US and Iran Sign Peace Deal to End 107-Day War

The United States and Iran finalized a preliminary peace agreement, known as the Islamabad Memorandum of Understanding, on June 18, 2026, to end a 107-day conflict. The war began on February 28 with US-Israeli strikes that killed Iranian Supreme Leader Ali Khamenei. The brokered deal mandates a permanent ceasefire across all fronts, including Lebanon, and the removal of a US naval blockade of Iranian ports. In exchange, Iran committed to not acquire nuclear weapons and to reopen the Strait of Hormuz to commercial traffic within 30 days.

President Donald Trump announced the deal's completion, though he later threatened to resume bombing if Tehran violates its commitments. The agreement initiates a 60-day technical negotiation window to resolve disputes over uranium enrichment, sanctions relief, and a proposed $300 billion reconstruction fund. While the US will release approximately $24 billion in frozen assets, the White House asserted these funds would be used to purchase American agricultural products rather than as direct cash transfers.

Global reactions were largely positive, with Pakistan, Qatar, and several European nations praising the de-escalation. France, the UK, Germany, and Italy pledged a multinational naval mission to clear mines from the Strait of Hormuz to ensure freedom of navigation. However, the deal remains fragile; Iran's leadership maintains a "zero trust" stance, and military tensions flared again in late June with US strikes on Iranian targets following ceasefire violations. A formal signing ceremony was scheduled for June 19 in Geneva, Switzerland, following high-level talks in Bürgenstock.