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[INTERNATIONAL] · United States, Iran, Oman · 19 sources

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Trump shifts Iran strategy toward economic pressure

President Donald Trump has signaled a strategic shift in U.S. policy toward Iran, opting to prioritize economic pressure over new large-scale military operations. Describing the situation as a “chess game,” Trump stated that the U.S. is “low-keying it” by maintaining semi-formal negotiations while monitoring Iran’s severe economic distress, characterized by high inflation and a lack of funds to pay military personnel.

The U.S. naval blockade has significantly exacerbated Iran’s economic crisis, contributing to a sharp decline in the value of the Iranian rial. Despite these tensions, Trump noted that with oil prices stabilizing around $75 per barrel, the economic impact of the conflict on American consumers has lessened.

Negotiations regarding the reopening of the Strait of Hormuz, involving Iran, Oman, and the U.S., remain ongoing but face hurdles. Iran has issued new demands for the reopening of the strait, including the permanent end of hostilities in the region, the lifting of the naval blockade, the removal of U.S. forces, and the release of frozen assets. While mediators have attempted to facilitate a deal, internal divisions within the Iranian government—between those fearing economic collapse and those rejecting concessions—continue to complicate the process.

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Abbas Araghchi · Donald Trump · Iran · Jim Banks · Oman · Strait of Hormuz · United States

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