U.S. and Iran in Back-Channel Talks on Reopening the Strait of Hormuz and a 30-Day Pause

[Financial News, New York = Reporter Lee Byung-chul]The United States and Iran are reportedly negotiating a temporary ceasefire plan centered on reopening the Strait of Hormuz and suspending hostilities for 30 days. However, final agreement is expected to be difficult, as Iran's nuclear enrichment program and the issue of its stockpile of highly enriched uranium have emerged as the biggest obstacles.
On the 8th, The New York Times (NYT), citing senior Iranian officials, said the two sides are discussing a one-page proposal that includes reopening the Strait of Hormuz and halting hostilities for 30 days. The proposal is largely intended as a temporary measure to buy time for a broader peace agreement.
According to the Iranian side, the agreement rests on three key points: lifting the U.S. blockade on Iranian ships and ports, resuming commercial traffic through the Strait of Hormuz, and ending hostilities between the two sides.
The talks are seen as the first step toward formalizing the fragile ceasefire that has held for the past month. Both the United States and Iran claim control over the Strait of Hormuz, but commercial shipping there has in effect been nearly paralyzed.
The main sticking point is how to handle Iran's nuclear program. Iranian officials said the biggest obstacles to an initial deal are the uranium enrichment program and the issue of its stockpile of highly enriched uranium.
The United States is seeking a basic agreement under which Iran would hand over all of its highly enriched uranium and suspend its enrichment program for 20 years. In effect, the plan would lock down Iran's nuclear development capability for the long term.
Iran, by contrast, has proposed a compromise in which some of the uranium would be diluted and the rest transferred to a third country. Russia is being mentioned as a possible destination. Tehran also wants the suspension period for the enrichment program shortened to 10 to 15 years.
Markets and industry are closely watching the progress of the talks. The Strait of Hormuz is a vital shipping lane through which about 20% of the world's crude oil passes, and a prolonged conflict there is directly fueling global supply chain instability and a surge in international oil prices.
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pride@fnnews.com Reporter Lee Byung-chul Reporter