The United States has waived sanctions on Iranian oil for 60 days following the start of peace talks, with President Donald Trump warning he will "do what I have to do" if Iran fails to uphold its end of the deal. Direct talks were triggered by a Memorandum of Understanding (MoU) signed last week.

The parties have established a communication line regarding the Strait of Hormuz to avoid incidents and ensure safe passage for commercial vessels. Iran had closed the strait—through which 20% of global oil and gas is shipped—after US-Israeli attacks in late February, causing oil prices to spike.

A joint statement by mediators Qatar and Pakistan said chief negotiators will report regularly to a High Level Committee and lead working groups on nuclear issues, sanctions, and monitoring. However, the two sides have conflicting accounts of what was agreed.

Iranian state media reported that the US agreed to release $12 billion in frozen Iranian assets, but Washington has not confirmed this. US Vice President JD Vance claimed Iran would allow international nuclear inspectors back, but Iran denied this on Tuesday.

Iranian Foreign Minister Abbas Araghchi wrote on X that sanctions on oil and petrochemical exports had been waived, the blockade lifted, and frozen assets released, saying key Iranian conditions had been met. Trump, however, insisted Iran had "fully and completely agreed to highest level Nuclear inspections."

Iranian Foreign Ministry spokesman Esmaeil Baghaei dismissed reports of an agreement on inspections, stating no clear schedule exists for IAEA inspectors to visit nuclear facilities. The fate of Iran's enriched uranium stockpile remains a major sticking point, with the US demanding its transfer and Iran refusing.

Talks are ongoing, with both sides claiming progress but disagreeing on fundamental issues. The 60-day sanctions waiver is seen as a temporary measure, and a final deal would require UN Security Council approval.

Source: www.aljazeera.com