Iran-US Peace Deal Announced! Donald Trump Says Strait Of Hormuz Is Open, 'Let The Oil Flow'

United States President Donald Trump said a ceasefire deal with Iran has been agreed. The announcement also included toll-free shipping through the Strait of Hormuz. Iran's deputy Foreign Minister Kazem Gharibabadi later confirmed the agreement on Sunday. The deal is set to end hostilities between Iran and the US immediately.

The development matters for global energy markets, including India's finance sector. The Strait of Hormuz is a key oil route. It had been largely closed since December 28. That closure followed an assault on Iran by the US and Israel. Trump, who turned 80 on Sunday, announced the deal on Truth Social.

Iran ceasefire deal reopens Strait of Hormuz

Trump linked the ceasefire to the removal of a United States naval blockade. He also said ships could resume movement through the Strait. "The Deal with the Islamic Republic of Iran is now complete," Trump wrote on Truth Social.

"Congratulations to all! I hereby fully authorize the toll free opening of the Strait of Hormuz, and, simultaneously herewith, authorize the immediate removal of the United States Naval blockade. Ships of the World, start your engines. Let the oil flow!"

In another post, Trump said the agreement could lead to wider peace. "This Great Deal will bring Peace and Security to the whole Region", he wrote. He also suggested a larger peace arrangement with Iran may follow. The signing is expected in Switzerland on Friday, June 19.

"Many presidents have tried to make Peace with Iran, and all have failed before me. The Leaders of the Region have, for the first time, found a President who can help them achieve real Peace. With the opening of the Strait upon the signing of the Deal on Friday, for purposes of mine removal, oil will flow on both ends again for the Region, and the World!"

Iran ceasefire deal draws regional support

Pakistani Prime Minister Shehbaz Sharif had first announced the deal on X. He said it would end fighting across all fronts, including Lebanon. "Following intensive talks, we are pleased to announce that the Peace Deal between the United States of America and the Islamic Republic of Iran has been REACHED. Both sides have declared the immediate and permanent termination of military operations on all fronts, including in Lebanon," Sharif wrote.

Sharif said mediators would help organise meetings before implementation. These talks would prepare the technical discussions and formal signing ceremony. He thanked Washington, Tehran, Qatar, Saudi Arabia and Türkiye. He also praised their role in the mediation process.

"We would like to thank the United States of America and the Islamic Republic of Iran for their commitment to finding a diplomatic solution to the conflict. We would also like to extend our sincere appreciation to our brothers in this mediation effort, the great leadership of the State of Qatar, for their support in reaching this agreement," Sharif wrote.

"I would also especially thank the visionary leadership of the Kingdom of Saudi Arabia and the Republic of Türkiye for their immense contributions in this regard. With the agreement now in place, mediators will facilitate a series of meetings this week. These pre-implementation discussions will lay the foundation for the technical talks and the official signing ceremony."

The announcement followed days of uncertainty over a possible deal. Trump had earlier said a ceasefire would be announced on Sunday. Concerns rose after Israel carried out an air raid on Beirut's southern suburbs. Iranian leaders had warned Tehran was ready to strike Israel over Beirut.

Iran ceasefire deal receives global reaction

Qatar said its work with Pakistan helped shape the memorandum of understanding. Its foreign ministry welcomed the agreement after days of mediation. The ministry said the deal covered unresolved issues. These included navigation freedom in the Strait of Hormuz.

"The State of Qatar welcomes the agreement reached on the Memorandum of Understanding between the United States of America and the Islamic Republic of Iran on addressing the outstanding issues between them, including ensuring freedom of navigation in the Strait of Hormuz, and considers it an important step towards consolidating sustainable peace and promoting economic growth regionally and internationally," Qatar's Ministry of Foreign Affairs wrote on X.

UK Prime Minister Keir Starmer said Britain was ready to support further technical talks. He also said the Strait's reopening could help energy markets. "Attention must now turn to fully implementing the memorandum of understanding to ensure the Strait reopens and remains fully and permanently open, and that the detailed elements of the nuclear agreement are finalised," Starmer said in a statement on X.

"We are clear that toll-free freedom of navigation must now be restored," in the Strait of Hormuz, he added. French President Emmanuel Macron also welcomed the deal. He said Paris would keep supporting Lebanese authorities. "I welcome the agreement reached between the United States and Iran, the result of a diplomatic effort to which several partners contributed. I call for its swift and full implementation by all parties to the conflict," Macron said in a social media post.

"This agreement must allow for the urgent and unconditional reopening of the Strait of Hormuz, which the international mission established with the United Kingdom is ready to support. The resources are in place and ready to be deployed," he added. "The resumption of maritime traffic, without restrictions or tolls, is essential for regional stability and the global economy."

France "will also continue to provide its full support to the determined efforts of the Lebanese authorities to restore the sovereignty of the State, which alone can ensure Lebanon's stability and territorial integrity and meet the needs of its populations", he added.

Iran ceasefire deal raises energy market hopes

US Vice President JD Vance said the agreement could begin a "new era" in the Middle East. He credited Trump for creating space for wider change. "What the president has done is create the real space to transform that region. And now, hopefully a new era with the Iranians," Vance said.

"I think we can safely say, with confidence, that Iran will never have a nuclear weapon... This is just a great thing for the American people." Vance said he hoped energy prices would fall. He also plans to attend the Switzerland signing ceremony next week.

Trump also issued a warning in an interview with The New York Times. He said the US could restart military operations. He also mentioned becoming "the guardian of the Middle East" for 20 percent of regional revenues. It was unclear whether the interview happened after the deal announcement.

The ceasefire deal now places focus on implementation, shipping access and technical talks. For energy importers, the Strait of Hormuz reopening remains the key market signal. The formal ceremony in Switzerland on Friday, June 19, is expected to define the next steps.