US President Donald Trump made sweeping new demands on Iran after Tehran reiterated requests for reparations as part of talks to wind down the conflict, dimming hopes of a quick deal that would reopen the Strait of Hormuz.
“I am likewise demanding compensation from Iran, for all of the people that they have killed and gravely wounded with their roadside bombs and many conflicts,” Trump wrote on social media. “Additionally, compensation should be paid to the families of the hundreds of thousands of innocent protestors that Iran has killed over the last 50 years.”
The new demands from Trump, which he said will be put “firmly into any, and all, future negotiations,” are almost certain to be rejected by Iran, and come after Tehran stressed it was seeking compensation for the US and Israeli war launched on Feb. 28. Shortly after his post, Trump expanded the scope of his demands, saying Iran should be responsible for “damages and death to the people of Lebanon, Syria, Yemen, and Gaza,” without offering any details.
The hardening on both sides makes it unlikely that Washington or Tehran will be able to agree to any immediate pact on Hormuz that could help end the war. Trump and other US officials had recently cheered markets by suggesting a deal with Tehran was getting closer, with both Iran and Oman in parallel discussions over the Strait of Hormuz.
Oil held gains on Tuesday, with the global benchmark Brent trading near $88 a barrel after advancing 5% in the previous session, while West Texas Intermediate traded near $82. European diesel futures surged more than 10% as refineries in Saudi Arabia, Libya and Russia also came under attack, further tightening the market for the fuel considered the workhorse of the global economy.
The US president earlier signaled that he was prepared to let economic pressure on Iran build rather than launch fresh military strikes to force a reopening of Hormuz. That marked a shift from his repeated threats to escalate the bombing campaign against Iran, following several weeks of tit-for-tat strikes and the breakdown of their interim peace deal.
The Washington Post reported Monday that Trump was secretly flown out of Turkey last month on an alternate military aircraft instead of Air Force One, after the president ordered military strikes on Iran while at a NATO summit. The covert plan, prompted by an Iranian assassination threat, included briefly transporting the president in an airport catering truck from one plane to the next, the Post reported.
The mission was reportedly carried out with journalists and some White House staff unaware and believing they were on the same plane as the president.
Trump had announced at the time that he was flying on the old Air Force One from Turkey to a UK military base instead of the new Boeing 747-8 jet gifted by Qatar, which he said would be showcased to servicemembers stationed there. That plane has raised concerns over potential security risks.
“The new Air Force One is a state-of-the-art aircraft that has been fitted with high-level security protocols that ensure the safety of the President and his staff. As the President has said recently, there are many enemies of America who have their sights on him, and we use every tool at our disposal to address those threats,” White House Communications Director Steven Cheung said in a statement.
Still, the episode underscored simmering tensions between the US and Iran as they remained far apart on bringing a lasting end to the war.
While Trump insisted that compensation for Iran “was never mentioned in any of our negotiations or meetings,” the 14-point memorandum of understanding that Iran and the US agreed to in June details plans for Washington and regional partners to develop a $300 billion fund for the “rehabilitation and economic development” of Iran after the war.
On Monday, Iranian officials reiterated demands for reparations and tied the issue directly to reopening the Strait of Hormuz. A text of the June MoU only said an “implementation mechanism” for the fund would be created within 60 days of the deal’s signing.
“As long as hostile actions continue, the conditions for ensuring the safety of this waterway are not in place,” Iran’s foreign ministry spokesman Esmail Baghaei said. “Its reopening is contingent on the US ceasing its illegal actions, lifting the siege and compensating for damages.”
Trump told reporters at the White House on Monday that Hormuz was “open now” and controlled by the US. Asked about military escalation, Trump said the US retained that ability and “if we want to do that, yeah, you’ll find out.”
Over the weekend, Iranian Foreign Minister Abbas Araghchi said a pact with Oman to establish a shipping route through the strait was “very close,” without providing details on the substance. He ruled out direct talks with the US for now, but said the two sides are exchanging messages through intermediaries.
The Strait of Hormuz, through which one-fifth of the world’s oil and liquefied natural gas transited before the war, has become a key sticking point in the negotiations to bring a lasting end to the fighting. Trump has demanded free passage for months.
Tehran’s demands for a full reopening include the US lifting its naval blockade on Iranian ports, the release of frozen assets and compensation for war damage. It has also called for a permanent end to attacks on groups it backs in Lebanon, Iraq, Yemen and Gaza. It’s unclear how strictly Iran will stick to the list of conditions.
Some of the demands will be difficult for the US to meet alone. In Gaza, a proposal by US-backed mediators to disarm Iran-backed Hamas and push Israeli army out of the Palestinian enclave was rejected by Israel’s Prime Minister Benjamin Netanyahu on Sunday.
In Yemen, clashes between the Iran-backed Houthi rebels and forces from the internationally recognized government supported by neighboring Saudi Arabia, have escalated. The Houthis claimed to have struck Saudi Aramco’s Jazan refinery on Sunday, while Saudi authorities reported a fire that was quickly extinguished, with no injuries.
The incident would mark at least the second blaze at the 400,000 barrel-a-day complex in a month. Satellite images in late July showed a tank fire following another claimed Houthi attack.
Disclaimer: This report is auto generated from the Bloomberg news service. ThePrint holds no responsibility for its content.

