US, Iran Agree to Week-Long Strait of Hormuz De-Escalation

The United States and Iran have agreed to a week-long de-escalation in the Strait of Hormuz as indirect negotiations continue in Qatar, according to a report by the New York Post citing a US official.

The temporary arrangement is intended to maintain calm in the strategic waterway while technical teams from both countries continue discussions through international mediators.

The agreement also comes ahead of the United States' Fourth of July celebrations and funeral ceremonies for Iran's previous Supreme Leader, Ali Khamenei.

Strait of Hormuz Remains a Key Point of Disagreement

Despite the temporary easing of tensions, Washington and Tehran remain divided over who should control shipping through the Strait of Hormuz.

The disagreement follows rising tensions after Iran struck a ship sailing near Oman last week. In response, the United States carried out attacks on Iranian missile and drone storage facilities located along the Strait of Hormuz.

Iran continues to argue that it has the authority to regulate maritime traffic through the strategic waterway. It has also demanded the right to collect transit fees from vessels after current interim arrangements expire.

The Trump administration has rejected Iran's position, stating that the Strait of Hormuz is an international waterway and that Iran does not have the authority to charge ships passing through it.

According to the New York Post, the dispute has become one of the biggest challenges in broader negotiations between the two countries. US officials are reportedly urging Tehran to withdraw its demand for transit fees in exchange for the economic benefits of a wider agreement.

Different Interpretations of the Memorandum

The New York Post reported that the US-Iran memorandum of understanding states that Iran will work with Oman to "define the future administration and maritime services in the Strait of Hormuz in discussions with other Persian Gulf Littoral States."

However, both countries interpret the wording differently.

Read More: Oman Proposes Voluntary Strait of Hormuz Transit Fee, US Raises Concerns

Senior US officials reportedly believe the language prevents Iran from imposing transit fees because Gulf countries would not support such a system.

Iran, on the other hand, views the provision as recognition of its sovereign authority over the waterway and believes it creates a framework for future discussions with regional countries.

Iranian Media Claims US Accepted Fee Framework

According to the New York Post, citing IRGC-affiliated Fars News, an unidentified source claimed that the memorandum was revised during the final stage of negotiations.

The source was quoted as saying: "In the final moments of the negotiations, the text of the memorandum of understanding was amended to clearly and explicitly emphasise the issue of the Iranian-Omani sovereignty over the Strait of Hormuz."

The same source also stated: "The use of the term 'maritime services' means that the United States has accepted that fees will be paid to Iran."

However, the report said American officials, including President Donald Trump, have rejected claims that Iran would be allowed to collect tolls or transit fees from ships using the Strait of Hormuz.

Qatar Reports Positive Progress in Talks

Separately, the Associated Press reported that US and Iranian negotiators met separately on Wednesday with mediators from Qatar and Pakistan.

Qatar's Foreign Ministry spokesman, Majed al-Ansari, said on X that the discussions had made "positive progress."

He added that the next round of negotiations would be scheduled "at the earliest possible time" after funeral ceremonies for Iran's previous Supreme Leader.

US Middle East envoy Steve Witkoff and Jared Kushner, President Donald Trump's son-in-law, participated in the talks in Qatar. Iran was represented by its chief negotiator, Kazem Gharibabadi.

Negotiators are currently working to complete technical discussions before political leaders consider a broader agreement. However, major differences remain over the Strait of Hormuz and Lebanon.

Container Ship Runs Aground in Strait of Hormuz

The Associated Press also reported that a foreign container ship ran aground in the Strait of Hormuz after using a route that Iran said had not been approved.

Iranian state television reported that the vessel became stranded after entering shallow waters. Authorities stressed that ships should follow navigation instructions issued by Iran's paramilitary Revolutionary Guard while passing through the strait.

According to AP, the Revolutionary Guard's navy warned that: "Any entry or exit through routes other than the 'Route of Authority' in the Persian Gulf could lead to irreparable incidents."

Lebanon and Regional Security Also Discussed

The Associated Press reported that negotiations in Qatar also included discussions on Lebanon and wider regional security issues.

Iranian negotiator Kazem Gharibabadi said there were no direct talks with the US delegation. Instead, discussions were held through mediators and focused on Lebanon as well as proposals to return some of Iran's frozen assets.

Iran has called for an end to the fighting involving Hezbollah and Israeli forces. Tehran has also demanded that Israel withdraw from the territory it occupies in southern Lebanon.

Israel maintains that it must keep control of the area and retain the ability to take action against Hezbollah.