US lifts naval blockade on Iran as oil tankers sail again; formal peace memorandum to be signed Friday in Switzerland

Blockade ends before the ink dries

Three Iranian oil tankers were in the northern Indian Ocean and two cargo vessels were heading to southern ports on Tuesday, state television reported, hours after Deputy Foreign Minister Majid Takht-Ravanchi said the US naval blockade had been lifted. "The blockade was lifted before the official signing," Takht-Ravanchi told the government website, calling the move one of Tehran's crucial conditions for reaching a deal. The White House had imposed the blockade on 13 April in retaliation for Iran's closure of the Strait of Hormuz, which Tehran shut after the coordinated Israeli-American strikes on 28 February that ignited the war.

Oil flows and sanctions waivers

The Wall Street Journal reported that Washington will grant Tehran immediate waivers on crude-oil sanctions, a concession that takes effect right after the signing ceremony. The draft memorandum shows Iran receives an instant sanctions exemption for oil sales while other financial incentives are deferred. Crude prices fell to three-month lows on the news. A US official said the full accord text could be published within two days, ahead of the ceremony at the Bürgenstock resort overlooking Lake Lucerne, chosen by the Swiss foreign ministry.

The Friday ceremony and the two-month clock

Vice President J.D. Vance is expected to lead the American delegation, with Iran likely represented by Parliament Speaker Mohammad Bagher Ghalibaf. The document, described by Vance as "very general," was already signed digitally on Monday. Once the ink dries on Friday, a 60-day countdown begins for negotiations on the most difficult files: the nuclear programme, enriched-uranium stockpiles, sanctions architecture, and the unfreezing of Iranian assets abroad. Trump, speaking at the G7 summit in Evian, called the deal "a done deal" and insisted Iran had committed never to develop or acquire nuclear weapons.

Reconstruction fund and regional roles

The draft memorandum foresees a $300 billion development fund for Iran's post-conflict reconstruction, with the United States, the United Arab Emirates and Qatar listed as potential contributors. A US official clarified that Washington would seek investment pledges from other countries and the private sector. Iran estimates the war has inflicted more than $250 billion in economic damage. Trump said the US would pay no war reparations and would not invest money directly, adding that Tehran's leadership "must prove their worth" before outside help flows.

European caution and intelligence doubts

Allies at the G7 struck a careful tone. France, the United Kingdom and Italy signalled readiness to assist with demining the Strait of Hormuz but remained sceptical that full navigation could be restored by Friday, as Trump promised. Chinese officials warned the hardest part of the negotiation still lies ahead, while the European Union pressed for a complete reopening of the waterway leaked on Monday when Al Arabiya published what appeared to be the official document, a 14-point text including a commitment to refer the final accord to the UN Security Council for a binding resolution.

We have concluded our deal with Iran and it should succeed. Now it passes to a second phase that I think will actually be easier.

The blockade was lifted before the official signing.