BLACK mobile logo

united states

What's in the US-Iran agreement?

June 18, 2026

The United States and Iran have signed a Memorandum of Understanding establishing an immediate and permanent ceasefire after four months of conflict that involved Israel and affected major shipping routes. The performance-based agreement requires Iran to abandon nuclear weapons development and manage its enriched uranium stockpile under international supervision, while the US commits to ending its naval blockade and removing economic sanctions on a phased timeline. A reconstruction fund of at least $300 billion will be established for Iran's economic development, though the US is not obligated to contribute financially.

Who is affected

  • United States and Iran (primary parties to the agreement)
  • Israel (concerned about military operations restrictions in Lebanon)
  • Hezbollah in Lebanon (covered under ceasefire terms)
  • Iranian dissident groups and protesters (negatively impacted by non-interference commitments)
  • Gulf states including Oman and United Arab Emirates (involved in reconstruction planning and Strait management)
  • International Atomic Energy Agency (IAEA) (supervising uranium management)
  • Global commercial shipping companies (regaining access through Strait of Hormuz)
  • Iranian President Masoud Pezeshkian and President Donald Trump (signatories)

What action is being taken

  • The ceasefire is now in effect with immediate termination of military operations on all fronts
  • The US is beginning to remove its naval blockade and impediments at Iranian ports
  • Iran is making arrangements to allow safe passage of commercial vessels through the Strait of Hormuz immediately
  • Technical and military obstacles are being removed and de-mining operations are being conducted
  • Traffic is starting to flow through the Strait of Hormuz
  • The 60-day countdown for negotiating a final deal has begun

Why it matters

  • This agreement is significant because it ends a four-month military conflict between two major adversaries and reopens the Strait of Hormuz, a critical global shipping chokepoint whose closure caused oil prices to spike. The deal addresses the longstanding nuclear weapon concern that Trump identified as "99%" of his objective, requiring Iran to abandon nuclear weapons development and manage existing enriched uranium under international supervision. The performance-based structure creates accountability by tying sanctions relief to Iranian compliance, potentially reshaping Middle East geopolitics and global energy markets while establishing a framework for normalized US-Iran relations.

What's next

  • US and Iran will negotiate a final deal within a maximum of 60 days (timeline can be extended with mutual consent)
  • The US naval blockade will end fully within 30 days
  • Within 30 days of a final deal, US forces will withdraw from proximity to Iran
  • Within 60 days of the final deal, a definitive plan for the $300 billion reconstruction fund will be agreed upon, with all licenses and waivers granted
  • The timeline for terminating economic sanctions will be established as part of the final deal
  • The mechanism for managing enriched uranium will be mutually agreed upon in subsequent talks
  • Procedures for releasing frozen Iranian assets will be agreed upon during negotiations
  • US and Iran will establish a monitoring mechanism for compliance
  • The final deal will be endorsed by a binding UN Security Council resolution
  • A formal signing ceremony in Geneva may still occur (status unclear)

Read full article from source: BBC