The U.S. and Iran signed a 14-point memorandum of understanding on June 17
establishing a ceasefire and a 60-day window to negotiate a permanent end to
hostilities. The MoU, which declared a halt to hostile acts and sought to reopen
the Strait of Hormuz to commercial shipping, has shown cracks as fighting
resumed and its wording remains ambiguous; both sides accuse the other of
breaches. Key disputed provisions: Article 5 (Strait of Hormuz) — the text
guarantees commercial freedom of passage but is contested: Tehran says it
implies U.S. recognition of Iranian authority over the waterway and that Iran
agreed only to two months of fee-free transit; Washington says the provision
only requires Iran to ensure safe passage and to refrain from coercive
restrictions or taxation. Article 10 (oil and sanctions waivers) — the U.S.
agreed to grant waivers enabling Iran to export crude, petroleum products and
related services, including access to international banking, insurance and
shipping support. Article 11 (unfreezing assets) — the U.S. committed to make
frozen funds and restricted assets fully available, with implementation
mechanisms to be negotiated. With no direct diplomatic talks and limited
near-term prospects for a final settlement, the MoU’s status after the 60-day
deadline remains uncertain.
