details of the incident were not immediately available.

US Defence Secretary Pete Hegseth said earlier on Tuesday that the US ​had successfully secured a path through the waterway and that hundreds of commercial ships were lining up to pass through. The four-week-old truce with Iran was not over, he added.

“Right now the ceasefire certainly holds, but we’re going to be watching very, ​very closely,” he said.

General Dan Caine, chairman of the US Joint Chiefs of Staff, said Iranian attacks against US forces fell “below the threshold of restarting major combat operations at this point”.

Asked what Iran would need to do to violate the ceasefire, Trump said: “They know what ‌not to ⁠do.”

Air defence activated against drones near Iran’s Qeshm Island

Iranian media reported early on Wednesday that air defence systems were activated against drones near Qeshm Island, located near the contested Strait of Hormuz.

Officials in the southern province of Hormozgan said in a statement that sounds of explosions were heard overnight around the island, reported Iranian state broadcaster IRIB.

The statement said the explosions resulted from the activation of air defence systems against small drones and reconnaissance unmanned aerial vehicles.

Authorities added that no damage to the island was reported.

Social media accounts had circulated claims during the night about several explosions being heard on the island before any official statement on the incident.

French shipping company confirms cargo vessel targeted in Strait of Hormuz attack

French shipping company CMA CGM confirmed Wednesday that one of its cargo vessels was hit in an attack in the Strait of Hormuz, after earlier reports of an incident in the strategic waterway, broadcaster BFM reported.

“The CMA CGM San Antonio, was targeted in an attack yesterday while it was sailing in the Strait of Hormuz,” the company said in a statement, adding that several crew members were injured and evacuated for medical treatment.

The confirmation comes after maritime security agencies and media reports earlier indicated that a cargo ship had been struck by a projectile in the area, without official verification of the vessel’s identity.

Earlier, French authorities said they could not immediately confirm reports that a CMA CGM-operated cargo vessel had been targeted in the strait.

American and British media had reported that a French cargo ship may have been struck by gunfire in the strategic waterway.

‘Right to respond’

Shortly after Hegseth spoke, the UAE’s defence ministry said its air defences were again dealing with missile and drone attacks coming from Iran, though Iran’s joint military command denied carrying out attacks.

The UAE’s foreign ministry said the attacks were a serious escalation and posed a direct threat to the country’s security, adding that the Gulf Arab state reserved its “full and legitimate right” to respond.

Iran’s foreign ministry rejected Abu Dhabi’s statements, saying its armed forces’ actions have been solely aimed at repelling American aggression.

Also read: Hormuz ship traffic stays limited as only 4 commercial vessels transit in 24 hours

The US military said on Monday that two US merchant ships made it through the strait, without saying when, while shipping company Maersk said the Alliance Fairfax, a US-flagged ship, exited the Gulf under US military escort on Monday.