JD Vance begins talks with Iran in Pakistan while Trump claims U.S. has begun ‘clearing out’ the Strait of Hormuz

The United States and Iran began negotiations Saturday in Pakistan, days after a fragile, two-week ceasefire was announced, as the war that has killed thousands of people and shaken global markets entered its seventh week.

Iran’s state-run news agency said three-party talks had begun after Iranian preconditions, including a reduction in Israeli strikes on southern Lebanon, were met, and after U.S. and Iranian officials met separately with Pakistani Prime Minister Shehbaz Sharif. There were no immediate further details, nor U.S. comment.

The U.S. delegation led by Vice President JD Vance and the Iranian delegation led by Parliament Speaker Mohammad Bagher Qalibaf were discussing how to advance the ceasefire already threatened by deep disagreements and Israel’s continued attacks against the Iranian-backed Hezbollah in Lebanon.

“I cannot say whether they are sitting in the same room or in separate rooms, but talks have started and are progressing well,” said one Pakistani official with knowledge of the peace efforts, speaking on condition of anonymity because they were not authorized to talk to the media.

Iran sets ‘red lines’ including compensation for strikes

Iran doubled down on parts of its earlier proposal, with its delegation telling Iranian state television it had presented some of the plan’s ideas as “red lines” in meetings with Sharif. Those included compensation for damage caused by the U.S.-Israeli strikes that launched the war on Feb. 28 and releasing Iran’s frozen assets.

The war has killed at least 3,000 people in Iran, 1,953 in Lebanon, 23 in Israel and more than a dozen in Gulf Arab states. Iran’s chokehold on the vital Strait of Hormuz has largely cut off the Persian Gulf and its oil and gas exports from the global economy, sending energy prices soaring. Attacks have caused lasting damage on infrastructure in half a dozen countries in the Middle East.

In Tehran, residents told The Associated Press they were skeptical yet hopeful about the talks after weeks of airstrikes left destruction across their country of some 93 million people. Some said the path to recovery would be long.

“Peace alone is not enough for our country, because we’ve been hit very hard, there have been huge costs,” 62-year-old Amir Razzai Far said.

Meanwhile, Israel pressed ahead with strikes in Lebanon after saying there is no ceasefire there. Iran and Pakistan have disagreed. The Lebanese state-run news agency reported at least three people killed. There were no reported strikes in the afternoon.

Officials posture over key issues ahead of talks

U.S. and Iranian officials claimed leverage and issued new demands and preconditions as talks approached. President Donald Trump posted repeatedly on social media leading up to Saturday, saying Iranian officials “have no cards” to negotiate with.

“The only reason they are alive today is to negotiate!” he wrote.

He accused Iran of using the Strait of Hormuz, a key artery for global energy supplies, for extortion, and told reporters Friday it would be opened “with or without them.”

On Saturday, Trump said on social media that the U.S. had begun “clearing out” the strait, but it was unclear whether he was referring to the reported use of mines there or Iran’s broader ability to control the area.

Islamabad was deserted as security forces sealed roads and authorities urged residents to stay inside.

Vance said Friday that the U.S. was optimistic about the talks, but warned: “If they’re going to try and play us, then they’re going to find that the negotiating team is not that receptive.”

Iranian Foreign Minister Abbas Araghchi had said Tehran was entering negotiations with “deep distrust” after strikes on Iran during previous rounds of talks. Araghchi, who is part of Iran’s delegation in Pakistan, said Saturday that his country was prepared to retaliate if attacked again.

Iran and the United States outlined competing proposals ahead of the talks reflecting the wide gulf on key issues.

Iran’s 10-point proposal called for a guaranteed end to the war and sought control over the Strait of Hormuz. It included ending fighting against Iran’s “regional allies,” explicitly calling for a halt to Israeli strikes on Hezbollah.

The United States’ 15-point proposal includes restricting Iran’s nuclear program and reopening the strait.

Israel and Lebanon will have direct negotiations

Negotiations between Israel and Lebanon are expected to begin Tuesday in Washington, Lebanese President Joseph Aoun’s office said Friday, after Israel’s surprise announcement authorizing talks despite the countries lack of official relations.

Israel wants the Lebanese government to assume responsibility for disarming Hezbollah, much like was envisaged in a November 2024 ceasefire. But it is unclear whether Lebanon’s army can confiscate weapons from the militant group, which has survived efforts to curb its strength for decades.

Israel’s insistence that the ceasefire in Iran does not include a pause in its fighting with Hezbollah has threatened to sink the deal. The militant group joined the war in support of Iran in the opening days. Israel followed up with airstrikes and a ground invasion.

The day the Iran ceasefire deal was announced, Israel pounded Beirut with airstrikes, killing more than 300 people in the deadliest day in Lebanon since the war began, according to the country’s Health Ministry.

Strait of Hormuz remains a sticking point

Iran’s closure of the Strait of Hormuz has proved its biggest strategic advantage in the war. Commercial vessels have avoided the strait, effectively blocking the passage of oil, natural gas and fertilizer.

The spot price of Brent crude, the international standard for oil prices, was above $94 on Saturday, up more than 30% since the war started.

Before the conflict, around a fifth of the world’s traded oil typically passed through the strait on more than 100 ships a day. With the ceasefire in place, only 12 have been recorded transiting.

Iran has floated the idea of charging ships passing through as part of a peace deal, though the idea has been widely rejected by countries including the United States and Iran’s neighbor Oman.

This story was originally featured on Fortune.com