Trump Toughens Iran Deal Terms, Sends Revised Framework Back to Tehran

President Trump responded to Iran's intransigence by toughening the terms of a potential Memorandum of Understanding and sending the revised framework back to Tehran, according to the New York Times and ZeroHedge. Three unnamed officials confirmed the move. The precise changes weren't disclosed, but the NYT reports Trump is specifically concerned about provisions that would unfreeze Iranian assets — the same move he criticized Barack Obama for during the 2015 JCPOA.

Trump did not accept Iran's initial proposal. He raised the stakes instead.

Iran Announces Control Over Strait of Hormuz

Tehran's response moved beyond diplomatic counteroffers into direct action.

Iran's Khatam al-Anbiya Central Headquarters announced, via Al Jazeera, that it exercises "full authority" over the Strait of Hormuz and that all commercial vessels must obtain permission from the Islamic Revolutionary Guard Corps Navy to transit. State-run Nour News reported that legislation formalizing Tehran's management of the waterway has been finalized and is headed for a parliamentary vote. Iranian lawmaker Alireza Salimi told Bloomberg the bill is "on track to become law," claiming "only Iran and Oman can decide on Strait of Hormuz management" and that Oman has given "preliminary approval."

Trump had explicitly demanded Iran reopen the Strait as a non-negotiable condition of any deal. Iran's announcement amounts to an attempt to make its closure permanent under law.

Missile Strike Injures Five Americans

An Iranian Fateh-110 short-range ballistic missile targeted Kuwait's Ali Al Salem Air Base, a key U.S. Air Force hub. Bloomberg confirmed the missile was intercepted, but falling debris struck the base, injuring five Americans. Two additional American drones were reported destroyed or damaged in the same attack, according to DropSite and Bloomberg.

The injuries occurred during an active ceasefire.

Two Core Disagreements Block Progress

Iran publicly identified two issues blocking the MOU: the unfreezing of assets and sanctions relief, and the nuclear file — specifically, what happens to Iran's enriched uranium stockpile.

Iran's Tasnim News Agency stated bluntly that if Trump proposes changes, Iran will make its own revisions. Nothing is finalized. Tehran says it is prepared for the possibility of no deal at all.

Treasury Secretary Scott Bessent weighed in on Fox News, identifying what he called Iran's "big mistake" — attacking its neighbors and losing regional allies in the process. Bessent also said the Iranians "are going to have to start taking down the wells," a reference to Iran's oil infrastructure and the economic leverage Washington holds.

Gas Prices Climb as Strait Remains Closed

The Strait of Hormuz carries roughly one-fifth of the world's oil supply and remains largely impassable since Iran closed it when the war broke out four months ago. According to AAA, gas prices in the U.S. averaged $4.34 per gallon as of Sunday. Inflation has surged to its highest level since May 2023.

Trump acknowledged the pressure directly in his Fox News interview with Lara Trump, saying he'd "like to say I'm in a hurry because gasoline prices are going to come tumbling down" — but added that rushing produces bad deals.

Market Assessment

No deal is imminent. Polymarket traders currently put the odds of a permanent US-Iran peace deal by June 30 at just 30%.

The Strait remains closed. Gas prices remain elevated. Americans were injured in Kuwait during the ceasefire. And Iran is moving to codify its control over the world's most critical oil shipping lane into domestic law.

Trump's strategy — tighten the terms, threaten military action, wait them out — may succeed, or Iran may calculate it can outlast him. In either scenario, regular Americans are paying $4.34 a gallon while negotiations continue.