US and Iran Sign 14-Point Agreement to End 110-Day War

The United States and Iran have officially signed a 14-point memorandum of understanding (MoU), bringing an immediate halt to a 110-day military conflict that has devastated the global economy. US President Donald Trump signed the document at the Palace of Versailles following the G7 summit in France, while Iranian President Masoud Pezeshkian signed remotely. The agreement enacts a permanent ceasefire across all fronts, including in Lebanon, and initiates a 60-day window to negotiate a comprehensive final treaty.[1][2][6]

The immediate terms of the MoU offer significant economic relief to Tehran in exchange for nuclear concessions and the reopening of global shipping lanes. The US will lift its naval blockade on Iranian ports, issue immediate waivers for Iranian crude oil exports, and unfreeze billions of dollars in Iranian assets. In return, Iran has agreed to down-blend its 440-kilogram stockpile of highly enriched uranium, a critical step the US administration says will prevent Tehran from obtaining a nuclear weapon.[2][6]

A central pillar of the agreement is the reopening of the Strait of Hormuz, the transit point for roughly a fifth of the world's oil consumption. The MoU stipulates that Iran must ensure toll-free passage for commercial vessels for at least 60 days. President Trump defended the concessions by arguing that the alternative was a "worldwide depression," noting that the market "loves" the resolution.[2][7]

Global markets reacted swiftly to the de-escalation. Brent crude oil prices dropped by over 1.5 percent as the prospect of normalized shipping returned, while stock indices across Asia and US futures rallied on the news that the blockade was ending.[7]

However, the ink was barely dry before Iranian officials challenged the US framing of the deal. Iran's chief negotiator, Parliament Speaker Mohammad Bagher Ghalibaf, called the agreement a "record of US failure" and explicitly stated that the Strait of Hormuz will not return to its pre-war status. Ghalibaf announced on state television that once the 60-day fee-free period expires, Iran will assert its sovereignty and begin charging international shipping companies a toll for transit services.[3]

That assertion has fueled intense backlash in Washington, where several of Trump's Republican allies are openly revolting against the administration's diplomatic pivot. Senator Bill Cassidy of Louisiana condemned the MoU as the "worst foreign policy blunder in decades." Cassidy argued that the deal rewards Iranian aggression, allows Tehran to rebuild its infrastructure with unfrozen funds, and essentially surrenders control of the Strait of Hormuz to the Islamic Republic.[5]

Conservative critics point out that the deal lacks verifiable mechanisms to permanently dismantle Iran's nuclear weapons program or its ballistic missile capabilities. Former Vice President Mike Pence and other prominent Republicans have compared the MoU unfavorably to the 2015 Obama-era nuclear accord, which Trump himself previously scrapped and labeled the "worst deal in history."[5][6]

The fury in Washington is mirrored by outrage in Jerusalem. Israeli Prime Minister Benjamin Netanyahu, who had promised the Israeli public "total victory" over Iran, remained conspicuously silent as the deal was announced. Behind the scenes, senior Israeli officials have described the agreement as a "strategic and political disaster" that was negotiated without Israel's interests being taken into account.[4]

Israeli analysts and opposition leaders have been scathing in their assessments, accusing Netanyahu of a colossal strategic failure. Critics argue that Netanyahu led the Trump administration into a war while misjudging the US President's appetite for a protracted conflict. The MoU's requirement for an immediate cessation of hostilities in Lebanon also severely curtails Israel's military operations against Hezbollah, leaving Netanyahu politically isolated and vulnerable at home.[4]

The agreement also floats the creation of a $300 billion reconstruction fund for Iran, financed by regional partners in the Gulf, though the exact mechanics of this fund remain undefined. Access to Iran's frozen funds is reportedly contingent on the regime actively implementing the agreement's terms, rather than being released immediately upon signing.[2][7]

Both sides now enter a fragile 60-day negotiating period to hammer out a final, binding treaty that would require endorsement by the UN Security Council. US officials have warned that they will know within days if Iran is stalling, and that Washington is prepared to walk away and significantly tighten economic pressure if the talks collapse. For now, the bombs have stopped falling, but the geopolitical fallout is only just beginning.[2][6]