Trump's Iran deal negotiations create tension with Netanyahu as conflicting claims emerge

Negotiations for a US-Iran peace deal are fraught with tension amid conflicting claims from Washington and Tehran. While a US official suggests an agreement is imminent, President Trump has publicly called Iran "dishonorable." The proposed deal has strained relations with Israeli PM Benjamin Netanyahu, who fears it is too lenient on Iran's nuclear program and its proxy, Hezbollah, creating a diplomatic rift.

US-Iran peace deal negotiations

• ▪A draft deal published by Iran's Mehr news agency, which President Trump called false, included the release of $24bn in frozen Iranian assets.
• ▪A senior US official suggested there was an "80 to 85%" likelihood of a US-Iran agreement being signed within days.
• ▪US and Iranian officials made conflicting claims on June 12, 2026, about ongoing negotiations for a peace deal.
• ▪US President Donald Trump described the Iranians as "very dishonorable people to deal with" in social media posts on June 12, 2026.
• ▪Washington's stated version of the deal requires Iran's nuclear program to be dismantled and for Iran to stop supporting allied militant movements.

Strait of Hormuz shipping dispute

• ▪Iran's state news agency IRNA stated Iran would not give up control of the Strait of Hormuz, which carries a fifth of the world's oil supplies.
• ▪A US official stated the Strait of Hormuz would open and the US would lift its blockade on Iranian ports as part of the deal.
• ▪On June 11, 2026, US forces shot down two Iranian attack drones that attempted to strike commercial ships in the Strait of Hormuz.

Domestic political pressure on Trump

• ▪President Trump faces domestic pressure to end the war with Iran, as polls show his approval ratings sinking due to rising fuel prices.
• ▪Some Republicans have expressed concern that the war's unpopularity could cost them control of Congress in the November 2026 midterm elections.
• ▪Iran's government also faces challenges, including restricted oil exports and soaring inflation.

Israel-Hezbollah conflict in Lebanon

• ▪A Hezbollah politician stated the group has "complete confidence" that Iran will insist on including Lebanon in any agreement.
• ▪The proposed US-Iran deal would reportedly end conflict on all fronts, including in Lebanon where Israel is fighting Hezbollah.
• ▪An Israeli offensive in Lebanon, which has killed thousands, began after Hezbollah opened fire on Israel on March 2, 2026.

Netanyahu tensions over deal terms

• ▪On June 11, 2026, President Trump informed Israeli Prime Minister Benjamin Netanyahu that he expected to sign a deal with Iran within days.
• ▪Benjamin Netanyahu is privately skeptical of the deal, concerned Iran could stabilize its government with oil sales while delaying nuclear concessions.
• ▪Israeli officials are concerned the deal's ceasefire in Lebanon will limit their freedom of operation against Hezbollah.
• ▪Israeli Defense Minister Israel Katz stated on June 12, 2026, that Israel retains "the ability to act independently to prevent Iran from acquiring a nuclear weapon."
• ▪At the war's outset, Benjamin Netanyahu believed the conflict could potentially lead to regime change in Tehran.

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