Washington: Iran has put forward a fresh proposal to the United States aimed at ending the two-month conflict, even as tensions continue to disrupt oil flows through the Strait of Hormuz and global markets remain on edge.
The offer comes at a time when Washington maintains pressure on Tehran through sanctions and a naval blockade, while negotiations between the two sides continue through indirect channels.
Details of Iran's latest proposal have not been made public. However, earlier positions from Tehran indicated a willingness to reopen the strategically vital Strait of Hormuz and move toward a ceasefire, while seeking to delay discussions related to its nuclear programme. That sequencing was rejected by US officials, who insisted that nuclear restrictions must remain central to any agreement.
US President Donald Trump confirmed on Friday that he was unconvinced by the new offer. "They want to make a deal, I'm not satisfied with it, so we'll see what happens," he told reporters at the White House, without specifying the gaps in the proposal. He added that talks have continued over the phone after cancelling a planned envoy visit to Pakistan, describing Iran's leadership as "very disjointed" and internally divided over how to proceed.
According to a report by Axios, one of Washington's key demands is that Iran must not attempt to move enriched uranium from its damaged nuclear facilities or restart operations at those sites while negotiations are ongoing. The US has also maintained that Tehran should never be allowed to develop nuclear weapons, a position reiterated by White House spokesperson Anna Kelly, who said negotiations were focused on both immediate and long-term security concerns.
The conflict, which began on February 28 amid a broader US-Israel military campaign targeting Iran, has had major economic and geopolitical consequences. Iran moved to effectively shut the Strait of Hormuz shortly after hostilities began, cutting off a crucial artery for global petroleum shipments. Although a ceasefire was announced on April 8, US forces have continued to restrict shipping linked to Iran in the region.
The disruption has driven sharp volatility in oil markets. The Strait of Hormuz, through which a significant share of the world's oil supply passes, remains a focal point of concern for energy markets.
US Treasury Secretary Scott Bessent said the economic pressure campaign known as "Economic Fury" has pushed Iran's economy into severe distress. He stated that the country's currency has reached record lows, while shortages of US dollars have compounded financial strain. Bessent also claimed that food and fuel rationing are currently in place.
"The blockade will continue until there is pre-February 27 freedom of navigation," Bessent said, adding that the United States maintains full control over the Strait. He also said Iran's oil sector was effectively paralysed and argued that the situation reflected growing international isolation of Tehran.
Despite these pressures, diplomatic channels remain open, with both sides continuing to explore options for a negotiated settlement.