World reacts to US-Iran deal to extend ceasefire, reopen Strait of Hormuz

What Happened

US President Donald Trump and Iranian President Masoud Pezeshkian electronically signed a memorandum of understanding (MoU) on Wednesday, brokered by Pakistan, to extend the ceasefire in the US-Iran war for 60 days. The ‘Islamabad MoU’ commits Iran to reaffirm it will not develop a nuclear weapon, ends hostilities on all fronts, and mandates the reopening of the Strait of Hormuz. Iran’s Foreign Ministry spokesperson Esmaeil Baghaei stated that Tehran would monitor US compliance ‘without any leniency’ and would not fulfil its own commitments if Washington evades obligations. He added that while nuclear issues and sanctions relief would be discussed, Iran’s missile programme is ‘off the table,’ Tehran will not ship its highly enriched uranium abroad, and the US must compel Israel to respect the deal. Separately, Iran will finalise a new regime with Oman to manage the Strait and charge fees for services. The war, which began with US–Israeli strikes on Iran on February 28 and saw a temporary ceasefire on April 8, now pauses under extended terms as the IAEA announces it will work with both sides on the technical aspects of Iran’s nuclear programme.

Key Actors

Why It Matters

The agreement temporarily halts the first direct US-Iran war, averting a wider regional conflict and removing the immediate threat to maritime traffic through the Strait of Hormuz—a critical chokepoint for global oil supplies. By extending the ceasefire for 60 days, it creates a diplomatic track to address Iran’s nuclear programme and US sanctions, though Iran’s refusal to discuss its missile arsenal or export its enriched uranium stockpile sets narrow parameters. The pact also elevates Pakistan’s role as a Middle Eastern mediator and exposes a rift within the US Republican Party, while Hezbollah’s portrayal of the deal as a ‘big victory’ may affect Lebanon-Israel dynamics.

Watch For

Monitor whether substantive negotiations on Iran’s nuclear programme and sanctions begin within the 60-day window, including IAEA-supervised technical steps. Watch for Israeli reactions to Iran’s demand that the US compel Israel to uphold commitments, and note any Hezbollah-Israel talks that could be influenced by Qassem’s disarmament red line. Track US Congressional opposition, particularly from Republicans, and Iran’s compliance with Strait of Hormuz reopening and joint management with Oman.