Trump, Iran’s President sign deal to end West Asia war, pave way for nuclear talks

U.S. President Donald Trump and Iran’s President signed a memorandum of understanding on Wednesday (June 17, 2026) intended to end the West Asia war that began on February 28, 2026. The agreement, finalized during a dinner with French President Emmanuel Macron at the Palace of Versailles following a G7 summit, commits Tehran to dilute its enriched uranium stocks in exchange for large-scale economic relief. The deal marks the first step toward a broader negotiation on Iran’s nuclear program, with a two-month negotiating period now underway.

Under the terms released by U.S. officials, Washington will immediately waive oil sanctions that have crippled Iran’s economy. Once a final agreement on the Islamic republic’s nuclear program is reached, the United States will facilitate the release of a $300 billion reconstruction fund supported by regional nations. The first practical outcome is expected to be the reopening of the Strait of Hormuz, a critical waterway for global oil shipments that was effectively shut down during the conflict.

The deal drew a line under a conflict launched by the United States and Israel, which prompted Iran to retaliate with missile and drone attacks across the region. Thirteen U.S. service members were killed, and vast amounts of U.S. ammunition stockpiles were expended. The signing ceremony had initially been planned with Iran’s chief negotiator and parliament speaker, Mohammad Bagher Ghalibaf, and U.S. Vice President J.D. Vance, but Tehran cancelled the in-person event.

Reactions to the agreement were sharply divided. Iran hailed the deal as a “great victory,” with state television broadcasting Mr. Ghalibaf’s statement that “People will see it and judge.” Hezbollah leader Naim Qassem thanked Iran for insisting that the truce cover Lebanon, where the group had been drawn into the conflict. At the same time, some U.S. allies criticized the agreement. Senator Bill Cassidy (R-Louisiana) called it “the worst foreign policy blunder in decades,” arguing that Iran’s nuclear ambitions remain unchecked and that the Islamic republic has learned that “threatening the Strait of Hormuz works.”

China called on all sides to “genuinely implement” their commitments. President Trump warned that he was prepared to “bomb the hell” out of Iran if the agreement is violated. The deal is only a temporary arrangement, intended to allow time for detailed negotiations on long-term control over Iran’s nuclear program, which Washington has long suspected of harboring a secret bomb-making capability. Under the text, Iran will dilute its enriched uranium stocks under the supervision of the International Atomic Energy Agency (IAEA). Oil prices, which had fallen in anticipation of a peace deal, briefly surged five percent amid uncertainty over the signing but later stabilized.