US and Iran electronically sign peace framework; Strait of Hormuz partially reopens ahead of Friday's formal ceremony in Geneva

Electronic signature seals framework

The United States and Iran concluded a preliminary peace framework on Sunday, announced by Pakistani Prime Minister Shehbaz Sharif, a key mediator. On Monday, President Trump and Mohammad Bagher Ghalibaf, president of the Iranian parliament, signed the document electronically, according to Vice President JD Vance. Trump confirmed the deal from the G7 summit in Evian, France, stating that the strait was already "partially open" and would be fully open after the formal ceremony on Friday, when the text will be made public.

I fully authorize the reopening of the Strait of Hormuz without transit fees, and simultaneously the immediate lifting of the US naval blockade. Ships of the world, start your engines. Let the oil flow.

Reopening the Strait of Hormuz

The waterway, through which about 20% of global oil passes, was blocked by Iran in retaliation for the US-Israeli offensive that began on 28 February. Trump declared on Truth Social that tankers were "starting to move" out of the strait along a southern route he called safe, though shipping trackers showed traffic virtually halted on Monday. The US president insisted the opening would happen without transit charges once the agreement is signed and demining completed.

However, the Iranian semi-official Fars news agency reported that Tehran inserted a last-minute clause stipulating the imposition of fees for maritime services in the strait. The wording, according to Fars, makes clear that the US will demand payments to Iran. Vice President JD Vance, speaking to CNBC, said he hoped the strait would reopen without tolls in the long term and that the matter would be part of 60-day technical negotiations starting after Friday's signing.

The terms on paper

The agreement calls for a cessation of military operations on all fronts, including Lebanon, and sets a path for a gradual lifting of US sanctions. Iran commits not to produce or purchase nuclear weapons. The second phase of negotiations, starting once the formal ceremony is concluded, will span 60 days and cover strategic issues such as Iran's nuclear programme and the disputed transit fees.

International fault lines

At the G7 summit in Evian, French President Emmanuel Macron rejected any tolls as a backward step, warning that charging for passage through such a chokepoint would set a dangerous precedent for other straits worldwide. He said France, the United Kingdom, Italy and the Netherlands were ready to rapidly mobilise resources for an international mission to secure maritime traffic. The nuclear-powered carrier Charles de Gaulle could reach the zone within two or three days of the agreement's confirmation, Macron added.

It would set a precedent. There are many other straits in the world: if we charge tolls every time, what will be the consequence? Prices will rise for everyone.

Israel, which is not a party to the deal, intends to continue its attacks on Lebanon, separate reports indicated. Iran's supreme leader, Mojtaba Khamenei, cast the outcome as a victory, calling the Iranian people the "undisputed winners of this conflict."

In this phase, we can state with conviction that you, the heroic people of Iran, were the undisputed winners of this conflict.

Next steps

Delegations will hold preparatory meetings before the Friday ceremony in Geneva, where Vice President Vance will attend. Trump said he was unsure whether he would travel. Once signed, the full reopening of the Strait of Hormuz is expected, pending demining, and the 60-day technical talks will launch to negotiate longer-term arrangements including the nuclear programme and the contentious fee clause.