US-Israel-Iran Conflict: Trump, Nuclear Deal & Ormuz Strait Tensions

Negotiations to end the ongoing conflict between the United States, Israel, and Iran remain stalled as President Donald Trump pressures Tehran to abandon its nuclear program, while Iran threatens “unprecedented military actions” if the U.S. Does not lift its blockade of the Strait of Hormuz. The conflict has entered its eighth week, costing an estimated $25 billion, according to a Pentagon financial official.

On Tuesday, Trump stated on social media that Iran is “in a ‘State of Collapse,’” as his administration discusses an Iranian proposal to drop restrictions on the Strait of Hormuz in exchange for lifting the U.S. Blockade, but to postpone discussions regarding Iran’s nuclear program.

The war has severely constrained shipping traffic through the Strait of Hormuz, a critical waterway for approximately one-fifth of the world’s oil and natural gas exports from Gulf countries, leading to a surge in traffic through the Panama Canal. In response, the U.S. Has blockaded Iranian ports and vessels linked to Iran.

Panama reaffirmed the “neutrality” of its canal on Tuesday, emphasizing the “need to preserve” maritime transit routes amid the blockade of the Strait of Hormuz. Panamanian Foreign Minister Javier Martinez-Acha reiterated this stance during a phone call with his Israeli counterpart, Gideon Saar, discussing the international situation and tensions in the Middle East.

Defense Secretary Faces Scrutiny Over Trump’s Stability

During a House Armed Services Committee hearing, Defense Secretary Pete Hegseth faced questioning regarding President Trump’s mental stability, following Trump’s threat to “wipe out Iran’s entire civilization.” California Democratic Rep. Sara Jacobs asked Hegseth, “Do you believe that the President is mentally stable enough to be the commander in chief?”

“I won’t even engage with the level of disparagement that you’re putting on the commander in chief,” Hegseth said.

Defense Secretary Pete Hegseth

Hegseth responded by criticizing former President Joe Biden. Earlier in the hearing, Hegseth declined to state whether he had advised Trump to launch the attack on Iran, stating, “We never talk about what we would advise the president to do or not.”

War Duration and Iranian Proposal

Hegseth had previously predicted the war would last “four to five weeks,” but it has now entered its eighth week. Iran has proposed reopening the Strait of Hormuz and lifting the U.S. Blockade, while postponing talks on its nuclear program. However, the U.S. Has expressed reservations about accepting Iran’s offer.

Fighting continues between Israel and Iranian-backed Hezbollah in Lebanon, a significant obstacle to securing a broader peace agreement between the U.S. And Iran. Israel has warned Lebanese civilians to prepare to evacuate their homes ahead of planned military operations.

Oil prices continue to rise, with international benchmark Brent Crude exceeding $112 a barrel on Tuesday, with no immediate resolution to the conflict in sight.