US and Iranian negotiators failed to reach an agreement during high-level talks in Islamabad, Pakistan, leading to the collapse of peace negotiations. The breakdown came after 21 hours of discussions, with both sides blaming each other for the stalemate. Hours later, US President Donald Trump announced a naval blockade of the Strait of Hormuz, a critical global shipping route for oil. The blockade is set to take effect immediately, targeting Iranian ports and vessels.
Israeli Prime Minister Benjamin Netanyahu expressed support for Trump's decision, stating that Iran had violated the terms of the negotiations by refusing to cease military actions and reopen the Strait of Hormuz. Netanyahu also revealed that US Vice President JD Vance had briefed him on the talks' collapse, emphasizing that the US would not tolerate Iran's nuclear enrichment activities. Vance stated that the central US demand was the removal of all enriched material and a long-term halt to enrichment within Iran.
Iranian officials, however, claimed they were 'inches away' from an agreement before the US shifted its demands. Foreign Minister Abbas Araghchi accused the US of 'maximalism' and shifting goalposts, while a US official said Iran had not accepted key American red lines, including limits on uranium enrichment and broader security conditions. The two-week ceasefire, brokered by Trump, remains in place but is fragile, with Netanyahu warning it could 'flip like a coin' at any moment.
Pakistan, which hosted the talks, is pushing for a second round of negotiations to prevent a return to all-out war. The country's government is in contact with both the US and Iran, urging them to resume dialogue before the ceasefire expires on April 22. Meanwhile, global markets reacted negatively to the news, with cryptocurrencies and oil prices experiencing significant volatility.