Iran reviews new US peace proposal to end war

Iran said on May 7 it is reviewing a US peace proposal that sources say would formally end the war, though it does not address key Washington demands such as Iran suspending its nuclear program and reopening the Strait of Hormuz.

Iran's Foreign Ministry spokesman, cited by ISNA news agency, said Tehran will convey its response. US President Donald Trump said he believes Iran wants to reach a deal.

“They want to make a deal. We've had very good negotiations over the last 24 hours, and there's a very good chance we'll make a deal,” Trump told reporters at the Oval Office on May 7.

A day earlier, Trump paused “Operation Freedom” aimed at reopening the blocked strait, citing progress in peace talks. The de facto blockade of this waterway threatened to trigger a global economic recession. Iran has pressed to retain control of Hormuz, through which one-fifth of the world's oil and gas supply passes.

Contents of the new US peace proposal

US media Axios reported the two sides are “close” to a deal based on a 14-point document. Under this memorandum, Iran would agree not to develop nuclear weapons and to halt uranium enrichment for at least 12 years.

The US would lift sanctions and release billions of dollars in frozen Iranian assets. Both sides, which have imposed counter-blockade measures at the Strait of Hormuz, would reopen the vital waterway within 30 days of signing.

Iran has faced US sanctions for decades. The lifting of some sanctions under the 2015 nuclear deal was reversed after Trump withdrew from the landmark agreement signed under predecessor Barack Obama. Billions of dollars in Iranian assets remain frozen in foreign banks due to sanctions.

It is unclear how this memorandum differs from the 14-point plan proposed by Iran last week.

Reuters reported, citing sources familiar with mediation, that US negotiations are led by Trump envoy Steve Witkoff and son-in-law Jared Kushner. If both sides agree to the preliminary deal, it would begin a 30-day countdown for detailed talks toward a full agreement.

The full agreement would end the counter-blockade measures between the US and Iran at the strait, lift US sanctions, and release Iran's frozen funds. It would also include certain restrictions on Iran's nuclear program, which is permitted by the UN Atomic Energy Agency.

While sources say the initial memorandum would not require concessions from either side, they did not mention several key demands previously made by Washington that Iran has rejected, such as limiting Iran's missile program and ending support for armed proxy groups in the Middle East.

Israeli Prime Minister Benjamin Netanyahu, an ally of Trump, said on May 7 that the two leaders agreed all enriched uranium must be removed from Iran to prevent it from developing a nuclear bomb.

Iran denies seeking nuclear weapons. It stresses its program is for civilian purposes, permitted under its status as a signatory to the Non-Proliferation Treaty.

Can Iran agree to this proposal?

Iran has not officially responded to the latest US proposal. However, Iranian leaders have opposed it. Iranian lawmaker Ebrahim Rezaee, spokesman for parliament's powerful National Security and Foreign Policy Committee, described the document as “more like a US wish list than reality”.

Iranian Parliament Speaker Mohammad Bagher Ghalibaf mocked reports the two sides were close to a deal, writing on social media in English: “Operation Trust Me Bro has failed.”

Al Jazeera's Resul Serdar Atas in Tehran said Iran is still reviewing the US proposal and is expected to give its response to Pakistani mediators by the end of May 8.

According to Atas, “The Iranians say that at this stage, they are not negotiating their nuclear program; only about ending the war on all fronts.” Tehran wants direct guarantees from the UN Security Council, lifting of sanctions, and reopening of the Strait of Hormuz. If achieved, in a second phase, they are ready to discuss the nuclear program.

Al Jazeera's Almigdad Alruhaid in Tehran said Iran has set “a very red line” on the nuclear issue: “The enrichment program is non-negotiable.”

Former US Assistant Secretary of State Mark Kimmitt said Trump's demand that Iran cease all uranium enrichment is unrealistic and unlikely to be accepted by Tehran. “If there's one thing the Iranians will insist on in these talks, it's the right to enrich uranium to 3.67%, which is permitted under nuclear non-proliferation treaties,” he told Al Jazeera.

Iran is believed to have about 440 kg of uranium enriched to 60%. The 90% enrichment threshold is needed to produce nuclear weapons.

Commenting on the Strait of Hormuz, Alruhaid said “sovereignty over the Strait of Hormuz is becoming one of the main issues on the table. The Iranians are tightening their control. They are setting new procedures, new mechanisms to control that strategic chokepoint for every passing vessel.”