Iran demands US lift sanctions ahead of Hormuz talks

Iran handed the United States a list of demands on Saturday, tying any easing of tensions in the Strait of Hormuz to broader U.S. concessions. Mohammad Bagher Zolghadr, secretary of Iran’s Supreme National Security Council, set out the conditions after talks this week in Muscat, Oman, with Omani mediators. The Strait of Hormuz carries about a fifth of the world’s seaborne oil, roughly 21 million barrels a day, so even a small disruption sends global prices soaring.

The move comes after months of escalating threats and near-misses in the Gulf. Iran has repeatedly seized or harassed commercial ships in response to U.S. sanctions and the Biden administration’s support for Israel. In April, Iran’s Revolutionary Guard seized an Israeli-linked container ship in the Strait, and in June it struck oil tankers linked to a London-based firm. The U.S. has responded with more sanctions and stepped-up naval patrols, but neither side has backed down.

Zolghadr did not release the list but Iranian officials told Reuters it includes demands for an end to U.S. sanctions on Iran’s oil exports, the release of frozen Iranian funds held abroad, and guarantees Washington will not reimpose penalties after any temporary easing. The U.S. has so far refused to lift sanctions without Iranian concessions on its nuclear program and regional behavior. Oman, which has long hosted backchannel talks, is trying to broker a limited deal that would reopen the Strait while keeping broader issues off the table.

If Iran’s demands are rejected, the talks could collapse just as regional tensions rise. A wider conflict would threaten the Strait’s flow of oil and push up prices at a time when the global economy is already fragile. The U.S. may offer temporary relief on sanctions or a prisoner swap to keep the channel open, but it is unlikely to meet Iran’s broader demands without guarantees on nuclear restraint. Either way, the Strait’s security remains a flashpoint that could shape oil markets and Middle East stability for months.