Iran peace deal makes clear how far US has been forced to retreat since 2025
A recent memorandum of understanding between the US and Iran, signed at Versailles, signifies a significant retreat for US policy since 2025. The agreement, described as an admission of the US's inability to achieve its goals through war, contrasts sharply with a previous US proposal from 2025. Under the 2025 terms, Iran would have had no domestic enrichment capabilities and would have shipped all enriched uranium abroad. However, the new memorandum allows Iran to continue uranium enrichment and dilute its stockpile domestically under IAEA watch. The deal also includes potential waivers on oil exports and associated financial transactions, which could undermine US sanctions. Furthermore, the memorandum suggests free navigation of the Strait of Hormuz may be limited after 60 days, with Iran to discuss maritime services with other Gulf states. The US has also proposed a $350 billion Iran reconstruction fund to which it will not contribute.