Key Takeaways
- President Trump characterised the US‑Iran agreement as a non‑binding memorandum of understanding and warned that any Iranian mis‑behaviour would prompt a return to military strikes.
- He denied reports of a $300 billion reconstruction fund for Iran and said the United States would not finance or invest in such a fund.
- G7 leaders welcomed the deal as a “historic opportunity” to prevent Iran from acquiring nuclear weapons and to address its regional and ballistic threats, while urging further negotiations.
- The tentative deal includes the immediate reopening of the Strait of Hormuz, the lifting of a two‑month US naval blockade on Iranian ports, and permission for Iran to resume oil sales, provided it complies with the terms.
- Israeli settlement‑related real‑estate events in London drew criticism for allegedly marketing property in occupied West Bank and East Jerusalem, despite UK government guidance against such activity.
- G7 statements also called for an immediate ceasefire in Lebanon, an end to violence in the West Bank, and accelerated humanitarian and reconstruction efforts in Gaza.
- NATO Secretary‑General Mark Rutte and Canadian Prime Minister Mark Carney praised the agreement, with Carney calling it a “game‑changer” that could free diplomatic bandwidth for other crises such as Ukraine.
- The formal signing is slated for a secure mountainside resort in Switzerland, after which a 60‑day negotiation window will address sanctions relief and the fate of Iran’s nuclear programme, with the US pledging to submit the deal to Congress for review.
President Donald Trump told reporters ahead of his meeting with Egyptian President Abdel Fatah el‑Sisi at the G7 summit that the emerging US‑Iran accord is merely a memorandum of understanding, not a final treaty. He stressed that if he dislikes the terms—or if Iran “does not behave”—the United States would revert to military action, vividly declaring it would “go right back to dropping bombs right smack in the middle of their heads.” Trump added that Iran has “misbehaved for 47 years,” justifying a hard line should the deal falter.
When questioned about media leaks describing a $300 billion reconstruction fund for Iran, Trump flatly rejected the notion, saying the United States would not contribute “10 cents” and would not establish or finance any such fund. He also dismissed the idea of asking Gulf states to invest, insisting any contribution would be voluntary and contingent on Iran’s behaviour.
The G7 leaders, meeting in France, issued a joint statement that hailed the US‑Iran arrangement as a “historic opportunity” and a “breakthrough.” They welcomed the deal’s aim to prevent Iran from acquiring nuclear weapons and to counter its regional and ballistic threats, pledging support for its implementation. The statement also noted that a UK‑France‑led initiative could help reopen the Strait of Hormuz, while cautioning that further talks are needed to address broader Iranian threats.
Details leaked to the press suggest the interim agreement calls for the immediate lifting of the US naval blockade on Iranian ports, the resumption of Iranian oil exports, and the reopening of the Strait of Hormuz to maritime traffic. In return, Iran would be expected to refrain from pursuing nuclear weapons. The leaked text also referenced an end to hostilities between Israel and Hezbollah in Lebanon, though it does not demand an Israeli troop withdrawal—a point Iran has repeatedly insisted upon.
Israeli settlement‑related activity surfaced elsewhere in the news: a real‑estate event in north London advertised land in Israeli settlements across the occupied West Bank and East Jerusalem. Pamphlets shown to the Guardian listed projects in Ma’ale Adumim, Givat Ze’ev, Kfar Eldad, Teneh Omarim, Ramat Eshkol and Givat Hamatos. Over 100 UK legislators and civil‑society groups had urged the event’s cancellation, arguing it violates international law and UK guidance on settlement‑linked economic activity. Labour MP Andy McDonald warned that advertising land in illegal settlements raises a “prima facie” legal concern requiring government action.
In Lebanon, the G7 statement called for an “immediate ceasefire” and backed Lebanese efforts to disarm Hezbollah, protect territorial integrity, and secure international guarantees. The call came amid reports of Israeli strikes on southern Lebanon that killed four people, despite the US‑Iran deal. Iran’s military warned Israel to halt aggression or face a harsh response, citing 84 alleged ceasefire violations since the agreement was announced. Iran’s foreign minister, Abbas Araghchi, insisted that any peace deal must include an Israeli withdrawal from Lebanese territory it occupied during the recent conflict.
The G7 also pledged to accelerate humanitarian and reconstruction work in Gaza and to address violence in the West Bank, where settler attacks have become frequent. A recent incident saw settlers vandalise and set fire to a mosque in the West Bank village of Jaljilya, prompting international condemnation.
NATO Secretary‑General Mark Rutte described the prospective reopening of the Strait of Hormuz as a “massive step forward,” while Canadian Prime Minister Mark Carney told CNN the agreement is a “game‑changer” that could allow the West to refocus on other crises such as Ukraine. Carney said he had seen a copy of the tentative deal (through undisclosed sources) and believed it exceeded expectations, setting the groundwork to keep Iran nuclear‑free.
The formal signing is scheduled for a secure mountainside resort near Lucerne, Switzerland—a site chosen by Pakistani, Qatari, US and Iranian mediators for its accessibility and security. After the signing, a 60‑day negotiation window will begin to settle sanctions relief and determine the future of Iran’s nuclear programme. Trump said he would submit the agreement to the US Congress for review, expressing confidence that lawmakers would approve it.
Overall, the developments signal a tentative diplomatic thaw between Washington and Tehran, underscored by economic incentives (oil sales, fund‑free reconstruction offers) and security measures (Strait of Hormuz opening, blockade lift). Yet the deal remains fragile, hinging on Iranian compliance, continued multilateral support, and the resolution of outstanding issues such as Israeli forces in Lebanon and the broader regional security architecture.