President Donald Trump announced on Sunday that his administration has reached a peace deal with Iran, more than three months after the U.S. and Israel launched a disastrous war that strained the world's energy supply and left the Iranian regime strengthened and emboldened.
Diplomatic Breakthrough
The agreement constitutes the most notable diplomatic development since the strikes on Iran began on February 28. American and Israeli forces decapitated the Iranian government by reportedly acting on information that many of the country's top leaders would be in the same place at the same time.
The Iranian regime, however, managed to sustain its grip on power, even after mass protests that were put down with ruthless violence earlier this year.
War Aims and Nuclear Concerns
After some initial confusion among Republicans about the ultimate goal of U.S. military action, Trump began repeating that Iran could not be permitted to develop a nuclear weapon and that the Strait of Hormuz needed to be reopened to commercial shipping, as it was before the war began. He also stated that Iran's nuclear "dust"—remnants of nuclear materials targeted in U.S. airstrikes last summer—must be destroyed. The issue of how to dispose of the country's highly enriched uranium has long been a point of contention.
Economic Impact of Strait Reopening
Fully reopening the Strait of Hormuz is expected to alleviate some pressure on global fuel markets, which have seen major spikes in oil and gas prices due to the waterway's closure. Before the Iran war, about 20% of the global oil and gas supply moved through the strait. Iran effectively shut it down by threatening to attack crossing ships, leaving some crews stranded on vessels awaiting resolution.
Casualty estimates from the war vary, with the Israel Defense Forces estimating some 6,000 Iranians killed. The U.S. officially counts 13 deaths on its side.
Political Reactions
News of a previous possible deal between the U.S. and Iran drew pushback in May from some Senate Republicans, who favored a harsher approach. Trump signaled he would not be rushed into an agreement and repeatedly pushed back on the idea that the upcoming midterms were putting political pressure on him due to rising prices linked to his decision to launch the war.
"I don't care about the midterms," Trump said bluntly at one point. When asked whether he shared Americans' concerns over the high cost of living, he was even more abrasive: "The only thing that matters when I'm talking about Iran—they can't have a nuclear weapon. I don't think about Americans' financial situation. I don't think about anybody. I think about one thing—we cannot let Iran have a nuclear weapon. That's all."
He doubled down on that sentiment last week, saying, "I love the inflation."
