On Sunday, Donald Trump announced an initiative to help ships leave the blocked Strait of Hormuz, closed by Iran, starting Monday. The American president provided few details on the initiative.
In a social media post, he stated that “neutral and innocent countries” affected by the war in Iran have been assured that the US will guide their ships safely out of the restricted waterways so they can resume their activities freely and efficiently.
The “Freedom Project” will begin Monday morning in the Middle East, said President Trump, who added that representatives are in talks with Iran, potentially leading to “something very positive for everyone.”
Iran’s control of the strait, imposed after the war initiated by the US and Israel on February 28, has shaken global markets.
Mr. Trump spoke hours after Iran said they were reviewing the American response to their latest proposal to cease hostilities, with negotiations not focusing on nuclear issues.
Meanwhile, a cargo ship near the Strait of Hormuz was attacked on Sunday. According to the UK Maritime Trade Operations Centre, there have been at least two dozen attacks in and around the strait since the war began in Iran.
The crew of the cargo ship, sailing north, is safe after the attack off Sirik, east of the strait. Iranian authorities claim to control the strait and allow passage to non-US or Israeli ships for a fee, challenging international navigation freedom.
Iran has denied any attack, stating that a passing ship was detained for document verification as part of a surveillance operation.
The British observer mentioned this as the first reported attack in the area since April 22, with Tehran effectively closing the strait by threatening and attacking ships, keeping the threat level in the area critical.
Iranian patrol boats, some propelled by two outboard motors, are small, agile, and hard to detect. Last month, President Trump ordered the US military to “shoot and destroy” small Iranian boats deploying mines in the strait.
The fragile three-week ceasefire seems to be holding, even as President Trump mentioned new strikes were still possible on Saturday.
Iran is reviewing the American response to its latest proposal, according to the spokesman for the Ministry of Foreign Affairs, Esmail Baghaei. He stated, “At this stage, we do not have negotiations on nuclear energy.”
The Iranian nuclear program and uranium enrichment have long been at the core of tensions with the US, but Tehran prefers to address this issue later.
Iran’s latest proposal to the US envisions resolving differences within 30 days, focusing on ending the war rather than extending the ceasefire, according to media close to the Iranian regime.
President Trump mentioned on Saturday that he was reviewing a new Iranian proposal but expressed doubts about reaching an agreement, stating that “they have not yet paid a high enough price for what they have done to humanity and the world over the past 47 years since the Islamic revolution.”
Iran’s 14-point proposal, following the US nine-point plan, also calls for the US to lift sanctions on Iran, end the naval blockade of ports, withdraw forces from the region, and cease all hostilities, including Israeli operations in Lebanon.
Iran submitted its proposal through Pakistan, which hosted direct talks between Iran and the US last month.
The Prime Minister, Foreign Minister, and Chief of the Pakistani Army continue to advance negotiations and encourage the US and Iran to engage in direct dialogue.
On Sunday, Iranian Foreign Minister Abbas Araghchi met with Omani Foreign Minister Badr al-Busaidi, who oversaw previous talks between the US and Iran, as well as representatives from Brazil and Spain.
Iran remains firm on the Strait of Hormuz, with President Trump proposing a plan to reopen the strait at the mouth of the Persian Gulf, through which about a fifth of the world’s oil and natural gas trade usually flows, as well as fertilizers needed by farmers worldwide.
Iran’s grip on the strait, imposed after the war initiated by the US and Israel on February 28, has rattled global markets.
The UK military surveillance organization mentioned that ships near Ras al-Khaimah, the northernmost Emirate of the UAE near the strait, received radio warnings to leave their anchorages. The identity of the message sender was not specified.
The Vice President of the Iranian Parliament stated that Tehran will not back down on its position regarding the Strait of Hormuz, maintaining it will not return to pre-war conditions. He made the statement during a visit to the strategic rule installations of Larak.
The US warned shipping companies that they risk sanctions if they pay money to Iran in any form to safely navigate the Strait of Hormuz.
Simultaneously, the US naval blockade in effect since April 13 deprives Tehran of the oil revenues needed to support its struggling economy. The US Central Command announced on Sunday that 49 commercial ships had been ordered to turn back.
“We believe they have collected less than $1.3 million in fees, which is a paltry sum compared to their former daily oil revenue,” said US Treasury Secretary Scott Bessent to Fox News on Sunday.
He added that Iranian oil tanks are quickly filling up and “they will have to start shutting down wells, which could happen as soon as next week.”
The Iranian currency continued to plummet on Sunday, the second working day of the week in Iran, with the rial weakening against the US dollar to 1,840,000 rials.
Analysts predict that the Iranian currency is likely to continue to decline.
In December, the rial was trading at 1.3 million to the dollar, historically low at the time, triggering widespread protests against the deteriorating economy. Tehran’s markets remain unstable, with prices of some products increasing daily.
According to Iranian media reports, several factories did not renew their employees’ contracts after the Iranian New Year in March, resulting in a significant number of job losses.
Yousef Pezeshkian, son and advisor to President Masoud Pezeshkian, wrote on Telegram that both the US and Iran view themselves as winners of the war and are unwilling to surrender.
Adam Schreck and Melanie Lidman, The Associated Press
