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US, Iran Receive 2-Step Peace Proposal; Tehran Says It Won’t Reopen Hormuz For ‘Temporary Ceasefire’

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Key points generated by AI, verified by newsroom

The United States and Iran have received a two-step peace proposal aimed at ending ongoing hostilities. The proposal comes a day after US President Donald Trump warned that “hell” would rain down on Iran if it failed to agree to a deal.

However, Tehran has signalled it would not reopen the Strait of Hormuz under a temporary ceasefire arrangement, news agency Reuters reported.

The framework proposes a two-tier approach, including an immediate ceasefire followed by negotiations towards a comprehensive agreement, Reuters reported, citing sources familiar with the discussions. 

Pakistan’s Army Chief Asim Munir was in contact “all night long” with US Vice President JD Vance, special envoy Steve Witkoff and Iranian Foreign Minister Abbas Araqchi, the report said.

Iran Rejects Hormuz Condition

Despite ongoing discussions, Iran has ruled out reopening the Strait of Hormuz as part of any temporary ceasefire.

A senior Iranian official told Reuters that Tehran would not accept deadlines while reviewing the proposal, signalling reluctance to agree to short-term arrangements without broader guarantees.

US-Iran’s 45-Day Ceasefire Proposal

Earlier, Axios reported that the US, Iran and regional mediators were considering a 45-day ceasefire as part of a broader two-phase deal that could eventually lead to a permanent end to the conflict.

However, uncertainty remains over key conditions, particularly around maritime access and security guarantees.

Trump Issues Fresh Warning As Conflict Intensifies

In a strongly worded post on Truth Social, Trump threatened further strikes on Iran’s energy and transport infrastructure if Tehran failed to reach a deal and reopen the Strait by Tuesday.

Fresh aerial strikes were reported across the region on Monday, more than five weeks after the US and Israel launched military operations against Iran.

The conflict has resulted in thousands of deaths and significant economic disruption, including a spike in global oil prices.

In response, Iran has effectively shut the Strait of Hormuz, a key route for nearly a fifth of the world’s oil and gas supply, and launched attacks targeting Israel, US military bases, and energy infrastructure in the Gulf region.

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