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US and Iranian officials are continuing indirect negotiations over Tehran’s nuclear programme and regional security after a ceasefire halted weeks of military exchanges between the two countries earlier this year.
The White House has increased pressure on Tehran by imposing fresh sanctions on Iranian financial networks and oil shipments, while President Trump warned that military action remained possible if talks failed.
The US Treasury announced measures targeting Amin Exchange, an Iranian currency network, and 19 vessels accused of helping Iran bypass existing sanctions.
Treasury Secretary Scott Bessent said the administration intended to dismantle Iran’s “shadow banking system and shadow fleet”.
Speaking at the White House, Trump said the United States was prepared to resume military operations against Iran “within days” if negotiations broke down. “We may have to hit them again,” he said, adding that he had postponed a planned strike less than an hour before authorisation in order to continue diplomacy.
Vice-President JD Vance said that “a lot of progress” had been made in negotiations through intermediaries in Oman and Pakistan, but added that Washington’s objective remained preventing Iran from obtaining a nuclear weapon. “Both sides want peace,” he said during a briefing, “but we need a framework that ensures Iran cannot rebuild nuclear weapons capability.”
Iranian officials responded by accusing Washington of combining negotiations with economic coercion. Esmaeil Baghaei, spokesman for Iran’s foreign ministry, said Tehran had submitted what he described as a “responsible and balanced” proposal while the United States continued to make “one-sided and unreasonable demands”.
Baghaei said Iran’s conditions included the lifting of sanctions, compensation for wartime damage, and guarantees against future attacks. “The other side must abandon excessive demands regarding Iran,” he told reporters in Tehran.
The latest developments follow reports that Trump extended the current ceasefire after pressure from Gulf allies concerned about further instability in the region. According to PBS and Reuters, discussions over a permanent settlement have stalled over sanctions relief, uranium enrichment, and control of maritime routes through the Strait of Hormuz.
The Strait of Hormuz remains partially disrupted despite the ceasefire. Iran has maintained restrictions and inspections on some commercial vessels travelling through the route, which carries roughly one fifth of global oil exports. Brent crude prices traded above $110 a barrel this week amid continued uncertainty over Gulf shipping.
The Pentagon has continued deploying naval assets and missile defence systems across the Gulf. Admiral Brad Cooper, head of US Central Command, told lawmakers during a congressional hearing on Monday that American operations had “significantly degraded” Iranian military capabilities, although he declined to comment on possible future strikes.
Iran has simultaneously increased military activity near Gulf waters. The Islamic Revolutionary Guard Corps warned on Wednesday that any renewed American attack would trigger retaliation beyond the Middle East. Iranian state media also reported expanded military exercises and public mobilisation campaigns across southern Iran.
Iranian President Masoud Pezeshkian said this week that Tehran remained willing to negotiate but would not accept what he described as surrender terms. “Iran will not give up its legitimate rights,” he said during a televised address carried by state media.
International Atomic Energy Agency inspectors remain active inside Iran under existing monitoring arrangements. Rafael Grossi, the agency’s director-general, said inspectors continued to operate in the country but warned that verification mechanisms remained incomplete.
Britain, France, and Germany have urged both governments to continue negotiations. Sir Keir Starmer said Britain supported diplomatic efforts to avoid renewed fighting and confirmed that British military deployments in the Gulf remained defensive.
No timetable has been announced for direct talks between Washington and Tehran. Negotiations are continuing through intermediaries while military forces on both sides remain on heightened alert.
