The United States and Iran have electronically signed an interim agreement extending their ceasefire and initiating steps toward the reopening of the Strait of Hormuz. The White House confirmed via social media that US President Donald Trump signed the agreement in Versailles, France.
“The Islamabad MoU shall enter into force with immediate effect and as a first step, the Islamic Republic of Iran will instantly reopen the strait of Hormuz and the United States of America will immediately lift the naval blockade,” said Pakistani Prime Minister Shehbaz Sharif, who has been facilitating negotiations between the two parties, in a post on X.
Under the terms of the agreement, Iran commits to restoring the movement of vessels between the Mideast Gulf and the Gulf of Oman, and vice versa, to pre-war levels within 30 days, while addressing technical constraints and neutralising mines.
Iran also agrees to allow free passage of ships for 60 days, referencing a previously proposed system of transit tolls or service fees for vessels crossing the strait. Commercial shipping traffic will resume immediately, while Iran and Oman will conduct consultations on the future governance and maritime services of the Strait of Hormuz, in line with applicable international law and the sovereign rights of coastal states. In return, the United States will lift all categories of sanctions on Iran, according to a timetable to be negotiated within a final agreement, subject to Iran fulfilling its obligations regarding its nuclear programme.
The US Treasury will also issue waivers enabling exports of Iranian crude oil, petrochemical products and derivatives, as outlined in the draft agreement. A final settlement remains contingent on reaching a comprehensive US–Iran nuclear agreement, while the unfreezing of assets will depend on progress toward this outcome. The 60-day period may also be extended.
The Strait of Hormuz, which accounts for approximately 20% of global petroleum flows, has been largely closed since the US and Israel launched their war against Iran in February, triggering a global energy crisis.