U.S.-IRAN '60-Day Talks' Effectively Collapse, Shifting to an 'Economic War of Attrition'

[Financial News] The 60-day negotiation period set by the United States and IRAN under the previous Memorandum of Understanding (MOU) has expired without any clear results. As talks between the two sides have stalled, observers say the dispute has now entered a full-scale phase of economic attrition.
The United States and IRAN launched 60 days of talks on June 18, beginning with a White House briefing by U.S. Vice President JD Vance. The MOU was designed to address major issues, including IRAN's denuclearization, on the condition that the Strait of Hormuz be opened and U.S. maritime blockades be lifted.
However, even after delegation-level meetings in Switzerland and elsewhere, the two sides failed to narrow their differences. The United States pressed for the immediate opening of the strait, while IRAN held its ground to secure a better position. Tensions continued, including renewed military exchanges. The Trump administration also sought a breakthrough by attempting direct contact with the Islamic Revolutionary Guard Corps (IRGC), which holds real power in IRAN, but those efforts did not bear fruit. A large-scale military option was also reportedly put on hold over concerns about escalation and the burden of depleting U.S. weapons stockpiles.
Foreign media outlets say the deadline's expiration marks a complete shift in bilateral relations toward an economic war of attrition. The Trump administration plans to resume intense economic pressure on IRAN in hopes of forcing a more conciliatory stance, but many remain skeptical that IRAN, which has endured years of sanctions, will give in easily.
Time is especially limited for Trump. With the midterm election approaching in November, he is under pressure to find a quick exit strategy. Oil prices, which had recently stabilized, are rising again. According to the American Automobile Association (AAA), the national average price of gasoline in the United States has climbed back above $4, reaching $4.06 per gallon.
[email protected] Jemin Kyung Reporter