US President Donald Trump on Wednesday announced a temporary suspension of his "Project Freedom" operation to reopen the Strait of Hormuz , amid reports that Tehran and Washington may be close to an agreement to end the war.
Trump said on his Truth Social platform that the decision came after a "mutual agreement" with Tehran, citing "great progress" in work towards an agreement. "Project Freedom will be paused for a short period of time to see whether or not the Agreement can be finalized and signed," Trump said, adding that the US blockade on Iranian shipping would remain in place.
The president said the decision came after a request from mediator Pakistan, which has been trying to get Iran and the US to go back to the negotiating table. Oil prices tumbled in response to the president's announcement, with Brent North Sea crude dipping 6.2% to $103.04 per barrel, and the main US contract West Texas Intermediate sliding 6.4 percent to $95.68 per barrel.
While energy markets have reacted positively to the president's announcements throughout the conflict, it appears that little has shifted in the deadlock on the ground between Iran and the United States in the Strait of Hormuz.
Trump's announcement was met with ridicule in Iran , with media outlets presenting the move as yet another climbdown from the president's fighting talk.
Hours after the announcement, Axios , citing two US officials and two other sources briefed on the matter, reported that the White House believes it is getting closer to securing a deal with Iran to end the war.
According to the report, the discussions centre around a one-page memo which Washington expects Tehran to respond to within the next 48 hours. Shipping attacks continue Iran's blockade on the Strait of Hormuz remains in place, with Tehran seeing it as its main leverage against the US continuing its war.
On Wednesday, French shipping company CMA CGM said one of its vessels was targeted by an attack in the strait.
"The CMA CGM San Antonio was the target of an attack yesterday while transiting the Strait of Hormuz, resulting in injuries among crew members and damage to the vessel," the shipping firm said in a statement, adding those injured had been evacuated for treatment.
The Maltese-flagged vessel was attacked a day after President Trump launched "Project Freedom".
The US, meanwhile, has imposed a blockade on Iranian shipping, while also making some attempts to escort vessels passing through the waterway.
To date, only two US-flagged tankers have managed to transit the Strait of Hormuz under US Navy protection. Reuters , citing sources, reported that three other US-flagged vessels remain in the Gulf since the start of the US-Israeli war on Iran on February 28. Diplomatic channels White House officials are pressing China to use its influence with Iran to open the Strait of Hormuz, just days before President Trump and Chinese President Xi Jinping's highly anticipated summit in Beijing.
Secretary of State Marco Rubio called on Chinese officials to use Iranian Foreign Minister Abbas Araghchi's visit to China to urge Tehran to release its chokehold on the critical waterway. “I hope the Chinese tell him what he needs to be told,” Rubio said during a White House briefing Tuesday. “And that is that what you are doing in the strait is causing you to be globally isolated. You’re the bad guy in this.”
Rubio went on to argue that it is "in China’s interest that Iran stop closing the strait".
Chinese Foreign Minister Wang Yi met with Araghchi on Wednesday, and urged Iran to reopen the Strait of Hormuz "as soon as possible".
"On the issue of the Strait, the international community shares a common concern over restoring normal and secure navigation through the Strait, and China hopes relevant parties will respond as soon as possible to the strong call from the international community," Wang said. Agencies contributed to this report.