Trump says ceasefire is 'over' after US and Iran trade strikes

July 8, 2026

President Trump has declared the ceasefire agreement with Iran "over" following renewed military exchanges between the two nations. The US launched strikes after Iran attacked three tankers in the Strait of Hormuz, prompting Iranian retaliation against American military installations in Bahrain and Kuwait. Trump harshly criticized Iranian leadership and expressed little interest in continuing diplomatic negotiations, though he indicated his envoys could proceed if they wished.

Who is affected

President Donald Trump and US military forces
Iranian leadership, including parliamentary speaker Mohammad Bagher Ghalibaf
US negotiators Steve Witkoff and Jared Kushner
Nato chief Mark Rutte and Nato member states
Commercial shipping vessels and tankers operating in the Strait of Hormuz
Iranian civilians affected by US strikes
US military personnel stationed in Bahrain and Kuwait targeted by Iranian strikes
Global oil markets and consumers affected by price increases

What action is being taken

The US has launched strikes in response to Iranian attacks on tankers
Iran is targeting US military sites in Bahrain and Kuwait in retaliation
The US has revoked its temporary suspension of sanctions on Iranian oil sales
Funeral ceremonies for the late Ayatollah Ali Khamenei are taking place in Iraq on Wednesday
Oil prices are jumping in response to Trump's comments

Why it matters

This represents a complete breakdown of the fragile peace agreement signed just weeks earlier in June, threatening to return the region to full-scale conflict. The collapse of negotiations eliminates hopes for a permanent resolution and safe commercial passage through the strategically vital Strait of Hormuz, through which significant global oil supplies transit. The escalation creates economic uncertainty with rising oil prices, endangers military personnel and civilians in the region, and undermines international efforts to maintain stability in the Middle East.

What's next

The final funeral rites and burial for Ayatollah Ali Khamenei are set for Mashhad in north-east Iran on Thursday. Trump indicated he would speak to his negotiators (Steve Witkoff and Jared Kushner) about whether they want to continue negotiations, though it is unclear when or if talks will resume following the latest round of strikes.

Read full article from source: BBC