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Read: 14-point US-Iran agreement to end war, open Strait of Hormuz

Published June 18, 2026 · Updated June 18, 2026 · By Karen Anderson

Read: 14-Point US-Iran Agreement to End War, Open Strait of Hormuz

Administration Officials Detail Terms of Historic Ceasefire Pact

Read - On Wednesday, senior figures from the Trump administration presented the framework of a 14-point agreement aimed at concluding hostilities between the United States and Iran, with a specific focus on restoring access to the Strait of Hormuz. This document outlines the key terms of a deal that seeks to redefine the relationship between the two nations, emphasizing cooperation and conflict resolution. The agreement’s signing is set for Friday in Switzerland, where Vice President Vance will represent the U.S., though President Trump hinted he might join the event, given his current presence in Europe for the Group of Seven (G7) summit.

“I’m considering joining the signing ceremony, but it’s not certain yet,” said President Trump during a press call, underscoring the significance of the pact in the context of his diplomatic efforts. “This deal marks a major step toward stability in the region and ensures the Strait of Hormuz remains open for all nations.”

Permanent Termination of Hostilities and Regional Security

The agreement establishes that the U.S., Iran, and their allies in the ongoing conflict will cease all military operations immediately. This includes a commitment to stop any further attacks on Lebanon, a critical flashpoint in the region. Both parties pledged to uphold the territorial integrity and sovereignty of Lebanon, refraining from using force or threatening aggression against each other. The MOU also guarantees that the war will be officially ended across all fronts, with the final deal confirming this status in a structured timeline.

A core principle of the pact is mutual respect for sovereignty. The U.S. and Iran agreed to not interfere in each other’s domestic affairs, a measure intended to build trust and reduce tensions. This provision reflects a broader effort to normalize relations and establish a framework for ongoing dialogue, which is essential for long-term peace.

Timeline for Implementation and Economic Recovery

The agreement includes a clear schedule for action. Within 60 days, the U.S. and Iran commit to finalizing the full terms of the deal, which can be extended with mutual consent. This deadline ensures urgency while allowing flexibility for negotiations. Additionally, the U.S. will begin removing its naval blockade of Iran within 30 days of the MOU’s signing, fully lifting it within a month. The removal of the blockade will coincide with Iran’s efforts to restore prewar levels of maritime traffic, proportionally adjusting vessel movement to match the progress of its own de-escalation measures.

The deal also allocates $300 billion for Iran’s reconstruction and economic development, to be funded through a joint plan with regional partners. This financial commitment is designed to address the damage caused by prolonged conflict and to support Iran’s recovery, with the implementation mechanism to be finalized in the coming weeks. The U.S. has assured that all necessary licenses and permissions will be granted to facilitate these financial transactions, ensuring smooth access to international markets.

Strait of Hormuz and Maritime Cooperation

A key component of the agreement is the restoration of commercial traffic through the Strait of Hormuz, one of the world’s most vital shipping lanes. Iran has agreed to guarantee the safe passage of vessels from the Persian Gulf to the Sea of Oman and vice versa for 60 days without charges. This initiative will be implemented within 30 days, contingent on Iran’s progress in clearing technical and military obstacles, as well as conducting demining operations in the area.

Iran will also engage with Oman to establish the future management of the strait, aligning with international law and the rights of coastal states. This collaboration aims to create a transparent system for maritime operations, ensuring equitable access for all nations. The U.S. has endorsed this approach, recognizing the importance of securing the strait for global trade and regional security.

Sanctions Relief and Nuclear Dispute Resolution

The agreement addresses the issue of sanctions, with the U.S. pledging to terminate all types of penalties against Iran, including those imposed by the United Nations Security Council, the International Atomic Energy Agency, and unilateral U.S. measures. The timeline for sanctions relief will be determined through the final deal, which will include a mutual agreement on the specifics of this process.

Iran reaffirmed its commitment to not developing or acquiring nuclear weapons, a promise central to the agreement. The U.S. and Iran agreed to resolve the status of Iran’s stockpiled enriched material through a mechanism to be mutually decided. This includes the down-blending of nuclear material on-site, supervised by the IAEA. The pact also allows for ongoing discussions on enrichment capabilities and other nuclear-related matters, ensuring alignment with international legal frameworks.

Regional Implications and Future Outlook

Analysts have noted that the 14-point agreement could have far-reaching consequences for the Middle East. By ending hostilities and opening the Strait of Hormuz, the deal may reduce the risk of escalation, providing a stable environment for trade and diplomacy. The inclusion of economic aid and sanctions relief signals a shift toward pragmatic cooperation, despite the historical adversarial relationship between the U.S. and Iran.

While the agreement represents a significant breakthrough, challenges remain. The 60-day deadline for finalizing the deal requires swift action from both sides, with the potential for extensions. Additionally, the success of the pact will depend on Iran’s ability to meet its commitments regarding maritime operations and nuclear transparency. The U.S. will monitor these progressions closely, with Vice President Vance playing a pivotal role in ensuring the agreement’s implementation.

President Trump’s potential attendance at the signing ceremony highlights the administration’s high stakes in this diplomatic move. The G7 summit in Europe provided an opportunity to solidify the deal’s foundation, but the actual ratification will occur in Switzerland, where the MOU will be formally adopted. This process underscores the importance of international support in maintaining the agreement’s credibility and effectiveness.

The agreement’s success may set a precedent for future negotiations, demonstrating the potential for conflict resolution through structured diplomacy. As the U.S. and Iran move forward, the focus will shift to long-term cooperation, with the hope of fostering a more stable and prosperous region. The Strait of Hormuz, once a symbol of tension, now stands as a beacon of renewed partnership and shared goals.