Iran sticks to diplomacy after Trump rejects Hormuz peace proposal

Iran insisted on Sunday that only diplomacy can resolve its conflict with the United States and Israel, after President Donald Trump said he rejected Tehran’s proposal to reopen the Strait of Hormuz and end fighting, Reuters reports.

“Our conditions are clear, and any move toward reopening the Strait of Hormuz is contingent on these conditions being met… Only a negotiated solution can get them out of this deadlock,” Iranian Foreign Minister Abbas Araqchi posted on social media, adding that mediators had not officially conveyed a US rejection.

Trump had earlier told reporters the Iranians were pushing for a deal “because they’re losing so badly,” though he told Axios he still expected further talks this week.

US UN envoy Mike Waltz further explained that Trump rejected the plan because it demanded immediate sanctions relief and asset release upfront, saying “the president’s just not confident that the Iranians are coming in good faith.”

The standoff comes as Saudi Arabia is increasingly drawn into the seven-month war, with Houthi fighters advancing in Yemen and Riyadh schools shifting to remote learning this week amid escalation fears.

Yemen’s Houthi-run health ministry reported seven killed in a market strike in Taiz province, while Iranian President Masoud Pezeshkian told CBS that Tehran remained open to nuclear talks but “will defend itself against pressure, threats and attacks,” leaving the fate of the Hormuz proposal — and the broader war — hanging on whether Washington chooses engagement or further pressure.