TEHRAN / WASHINGTON — Tensions between the United States and Iran hit a critical boiling point on Wednesday following the expiration of a 60-day memorandum of understanding signed in June to negotiate a peace deal.

US President Donald Trump signaled a hardline stance, declaring that no active negotiations are taking place or scheduled with Tehran. Simultaneously, Trump ignited widespread diplomatic friction by asserting that Washington maintains "total control" over the Strait of Hormuz—a crucial bottleneck for global energy transportation—and sharing an AI-generated image depicting the strategic shipping lane as a "NEW U.S. Territory".

Addressing journalists, President Trump insisted the naval blockade of Iranian ports remains in full effect while alleging that all water mines in the strait have been cleared. "There are no talks or conversations going on, or scheduled, with the Islamic Republic of Iran," Trump posted on Truth Social. He added that declaring the vital waterway an American territory was a "great idea," pointing to the continued military pressure exerted on Iran’s economy.

Iran’s leadership swiftly condemned the statements, dismissing Washington's claims as unfounded assertions. Iranian Parliament Speaker and lead negotiator Mohammad Bagher Ghalibaf declared during an open session that Tehran would not permit the full reopening of the Strait of Hormuz until the US honors its commitments under the June agreement.

"Until America's commitments—including lifting the blockade, releasing frozen assets, lifting oil sanctions, and ending military operations on all fronts—are implemented, the Strait will not be opened," Ghalibaf stated. He further warned that Iran’s armed forces and diplomatic channels would work in tandem to respond directly to what he characterized as a US "breach of covenant".

Adding to Tehran's pushback, Iranian Deputy Foreign Minister Kazem Gharibabadi posted on social media that the US leader’s territorial claims over the Persian Gulf waterway would be "corrected" by circumstances or by Iran itself.

The diplomatic breakdown coincides with sharp military and economic ripples across West Asia. On Tuesday, the United Arab Emirates announced a complete suspension of all trade, commercial exchanges, and financial dealings with Iran, citing regional escalations. The move followed an accusation by UAE defense officials that two ballistic missiles originating from Iranian territory were fired toward the country—a claim Iran's Foreign Ministry spokesperson Esmaeil Baghaei explicitly rejected as "baseless".

Meanwhile, maritime security agencies reported an attack on a commercial ship navigating near the Strait of Hormuz, resulting in engine room damage and crew casualties, underscoring the ongoing danger to global commercial shipping.

With global oil benchmarks fluctuating amid uncertainty over the shipping route, both nations remain locked in an impasse, with no clear path toward resuming diplomatic dialogue.