US-Iran War: Memorandum of Understanding ‘In Crisis’! From the Strait of Hormuz to Lebanon – an explanation of the key disputes threatening the temporary ceasefire | Today’s news
A fragile truce between the United States and Iran appears to be rapidly unraveling, with both sides trading accusations of violating an interim cease-fire agreement in June that was supposed to halt hostilities and reopen the Strait of Hormuz to commercial shipping.
US President Donald Trump last week declared the original ceasefire agreement “terminated” and accused Tehran of not living up to commitments made under the deal. On Monday, Trump further escalated his rhetoric, saying the United States would likely take over the Strait of Hormuz and act as its “guardian.”
Meanwhile, Iran has accused Washington of pushing the deal “into crisis.”
“The memorandum of understanding has undoubtedly entered a crisis phase,” Foreign Ministry spokesman Esmail Baghaei was quoted as saying by the Fars news agency.
Tehran claimed that within 25 days of the deal to end the war, the US had violated almost all of its provisions by targeting Iran’s transport infrastructure, fishing vessels, cargo boats and meteorological equipment, in what it called serious violations amounting to war crimes.
Pakistan, which brokered the 14-point Islamabad Memorandum of Understanding (MoU), urged both sides to honor their commitments.
The dispute over the Strait of Hormuz is intensifying
One of the biggest flashpoints remains the interpretation of Article 5 of the memorandum of understanding, which stipulates that commercial shipping will immediately resume through the Strait of Hormuz and that Iran will provide safe passage without charging tolls for 60 days, according to Reuters.
Following the outbreak of the war, triggered by the US-Israeli attacks on Iran on February 28, Tehran effectively closed the strategic waterway through which nearly a fifth of the world’s oil and liquefied natural gas supplies pass.
Iran says the deal recognizes its authority to control navigation through the strait, provided it does not impose tolls during the agreed period.
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The United States and Gulf countries have rejected this interpretation, arguing that the deal only obligates Iran to facilitate safe navigation without using force to restrict maritime traffic.
Trump announced that the United States would charge a 20% fee on all cargo transported through the Strait of Hormuz to pay for its security.
“The Strait of Hormuz is OPEN and will stay OPEN, with or without Iran. We are re-establishing the IRANIAN BLOCKADE,” Trump wrote on Truth Social. “The United States … will be reimbursed at the rate of 20% of all cargo transported for all costs necessary to ensure the safety and security of this very volatile part of the world,” he added.
Over the past week, Iran has fired on vessels it says are trying to pass through the waterway via routes not approved by Tehran, and has subsequently declared the strait closed again.
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Tehran has also accused Washington of disrupting international commercial shipping by interfering with security measures in the Strait of Hormuz. It further argued that the use of the facilities and territory of the southern Persian Gulf countries for US military operations effectively dragged those states into what Iran described as an illegal war.
The US Navy’s Joint Maritime Information Center said on Sunday that the southern transit route through the Strait of Hormuz remains open and has been widened to facilitate two-way movement of vessels.
US revokes Iran oil exemption
Another major point of contention is Article 10 of the memorandum of understanding, under which Washington agreed to issue waivers allowing the export of Iranian oil along with associated banking, insurance and shipping services.
The provision was seen as a major economic concession for Iran after years of sanctions.
Read also | Hormuz tensions escalate: US launches new strikes on Iran over shipping threats
However, on July 7, the United States revoked the license allowing the sale of Iranian oil, warning that Tehran’s actions in the Strait of Hormuz were “totally unacceptable” and would have consequences.
Iran condemned the move as a violation of the deal.
The frozen assets remain disputed
Article 11 of the agreement also commits the United States to making available frozen financial assets to Iran for use, with procedures to be finalized during negotiations.
The assets include approximately $6 billion in Qatari accounts.
Qatar said on June 30 that the funds had not yet been transferred to Iran.
US Vice President JD Vance later said Washington and Doha would retain oversight of the assets after their release and suggested the funds could be used to buy US agricultural products, including corn, soybeans and wheat.
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Iranian officials rejected that position, insisting that Tehran itself would determine how any unfrozen assets would be used.
Tensions in Lebanon add another layer
Iran has also accused Israel of violating the ceasefire agreement through continued military operations in Lebanon.
The conflict widened after Iran-backed Hezbollah opened fire on Israel on March 2, prompting an Israeli military offensive and ground invasion of southern Lebanon.
Tehran claimed that Israeli military action in Lebanon should have ended under the terms of the deal.
Future negotiations uncertain
The memorandum envisages that the two sides will negotiate a comprehensive agreement within 60 days, subject to an extension by mutual agreement.
According to Reuters, Mohanad Hage Ali of the Carnegie Middle East Center think tank said the memorandum of understanding was “in crisis” and would require a follow-up agreement to restore its credibility if it was to serve as a basis for restoring calm.
“The vagueness reflected the difficulty of the issues and the fragility of the agreement,” he added.
But with fresh clashes over the Strait of Hormuz, renewed military action and growing disagreements over the implementation of key provisions, neither Washington nor Tehran has announced any timetable for resuming talks.
