Key points
- Washington eases sanctions on Iranian oil after Tehran agrees to readmit UN nuclear inspectors.
The United States temporarily lifted sanctions on Iranian oil exports Monday after Iran signaled its willingness to allow United Nations nuclear inspectors back into the country, a development that could mark a major breakthrough in efforts to stabilize relations following months of conflict.
The U.S. Treasury Department announced that the temporary sanctions waiver will remain in effect until Aug. 21, allowing Iran to resume producing, selling and exporting crude oil and related petroleum products while negotiations continue toward a broader agreement.
The decision came shortly after Vice President JD Vance said Iran had agreed to permit inspectors from the International Atomic Energy Agency, or IAEA, to return to the country. Vance described Tehran’s move as a significant milestone and the first step toward what he called the permanent elimination of Iran’s nuclear weapons ambitions.
Speaking after negotiations at the Bürgenstock resort in Switzerland, where American and Iranian representatives have been meeting with mediation from Pakistan and Qatar, Vance said the two sides had made substantial progress.
“We have laid a very good foundation for a successful final agreement,” Vance told reporters. “The final agreement is the house. We haven’t built that house yet, but we have built a successful foundation that puts us in a good place for the American people.”
Vance characterized Iran’s invitation to IAEA inspectors as one of the most important outcomes of the talks. He said discussions with inspectors could begin as early as Monday, although he did not specify the extent of access Tehran would grant.
It remains unclear whether inspectors will be allowed to visit major nuclear facilities that were previously damaged during U.S. and Israeli military operations. Those sites include Natanz, Fordow and Isfahan, which have remained largely inaccessible to international inspectors since the conflict escalated.
IAEA Director General Rafael Grossi was in Switzerland during the negotiations, where one of his primary objectives has been securing renewed access to Iran’s nuclear infrastructure. The agency has not yet issued a formal response to Vance’s remarks.
Iran has long maintained that its nuclear program is intended solely for peaceful civilian purposes. The United States and Israel, however, argue that Iran’s advanced uranium enrichment activities and other nuclear developments have raised concerns about its potential ability to develop nuclear weapons.
Washington is seeking assurances that Tehran will surrender its stockpile of highly enriched uranium, while Iran continues to insist on its right to enrich uranium for peaceful purposes and has demanded relief from economic sanctions.
Iranian Foreign Ministry spokesman Esmail Baghaei offered a more cautious assessment of the negotiations, saying only limited discussions had taken place regarding nuclear matters.
“There was a very brief discussion regarding the nuclear issue, but there was no discussion of details,” Baghaei said.
The sanctions waiver represents one of the most tangible outcomes of the diplomatic process launched after nearly 40 days of military confrontation between Iran and a U.S.-Israeli coalition. The fighting was followed by a fragile ceasefire and the signing of a memorandum of understanding intended to guide negotiations toward a comprehensive settlement.
President Donald Trump hailed the developments from Washington, saying the reopening of the Strait of Hormuz and the progress on Iran’s nuclear program represented major achievements.
“We’re negotiating, and we’ll see how it turns out, but we already have two things,” Trump said. “We have an open strait, and we have a country that will never have a nuclear weapon.”
The Strait of Hormuz, through which roughly one-fifth of the world’s oil supply passes, became a focal point of the conflict after Iran temporarily disrupted shipping traffic earlier in the war. The closure triggered significant volatility in global energy markets and raised fears of prolonged supply disruptions. Pakistan and Qatar, which have jointly facilitated the negotiations, said both sides had agreed on a roadmap aimed at reaching a final agreement within 60 days. Technical talks are expected to continue throughout the week in Switzerland.
In a joint statement, the mediators described the progress as encouraging and said negotiators had established a dedicated communications mechanism intended to prevent misunderstandings and reduce the risk of future incidents in the Strait of Hormuz.The broader framework under discussion addresses several longstanding disputes that have shaped U.S.-Iran relations for decades, including sanctions relief, Iran’s nuclear activities and regional security concerns.
Questions also remain regarding Iranian assets frozen abroad. U.S. officials emphasized that no frozen funds have yet been released as part of the current arrangement. However, they indicated that if assets are eventually unfrozen, the funds would be directed toward commercial purchases, including American agricultural products, rather than military or security activities.
Iranian Foreign Minister Abbas Araghchi described the negotiations as a significant turning point. In a social media statement, he said Iranian oil and petrochemical exports had been exempted from sanctions, economic restrictions were being eased, some frozen assets were being released, and a large-scale reconstruction and development initiative for Iran had been launched.
As diplomacy advances, Secretary of State Marco Rubio is expected to visit the United Arab Emirates, Kuwait and Bahrain to discuss implementation of the agreement and regional security arrangements.
According to State Department spokesman Tommy Pigott, Rubio’s trip will focus in part on ensuring safe, uninterrupted and unrestricted maritime transit through the Strait of Hormuz.
Despite the progress, significant uncertainties remain. Data from shipping trackers showed commercial vessels continuing to transit the strait Monday, although Iran had announced Saturday that it was again restricting access following Israeli airstrikes in Lebanon.
The contradiction underscores the fragile nature of the current ceasefire and highlights the challenges negotiators still face as they attempt to transform a preliminary understanding into a lasting agreement. Washington and Tehran may be moving away from confrontation and toward a diplomatic settlement after one of the most volatile periods in their modern history.