Trump says US ‘low-keying’ Iran conflict, giving economic pressure time to work

US President Donald Trump asserted on Sunday that the United States is “only semi-negotiating” with Iran and is “low-keying” its approach, as Tehran struggles under severe economic pressure. During a phone call with Axios, Trump described the current state of relations as a form of observation rather than active engagement, emphasizing that Washington is allowing Iran to face the consequences of its financial woes. “We are only semi-negotiating with them. We are just watching Iran with its huge inflation and the fact they have no money,” he stated. Trump also highlighted the impact of the US naval blockade on Iranian ports along the Strait of Hormuz, noting that this has left Iran “in very bad shape.” According to Axios, Trump did not express frustration with Iran over its reluctance to finalize an agreement with Oman that would allow the waterway to reopen. Instead, he likened the situation to a “chess game,” suggesting that outcomes will eventually resolve themselves. The remarks came amid ongoing tensions over the Strait of Hormuz, a critical artery for global oil trade. Iran, which has effectively blockaded the strait since the US and Israel launched the war on February 28, has imposed new conditions for lifting the blockade. These conditions include compensation for alleged violations of the Islamabad memorandum of understanding, a June agreement between the US and Iran outlining terms for peace talks. Despite these hurdles, Iran and Oman appear to be nearing an agreement on a temporary shipping route through the strait. Iranian Foreign Minister Abbas Araghchi stated that the deal is in its “final stages,” though he reiterated that the strait will only reopen once the US meets additional requirements. These conditions include US compensation for past attacks and the lifting of sanctions, among other demands. Meanwhile, US officials have expressed cautious optimism about the progress. A source cited by the Times of Israel noted that Trump had been persuaded since last week to de-escalate the war, with some officials suggesting that halting hostilities forces Iran to confront its domestic economic crisis. This shift aligns with broader concerns within the administration about the sustainability of prolonged military action. General Dan Caine, chairman of the Joint Chiefs of Staff, has privately urged the administration to consider an “off-ramp” from the war, arguing that current military options could backfire and that airstrikes alone may not achieve the desired outcome. Caine reportedly discussed the possibility of de-escalation with other high-ranking officials, including Vice President JD Vance and Secretary of State Marco Rubio, prior to meetings with Trump. Inside Iran, political divisions persist. President Masoud Pezeshkian, who advocates for a deal to prevent economic collapse, appears to have the backing of Supreme Leader Mojtaba Khamenei, although the latter has remained largely absent from public view since sustaining injuries in an earlier strike. Conversely, hardliners associated with the Revolutionary Guard Corps, led by Ahmad Vahidi, oppose concessions to the US. These internal factions reflect broader challenges in navigating the complex geopolitical landscape. While both sides claim support from Khamenei, the lack of public appearances from the supreme leader underscores uncertainty about the direction of Iran’s policy. Trump, meanwhile, continues to assert that a deal to reopen the strait is imminent, despite repeated shifts in his public statements. On Thursday, he claimed that a deal could be signed soon, and by Saturday, he had called off a planned military strike against Iranian energy sites, citing assurances from Middle Eastern mediators. His rhetoric often oscillates between confidence and ambiguity, with statements such as “We’re in great shape, but we always want more” reflecting both his belief in the US’s military capabilities and his acknowledgment of resource constraints. Reports suggest that the White House is seeking additional funding for the war, highlighting the financial strain on the administration. Iran’s chief negotiator, Mohammed Bagher Ghalibaf, has publicly criticized Trump’s fluctuating stance, accusing him of using “theater diplomacy” and failing to uphold commitments. Ghalibaf mocked Trump’s pattern of threatening large-scale attacks and then retracting them in favor of negotiations, calling it a “failed strategy.” Such criticisms underscore the deepening mistrust between the two nations, particularly as Iran continues to push for greater control over the strait and the broader Gulf region. As the situation evolves, the focus remains on whether the proposed temporary agreement between Iran and Oman will lead to a lasting resolution. The deal, which includes provisions for a 60-day window of unimpeded transit through the strait, represents a compromise that allows Iran limited influence over maritime traffic while maintaining US control over the broader conflict. However, the success of this arrangement depends heavily on the willingness of both parties to meet their respective conditions, a challenge that remains unresolved. With continued economic pressures on Iran and shifting dynamics within the US administration, the path forward remains uncertain, leaving the fate of the Strait of Hormuz, and the broader Iran-US standoff, in limbo.