Trump Reinstitutes Iran Blockade After Peace Deal Collapses

President Donald Trump declared a 14-point memorandum of understanding (MOU) with Iran a "dead letter" on July 18, following the collapse of a 60-day interim ceasefire signed on June 17. The agreement failed after Iranian forces resumed firing on commercial vessels near Oman on July 7, targeting ships attempting to bypass Iranian-controlled routes to avoid paying requested service fees in the Strait of Hormuz.

In response, the U.S. reinstituted sanctions on Iranian oil and launched a naval blockade of southern Iranian ports. United States Central Command disabled the supertanker Belma and redirected shipping to restore freedom of navigation. The U.S. military also conducted nightly bombings of Iranian targets, including military assets and civilian infrastructure such as the Aq Tekeh railway bridge.

Iran retaliated with drone and missile strikes against U.S. military installations and regional allies, damaging power grids and desalination plants in Kuwait, Bahrain, and the United Arab Emirates. The conflict has effectively shut down the Strait of Hormuz, halting 20% of global energy flows and pushing oil prices toward $90 per barrel.

The United Nations Secretary-General called for renewed diplomatic efforts, stating there is no military solution to the conflict. Meanwhile, Iranian officials accused the Trump administration of acting in bad faith, alleging the U.S. violated the MOU in less than 20 days and previously destroyed the 2015 Joint Comprehensive Plan of Action.