Just hours after the United States and Iran announced a temporary 14-day ceasefire that halted weeks of open regional conflict, new missile and drone strikes targeted US-allied Gulf nations on Wednesday, underscoring just how precarious the hard-won truce remains. US Vice President JD Vance emphasized the fragility of the agreement during remarks in Budapest, warning that the success of upcoming negotiations hinges entirely on Iran’s willingness to negotiate in good faith.
The ceasefire, brokered at the eleventh hour after US President Donald Trump issued an ultimatum threatening the annihilation of Iran if it did not reopen the strategic Strait of Hormuz, went into effect this week. The waterway, which carries roughly one-fifth of the world’s daily oil trade, was closed by Iran in retaliation for a joint US-Israeli airstrike in late February that killed Iran’s supreme leader Ayatollah Ali Khamenei, the attack that ignited the full-scale regional war.
By Wednesday morning, two commercial vessels — a Greek-owned bulk carrier and a Liberia-flagged ship — had successfully transited the strait, marking the first confirmed commercial passage since the closure, according to maritime tracking service Marine Traffic. Trump has credited Pakistani and Chinese mediation for pushing Tehran to agree to the temporary truce, and both the US and Iran have publicly claimed victory in the lead-up to formal peace talks scheduled to begin this Friday in Islamabad.
Despite the celebratory rhetoric from both sides, deep divides remain on all core issues that separate the two nations. Iran’s publicly released 10-point negotiating framework includes maximalist demands that directly contradict long-standing US positions: the permanent lifting of all US economic sanctions, international recognition of Iran’s full control over the Strait of Hormuz, a complete withdrawal of US military forces from the Middle East, and international acceptance of Iran’s sovereign right to uranium enrichment. The US has said Iran’s uranium enrichment program must be restricted as part of any permanent deal, with Trump claiming Iran is close to developing a nuclear weapon — a claim that has not been verified by the United Nations nuclear watchdog or most independent global observers.
Even as the ceasefire was announced, fresh violence erupted across the region. Iranian state media confirmed it launched new missile and drone attacks against Kuwait and the United Arab Emirates, retaliating for earlier airstrikes on Iranian oil infrastructure. Kuwait reported significant damage to its oil facilities, power plants, and desalination plants after hours of sustained strikes, and issued an immediate demand for Iran to halt all offensive operations. The UAE confirmed it was intercepting incoming attacks, while Bahrain reported strikes targeting its capital Manama. For weeks, Iran has launched regular attacks on these Gulf states, citing their hosting of US military forces, and has upended the region’s long-held reputation for stability and security.
Fighting also continued unabated in Lebanon, where Israel launched what it described as its largest coordinated strikes across the country on Wednesday. The Lebanese armed group Hezbollah, backed by Iran, had announced it had ceased all offensive operations ahead of the ceasefire, but Israeli Prime Minister Benjamin Netanyahu clarified that the US-brokered truce does not apply to Israel’s campaign in Lebanon. Local Lebanese authorities report that more than 1,500 people have been killed in the Israeli operation to date, and state media reported strikes targeting central Beirut and its suburban areas Wednesday. The White House has said Israel agreed to the ceasefire terms, but Netanyahu’s comments have cast further uncertainty over the broader regional truce.
Global financial markets reacted sharply to the news of the temporary ceasefire: international oil prices plummeted more than 17 percent, European natural gas prices fell 20 percent, and Asian stock markets posted strong early gains Wednesday, as investors breathed a sigh of relief over the easing of global energy supply risks. Iran’s closure of the Strait of Hormuz had sent energy prices soaring in recent weeks, sparking fears of a full-blown global energy crisis.
In comments to AFP, Trump described the ceasefire as a “total and complete victory” for the United States, and said US negotiators are “very far along” in reaching a permanent agreement with Iran, calling Tehran’s 10-point proposal “workable.” But Vance warned Wednesday that if Iran does not negotiate sincerely, Trump will not hesitate to resume hostilities. “If not, they’re going to find out that the President of the United States is not one to mess around. He’s impatient to make progress,” Vance said.
Iranian officials have struck a far more cautious tone, stressing that the ceasefire does not mark the end of the conflict, and that the war will continue unless Tehran’s core demands are met in formal negotiations. The Islamic Revolutionary Guard Corps, Iran’s most powerful military force, said Wednesday it has “no trust” in US promises, and warned that its “finger is on the trigger” to resume hostilities at any moment. In Tehran, residents remained on edge Wednesday, with most shops closed and streets far quieter than usual after weeks of anxiety over potential large-scale US attacks.
The international community has widely welcomed the ceasefire, with global leaders including Pope Leo calling for a full end to the conflict that has already killed thousands of people and roiled global markets. Egyptian leaders praised efforts to “give diplomacy a chance”, while Omani officials called for negotiations that would resolve the crisis “at its roots”. British Prime Minister Keir Starmer, who is preparing for an upcoming visit to the Gulf, pledged Wednesday that the UK will do everything in its power to help turn the temporary truce into a lasting, permanent peace agreement that guarantees the permanent reopening of the Strait of Hormuz.