US President Donald Trump has publicly rejected an Iranian proposal aimed at reopening the Strait of Hormuz and halting regional hostilities. The initiative was introduced by Iran during the United Nations General Assembly in New York and reportedly communicated to the United States through Qatari mediators. Iran suggested that, in exchange for lifting the US naval blockade on Iranian ports, waiving sanctions on Iranian oil sales, and agreeing to a regional ceasefire that would include Lebanon, Tehran would open the strategic waterway and resume wider negotiations, potentially including its nuclear program, within seven days.
Despite these overtures, Trump dismissed the proposal during remarks at the White House, stating, “I reject their proposal… I rejected their deal.” He characterized the offer as a sign of Iran’s weakening position, asserting that the US was “winning tremendously” amid what he called an economic campaign to pressure Tehran. Trump also implied that Iran’s willingness to negotiate stemmed from a decline in oil revenues caused by disruption of shipping through the strait, which the US considers to be under its control.
The White House, however, indicated that US officials were engaging in “positive and constructive” indirect talks with Iranian intermediaries earlier in the week. Iranian Foreign Minister Abbas Araghchi told reporters at the UN that if the US demonstrated seriousness about the deal, a pathway for broader discussions could be established. He said all preparations were in place to initiate the reopening of the Strait of Hormuz and a pause in fighting within seven days of an agreement.
Iran’s President Masoud Pezeshkian, who returned to Tehran from the UN gathering, reiterated a firm stance against Trump’s threats to “annihilate” Iran but emphasized that Tehran remains open to diplomacy. The Iranian proposal also came amid ongoing tensions in the region, including Saudi Arabia’s recent claim that it intercepted and destroyed a ballistic missile fired by Iran-aligned Houthi rebels in Yemen. The Gulf Cooperation Council condemned the Houthi attacks as a “grave escalation and threat to regional security” and called on the international community for a response.
Meanwhile, Iraq announced it is in direct contact with the US to obtain exemptions from sanctions on Iranian airlines. This effort aims to facilitate humanitarian flights to Iraqi airports for medical treatment, education, and religious pilgrimages to holy sites such as Karbala and Najaf.
The initiative forms part of a broader backdrop of conflict that has persisted for several months, disrupting oil shipments through the Strait of Hormuz, a critical maritime chokepoint for global energy supplies. While Iran maintains that it seeks negotiations under specific conditions, the US remains cautious, with Trump signaling skepticism about Iran’s intentions and the durability of any proposed agreement, especially in the run-up to the November US midterm elections.