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Iran says no decision made on peace deal with US after Trump touts ‘great settlement’

Published June 12, 2026 · Updated June 12, 2026 · By David Martin

Iran No Decision on Peace Deal with US After Trump Cancels Strikes

Iran says no decision made on peace - Following President Donald Trump's claim of achieving a "great settlement" with Iran, the country's foreign ministry clarified that no final decision had been made regarding a potential peace agreement. The statement came amid heightened tensions, as the US had previously threatened military action. Trump's abrupt shift from calling for strikes to halting them highlights the fluid nature of diplomatic and military strategies in the ongoing standoff. “We’ve reached the highest level of Iranian leadership and approved the initial agreement,” Trump stated, signaling a possible pause in hostilities. However, Iran emphasized that the peace deal is still under consideration, with no formal conclusion in sight.

Strategic Shift in US Policy

Trump’s decision to cancel the planned strikes marked a significant tactical pivot. Earlier, he had warned of "VERY HARD TONIGHT" attacks on Iranian oil infrastructure, aiming to pressure Tehran into negotiations. By evening, his tone softened, announcing the cancellation of the strikes as a result of progress in talks. This change underscores the US’s reliance on both military threats and diplomatic outreach to achieve its objectives. “The documents will be finalized soon,” Trump added, reinforcing the notion that the deal could lead to a broader resolution. Iran’s response, however, was cautious, with officials noting that the process remains ongoing.

The US military’s suspension of strikes coincided with heightened activity in the Persian Gulf. While aerial assaults on Iranian ports were paused, the naval blockade continued, restricting movement through critical waterways. Trump’s emphasis on the need to finalize the agreement before proceeding with further actions reflects the importance of securing a diplomatic outcome. The strategic timing of this decision came as tensions escalated, with both sides maintaining their positions and military readiness.

Kharg Island at the Center of Conflict

Kharg Island, a key hub for Iran’s oil exports, remains a focal point of the current crisis. The island, located near the Strait of Hormuz, handles about 90% of Iran’s crude oil shipments. Its infrastructure, including storage tanks and pipelines, makes it a linchpin for the country’s energy economy. Earlier in the week, reports suggested Iran had threatened to close the strait, which could disrupt global oil supply chains. The US, however, dismissed these claims, asserting that its forces had successfully navigated the area without incident, further complicating the situation.

Iran’s reluctance to commit to a peace deal is evident in its ongoing military maneuvers. Despite Trump’s optimism, the nation’s leadership has maintained a stance of cautious diplomacy. “The deal is still being reviewed,” a spokesperson noted, highlighting the unresolved issues between the two powers. The potential for renewed strikes remains, with both sides poised to act if negotiations stall. The strategic significance of Kharg Island, combined with the high-stakes geopolitical climate, keeps the situation in flux.

Peace Talks and Unresolved Demands

Peace negotiations between the US and Iran have faced setbacks as both sides reevaluate their positions. While Trump asserted that the initial agreement was on the verge of completion, Iran’s foreign ministry pointed to new demands as a hurdle. “The US has introduced fresh conditions, complicating the finalization of the deal,” a spokesperson explained. These demands, centered on Iran’s nuclear program, have yet to be fully addressed. The talks, which have spanned several days, now hang in the balance, with each party presenting conflicting accounts of progress.

The ongoing discussions reflect the broader complexities of US-Iran relations. Iran has consistently denied seeking a nuclear weapon, framing its program as peaceful. The US, however, remains concerned about Iran’s uranium stockpile and its potential to develop a weapon. Trump’s remarks about the "great settlement" suggest confidence in the talks, but Iran’s hesitation indicates the challenges ahead. With military options still on the table, the outcome of these negotiations will determine the next phase of the conflict.

Meanwhile, international observers have expressed concern over the potential for escalation. The US strike on an Iranian merchant ship, which killed three Indian sailors, has drawn attention to the collateral damage of the current operations. This incident, coupled with Iran’s continued military activity, adds layers of complexity to the peace process. As both sides prepare for the next steps, the focus remains on balancing diplomacy with the threat of force.