U.S. Declares Iran Ceasefire Over Following Strikes on 160+ Targets
President Trump terminates the interim memorandum of understanding following tit-for-tat strikes and the downing of a U.S. drone.
The tenuous ceasefire between the United States and Iran has collapsed after a major military escalation in the Persian Gulf. President Donald Trump, speaking from the NATO summit in Ankara, Turkey, declared that the "Memorandum of Understanding is over." The announcement follows a massive wave of U.S. Central Command (CENTCOM) strikes targeting over 80 Iranian sites, including command networks and coastal radar. Iran’s Islamic Revolutionary Guards Corps (IRGC) retaliated by launching missiles and drones at 85 U.S. installations in Bahrain and Kuwait, including sites linked to the Fifth Fleet, and successfully downing a U.S. MQ-9 drone.
The latest hostilities were triggered by Iranian attacks on three commercial vessels in the Strait of Hormuz, which the Pentagon characterized as a blatant breach of the previous accord. In response to the renewed fighting, the U.S. Treasury Department has ended temporary sanctions exemptions for Iranian oil, moving the deadline for a total halt of sales forward to July 17. The move caused immediate volatility in global markets, with oil prices jumping nearly 6% to $73 per barrel.
Since the start of "Operation Epic Fury" in February 2026, the conflict has resulted in thousands of casualties and millions of displaced persons across the region. Diplomatic efforts are currently stalled as Iran observes a mourning period for the late Supreme Leader Ali Khamenei. While President Trump indicated that negotiators could "keep talking," he criticized European allies at the NATO summit for failing to provide adequate support against Tehran's provocations.
Key Points
- President Trump officially declared the 'Memorandum of Understanding' over at a NATO summit in Turkey after Iran targeted 85 U.S. military sites in Bahrain and Kuwait.
- CENTCOM conducted strikes on 80+ Iranian targets, including air defense networks and 60 IRGC small boats, following Iranian attacks on three commercial tankers in the Strait of Hormuz.
- The U.S. Treasury revoked oil sanctions exemptions, ordering all Iranian oil sales to cease by July 17, triggering a 6% surge in global energy prices.
- The IRGC confirmed the downing of an American MQ-9 drone during its retaliatory strikes against U.S. Fifth Fleet installations.
- Diplomatic channels remain frozen as Tehran observes ceremonies for the late Supreme Leader Ali Khamenei, who was killed at the onset of the February offensive.