President Donald Trump is prepared to offer Iran relief from U.S. sanctions and allow access to frozen Iranian funds in exchange for concrete steps to curb Tehran's nuclear program, according to U.S. officials familiar with the renewed diplomatic effort.
The signal from Washington comes as Qatar and Pakistan intensify mediation efforts aimed at bringing the United States and Iran back toward an agreement after weeks of stalled negotiations. The mediators are holding talks with Iranian Foreign Minister Abbas Araghchi in New York and are expected to engage with senior U.S. officials as early as Monday or Tuesday.
Nuclear Program at the Center of U.S. Demands
The emerging U.S. position marks a clear distinction between the priorities of Washington and Tehran.
Iran has sought to make the reopening of the Strait of Hormuz and the lifting of the U.S. naval blockade central elements of any agreement. Under Tehran's latest proposal, sanctions would be eased, frozen Iranian assets released and the blockade lifted before the Strait is reopened and nuclear negotiations resume.
The Trump administration, however, insists that any agreement must address Iran's nuclear program. U.S. officials have indicated that sanctions relief and access to frozen assets could form part of a final agreement, but only in return for verifiable nuclear commitments.
A senior U.S. official described the current discussions as "positive and constructive," while stressing that significant differences remain.
"There will not be a deal unless the nuclear issues are addressed," the official said, according to reports on the negotiations.
Major Disagreement Over Who Moves First
One of the principal obstacles remains sequencing.
The United States wants assurances and concrete Iranian action on the nuclear issue, while Tehran has demanded that Washington first ease economic and military pressure. The two sides therefore remain divided over which measures should be implemented first and what guarantees should accompany them.
The latest Iranian proposal reportedly envisages a seven-day process: an initial cessation of hostilities and the lifting of the U.S. blockade and sanctions measures, followed by the reopening of the Strait of Hormuz and renewed negotiations over Iran's nuclear program.
Trump rejected the Iranian proposal over concerns that Tehran was seeking to receive major concessions before making its own commitments. U.S. officials have nevertheless indicated that the president remains open to renewed negotiations.
Hormuz Remains the Critical Bargaining Chip
The Strait of Hormuz has become the central economic and strategic issue in the negotiations. The waterway is a crucial route for global energy shipments, and its disruption has contributed to volatility in oil markets.
Earlier negotiations explored a phased arrangement under which Iran would reopen the Strait while the United States would gradually ease economic pressure. Reuters reported that neither side wanted to surrender its leverage first, leaving the talks vulnerable to a prolonged deadlock.
The latest diplomatic effort is therefore attempting to construct a sequence in which both Washington and Tehran receive tangible benefits while retaining sufficient guarantees that the other side will honor its commitments.
Washington Remains Skeptical
Despite the renewed diplomatic activity, U.S. officials remain skeptical of Tehran's willingness to follow through on its commitments.
The administration argues that Iran must demonstrate that its proposals are more than an attempt to obtain immediate economic relief while postponing the nuclear issue.
At the same time, the continuation of the blockade and sanctions is placing increasing economic pressure on Tehran, while disruption around Hormuz is creating wider consequences for global energy markets.
A Narrow Diplomatic Window
The latest contacts do not yet amount to an agreement. Major disputes remain over Iran's nuclear program, sanctions, frozen assets, the U.S. blockade and the timetable for reopening Hormuz.
Nevertheless, the willingness signaled by Washington to consider sanctions relief and access to frozen Iranian funds in return for concrete nuclear measures suggests that the two sides are exploring a possible trade-off rather than abandoning diplomacy altogether.
For now, Qatar and Pakistan are attempting to bridge the gap. Whether they can overcome the fundamental dispute over who moves first — and what Iran must do on its nuclear program before receiving economic relief — remains the key question.
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