US Says Only a ‘Good Deal’ With Iran Is Acceptable as Navy Resumes Strait of Hormuz Escorts

The US said it sees a path to an agreement with Iran, while making clear it will not accept any compromise without conditions. At the same time, the US Navy has resumed escorting ships through the Strait of Hormuz in a move to help stabilize a key Middle East shipping lane.

Walter Bloomberg reported on May 26 that Secretary of State Marco Rubio said it could take several days to finalize the details of a potential deal with Iran. Talks between the two sides are moving closer to a preliminary draft, he added.

Rubio also said President Donald Trump recently spoke with countries in the region in an effort to end the conflict. The US would accept only a “good deal” with Iran. Otherwise, it would accept no deal at all.

Tensions in the Strait of Hormuz are continuing even as expectations for negotiations build. Walter Bloomberg reported that the US Navy has resumed escorts for vessels transiting the waterway. The Navy is supporting ship passages under the restarted Project Freedom operation.

The US Navy escorted a Greek very large crude carrier transporting 2 million barrels of oil through the Strait of Hormuz and toward India, according to the report. The vessel had remained in the region since March.

US officials said they plan to support the passage of about 12 additional tankers and container ships over the next several days. The Strait of Hormuz is a critical route for global crude shipments, and the resumption of escorts appears aimed at easing supply concerns in energy markets.

Markets view the US as pursuing diplomacy and military deterrence in parallel. Signs that discussions over a draft agreement with Iran are advancing could support sentiment for risk assets. The renewed escorts in the Strait of Hormuz also show that maritime security risks have yet to be resolved.