US, Iran Agree to Two-Week Truce as Hormuz Tolls Emerge as Peace-Talk Hurdle

Dramatic deal struck with 88 minutes left before deadline

Trump reveals his thinking: 'It will be big money'

The US and Iran agreed on July 7 to a two-week truce and a temporary reopening of the Strait of Hormuz. The move could complicate negotiations to end the conflict after Washington signaled it is open to Tehran's plan to impose transit fees in the waterway.

President Donald Trump wrote on social media that the US would suspend attacks for two weeks if Iran agreed to the "full, immediate and safe" reopening of the Strait of Hormuz. He posted the message 88 minutes before his self-imposed ultimatum was due to expire at 8 a.m. on July 7.

Iran's government said in a statement that if US attacks stop, it will halt defensive operations and allow safe passage through the strait for two weeks, subject to coordination with Iranian forces. The agreement came after both countries accepted Pakistani Prime Minister Shehbaz Sharif's call for a two-week ceasefire.

The US and Iran will begin negotiations in Islamabad, Pakistan, on July 10 over terms for ending the war. The two sides have been at odds over management of the Strait of Hormuz, whether Iran will be allowed to continue uranium enrichment, and the lifting of sanctions on Tehran. Iran is treating the introduction of transit tolls in the strait as a settled matter.

Trump also appeared to be moving toward accepting that plan. After the truce was announced, he wrote on social media that the US would help ease congestion in the Strait of Hormuz and that "it will be big money." He added that Iran can begin reconstruction and that Washington will ensure "everything goes smoothly." The remarks suggest Trump is prepared to tolerate Iran's plan to fund reconstruction with toll revenue from the strait while the US also seeks to profit from the arrangement.

Lee Sang-eun, Washington correspondent, Hankyung.com, selee@hankyung.com