US-Iran Gulf War Ceasefire: Key Details, Strait of Hormuz and What’s Next

United States President Donald Trump announced on Monday that a preliminary ceasefire agreement between Washington and Tehran has been signed, though full details have yet to be disclosed and both nations acknowledge that a permanent peace deal remains under negotiation.

The agreement is set to extend a fragile ceasefire — first declared in April — by an additional 60 days, and would reopen the Strait of Hormuz, which Iran has effectively sealed since the United States and Israel launched military strikes on Iran in February.

Critical matters such as the future of Iran’s nuclear program are expected to be addressed in the next phase of negotiations.

Trump declared upon arriving in France for the G7 summit. He added that Vice President JD Vance would attend an official signing ceremony in Geneva on Friday. Oil prices dropped to their lowest point since March 10 — shortly after Iran blocked the strategic waterway — following the announcement.

The pact represents the most decisive move yet toward resolving a conflict that has claimed at least 7,000 lives, predominantly in Iran and Lebanon, while severely disrupting global energy markets. Nonetheless, many of the agreement’s specifics remain unclear, and how it differs from the April ceasefire has not been confirmed.

Iranian President Masoud Pezeshkian acknowledged the development on social media, calling the US-Iran memorandum of understanding an

toward halting the fighting, while cautioning that a definitive truce agreement

Vance told CNN the signed memorandum was only about 1-1/2 pages and described it as

He confirmed it included

for Iran. US and Iranian officials indicated the accord could eventually yield major economic gains for Tehran, including sanctions removal, unfreezing of foreign assets, and access to a $300 billion reconstruction fund backed by Gulf states.

However, US officials speaking anonymously stressed that Iran would need to commit to never developing a nuclear weapon and sever ties with militant groups such as Hezbollah to unlock those benefits. Trump has long criticized the 2015 nuclear deal — which he exited during his first term — deriding it as sending

to Iran. Analysts note that Trump appears to have achieved little of his stated objectives from when he co-launched the February strikes: Iran’s government remains standing, its ballistic missile program is intact, and its support for regional militias continues. The fate of Iran’s enriched uranium stockpile also remains unresolved.

While the accord lifts Iran’s blockade of the Strait of Hormuz, shipping experts say maritime traffic will only resume once safety can be guaranteed. Iran has indicated it will maintain joint oversight of the strait with Oman.

On the Lebanon front, Israeli Prime Minister Benjamin Netanyahu maintained that Israeli forces would remain in southern Lebanon and reserved Israel’s right to strike Hezbollah.

he said at a press conference. Netanyahu acknowledged tensions with Trump over the conflict, though Israel has not been part of the direct peace talks. A US official confirmed that Israeli withdrawal from Lebanon was not a condition of the deal.

Iranian Foreign Minister Abbas Araqchi demanded that Israeli attacks stop immediately. Privately, Israeli officials expressed deep concern, with one senior official telling Reuters on condition of anonymity that the agreement was

a view reportedly shared across the government from Netanyahu downward. Security sources noted that fighting in Lebanon had eased following the announcement but had not stopped entirely.

Read More:US and Iran Reach Peace Deal, Official Signing Ceremony Scheduled for June 19: PM Shehbaz