Iran rejects new US peace talks as Strait of Hormuz remains closed

Tehran cites blockade and shifting demands as ceasefire deadline nears, while oil prices surge on uncertainty.

Iran said it would not participate in a second round of negotiations with the United States, hours after US President Donald Trump announced his envoys would travel to Pakistan on Monday for talks aimed at ending the conflict between the two countries⁵⁶⁷. The ceasefire, which began two weeks ago, is set to expire on Wednesday¹⁷.

Iran's state news agency IRNA reported that Tehran's absence from the talks stemmed from what it called Washington's excessive demands, unrealistic expectations, constant shifts in stance, and the ongoing US naval blockade of Iranian ports, which Iran considers a breach of the ceasefire⁹¹¹. "The overall atmosphere cannot be assessed as very positive," Iranian sources told state media¹⁸.

Trump said on social media that the US was offering "a very fair and reasonable DEAL" and threatened to "knock out every single Power Plant, and every single Bridge, in Iran" if Tehran did not accept his terms⁵⁶⁷. He announced that his delegation, which would include Vice President JD Vance, envoy Steven Witkoff, and son-in-law Jared Kushner, would arrive in Islamabad on Monday evening⁹¹¹.

The White House did not immediately respond to a request for comment on Iran's rejection of the talks¹¹.

The diplomatic impasse coincided with continued restrictions on maritime traffic through the Strait of Hormuz, a waterway that typically carries about one-fifth of the world's oil³⁸. Iran's Islamic Revolutionary Guard Corps said on Saturday the strait would remain closed until the US ended its blockade of Iranian ports¹⁹²¹. "Until the US restores full freedom of navigation for vessels travelling from Iran to their destinations, passage will be prohibited," the IRGC said¹⁹.

On Sunday, Trump said US forces had seized an Iranian-flagged cargo ship, the Touska, after its crew refused orders to stop¹⁰. Trump said the US Navy "stopped them right in their tracks by blowing a hole in the engine room" and that Marines had taken custody of the vessel¹⁰. Iran's military said the ship had been travelling from China and warned that Iranian armed forces would "soon respond and retaliate against this armed piracy"¹⁵.

At least two commercial vessels reported coming under fire while attempting to transit the strait on Saturday⁴⁶⁷. Shipping data showed no movement through the waterway after midnight GMT on Sunday⁸.

Oil prices jumped more than 5 percent on Monday, with Brent crude futures rising to $95.46 a barrel¹⁶. Prices had fallen 9 percent on Friday after Iran initially announced it would reopen the strait¹⁶.

Iran's chief negotiator, Mohammad Bagher Qalibaf, said the two sides remained far apart on nuclear issues and control of the Strait of Hormuz⁸. He said in a television interview that the US naval blockade was "a clumsy and ignorant decision"²¹.

The conflict began on 28 February with US and Israeli air strikes against Iran¹³.