US President Donald Trump and Iranian President Masoud Pezeshkian have signed an initial agreement designed to end the conflict between the two countries, ease certain sanctions on Tehran and pave the way for renewed negotiations over Iran’s nuclear programme.
The accord, which both governments confirmed on Wednesday, takes immediate effect and launches a 60-day diplomatic process aimed at reaching a comprehensive settlement. Under the arrangement, Iran has agreed to dilute part of its highly enriched uranium stockpile, while the United States will begin waiving selected sanctions, allowing Tehran to resume oil exports.
Pakistani Prime Minister Shehbaz Sharif, whose government helped facilitate the talks, announced that the agreement became effective immediately after being signed by both leaders.
The deal had remained largely confidential in recent days. Although US officials previously disclosed that Trump and Vice President JD Vance had digitally endorsed the document, Trump formally signed a physical copy during a dinner with French President Emmanuel Macron at the Palace of Versailles following the Group of Seven summit.
In Tehran, Iranian state media reported that President Pezeshkian also signed the agreement and released images showing the document carrying the signatures of both leaders.
The accord seeks to restore conditions that existed before the outbreak of hostilities. Military operations are expected to cease, nuclear discussions will resume and the Strait of Hormuz will reopen to international shipping. Vessels will be permitted to pass through the strategic waterway without tolls for an initial two-month period, while the US naval blockade of Iranian ports is set to be lifted.
The agreement also includes provisions for future sanctions relief, the potential release of frozen Iranian assets and support for reconstruction efforts that could eventually reach $300 billion. However, officials stressed that many of these measures depend on progress during upcoming negotiations.
Despite describing the deal as “very strong,” Trump warned that military action could resume if talks collapse. The agreement is expected to face political opposition in Washington and may also intensify debate in Israel, where concerns remain over Iran’s regional influence and nuclear ambitions.
The reopening of the Strait of Hormuz is expected to ease pressure on global energy markets, which were disrupted during the conflict and contributed to higher oil prices worldwide.
