JD Vance leads US-Iran talks as Strait of Hormuz closure deepens tensions

BUERGENSTOCK, Switzerland/DUBAI — Diplomatic efforts between the United States and Iran faced renewed uncertainty after their first formal talks in Switzerland were overshadowed by tensions over the Strait of Hormuz, regional conflicts, and disagreements over the next steps in negotiations.

U.S. Vice President JD Vance and Iranian representatives met Sunday at the Swiss mountain resort of Buergenstock as part of a diplomatic effort aimed at reducing regional hostilities and creating a path toward broader discussions on Iran’s nuclear program.

The talks followed a memorandum of understanding reached a week earlier that called for reopening the Strait of Hormuz, a critical global energy route, and halting fighting, including the conflict involving Lebanon.

However, Iran said it would not proceed to wider nuclear negotiations unless hostilities in Lebanon ended and promised economic benefits were delivered.

Iranian Foreign Ministry spokesperson Esmail Baghaei said the discussions focused only on implementing the memorandum and not on the next phase of negotiations, which could involve limits on Tehran’s nuclear activities in exchange for sanctions relief.

The meeting included U.S. officials, Iranian representatives, and mediators from Qatar and Pakistan. Vance, accompanied by U.S. envoy Steve Witkoff and Jared Kushner, also met Pakistani Prime Minister Shehbaz Sharif and Pakistan Army Chief Field Marshal Asim Munir before the broader discussions.

Before leaving for Switzerland, Vance said he hoped the talks would produce progress on both Iran’s nuclear issue and a possible ceasefire in Lebanon.

“I think we’re going to hopefully make progress on the nuclear issue, make progress on the Lebanon ceasefire issue,” Vance told reporters.

The diplomatic effort was complicated by Iran’s announcement regarding the Strait of Hormuz, one of the world’s most important oil shipping routes located between the Persian Gulf and the Gulf of Oman.

Iran’s Fars news agency cited a military source saying that new permits for ships crossing the waterway were suspended until further notice. U.S. officials disputed claims that the strait had been closed, saying commercial vessels continued to pass through.

Iran maintained that restrictions were in place, creating conflicting claims over the status of a waterway responsible for transporting a significant portion of global energy supplies.

Analysts warned that a prolonged disruption could affect oil prices and global markets, reversing recent relief after expectations that the diplomatic agreement would help stabilize energy supplies.

U.S. President Donald Trump said the agreement was partly aimed at preventing a global economic downturn caused by a possible surge in oil prices if the strait remained blocked.

The memorandum outlines 60 days of negotiations on issues including possible restrictions on Iran’s nuclear program and potential sanctions relief. International Atomic Energy Agency chief Rafael Grossi was also in Switzerland as the agency may play a role in verifying any future nuclear agreement.

Iran has said it expects economic benefits even before formal negotiations begin, including sanctions waivers and access to frozen financial assets. Iranian President Masoud Pezeshkian said the talks could provide a foundation for economic recovery.

Meanwhile, the situation in Lebanon remained a major obstacle. Despite repeated ceasefire announcements, fighting continued with limited interruption, forcing more than a million people to flee affected areas.

Residents in southern Lebanon were seen returning to communities they had evacuated, while emergency teams continued responding to casualties caused by Israeli strikes.

Lebanese authorities reported that 20 people were killed on Saturday. The Lebanese army said specialized units were still removing unexploded weapons left from attacks in southern towns.

The peace initiative launched by Trump with Israeli Prime Minister Benjamin Netanyahu in February remains controversial. Israel did not participate in the Switzerland talks and has opposed withdrawing from some areas affected by the conflict with Hezbollah.

U.S. officials said the long-term objective remains an agreement preventing Iran from developing nuclear weapons. Critics, however, argue that earlier goals of reducing Iran’s regional influence and eliminating its nuclear capabilities remain unresolved.

A poll by Hebrew University provided to Reuters found that most Israelis surveyed believed Iran gained more than Israel from the recent military campaign, reflecting continued debate over the outcome of the conflict.

The negotiations remain fragile, with future progress depending on whether Washington and Tehran can resolve disputes over security, sanctions, and regional conflicts.