Iran says it responded to latest U.S. peace proposal

Iran said Monday it has sent a response to the latest U.S. peace proposal, with diplomatic exchanges continuing through a Pakistani intermediary despite sharp disagreements over nuclear demands and frozen assets, according to The Korea Times.

The standoff carries global stakes: the Strait of Hormuz has been largely closed since the U.S.-Israeli conflict began Feb. 28, disrupting energy supplies worldwide and increasing pressure on both sides to reach a settlement.

Iranian Foreign Ministry spokesman Esmaeil Baqaei told a news briefing Monday that "our concerns were conveyed to the American side" and that exchanges were "continuing through the Pakistani mediator," according to The Korea Times.

The conflict — launched by the United States and Israel on Feb. 28, 2026 — has produced only one round of formal negotiations despite a fragile ceasefire. The United States imposed a naval blockade on Iranian ports beginning April 13.

Washington's five-point proposal includes a demand that Iran retain just one operational nuclear facility and transfer its highly enriched uranium stockpile to the United States. Iran has demanded release of frozen assets, an end to sanctions and war reparations — terms the United States reportedly refused, declining even to release 25 percent of the frozen funds or pay reparations.

Baqaei said Iran's position had not softened. "The points raised are Iranian demands that have been firmly defended by the Iranian negotiating team in every round of negotiations," he said. He added that Iran was "fully prepared for any eventuality."

Iran's state-affiliated Mehr news agency offered a blunter assessment: "the United States, offering no tangible concessions, wants to obtain concessions that it failed to obtain during the war, which will lead to an impasse in the negotiations."

Iran also announced the formation of the Persian Gulf Strait Authority, a new body tasked with managing the Strait of Hormuz, which has been largely closed since the conflict began. Tehran also called for an end to fighting on all fronts, including Israel's campaign in Lebanon.

Both sides appear far apart on core terms, with Iran insisting on reparations and broad sanctions relief that Washington has rejected, while the Strait of Hormuz remains a flashpoint. The Korea Times reported that Tehran signaled any final agreement would need to address all active war theaters.