Iran threatens military escalation in Strait of Hormuz over U.S. deal deadlock

Iran has threatened to escalate military tensions in the Strait of Hormuz and the wider region if the United States fails to fully implement an interim peace deal within a few weeks. A senior Iranian official stated that Tehran is shifting its policy from defense to an “offensive” stance due to a loss of confidence in diplomacy with Washington.

If the U.S. does not meet the deadline to implement the provisions of a June memorandum of understanding (MoU), Iran warned it would conduct a “timely and precise” military attack to break the U.S. naval blockade. The deadlock stems from disputes over the MoU, which aimed to end military operations and address issues such as Iran’s nuclear program, but unraveled due to disagreements regarding the management of the Strait of Hormuz.

While mediators are expected to share these deadlines with Washington and regional states, the U.S. Treasury Secretary has warned of unprecedented economic isolation for Iran. Tensions have already risen following the resumption of hostilities and disputes over vessel routes through the strategic waterway.