U.S. President Donald Trump has signed a memorandum of understanding between the United States and Iran aimed at ending the conflict between the two countries and laying the groundwork for a broader peace agreement.
Trump signed the document on Wednesday, June 17, shortly before attending a dinner hosted by French President Emmanuel Macron at the Palace of Versailles in France.
The development was announced by White House Deputy Chief of Staff Dan Scavino, who shared a video of the signing on X after the U.S. president departed the venue.
According to Scavino, Trump signed the memorandum after receiving it through U.S. Secretary of State Marco Rubio, describing the moment as a significant milestone in diplomatic efforts to ease tensions between Washington and Tehran.
Iranian President Masoud Pezeshkian also signed the agreement in Tehran on the same day, while U.S. Vice President JD Vance is expected to formally endorse the deal during a ceremony scheduled to take place in Geneva on Friday.
Reacting to the development, Iran’s chief negotiator, Mohammad Bagher Ghalibaf, described the agreement as evidence of what he called a failure of U.S. policy, saying history would ultimately judge its outcome.
President Trump, however, defended the deal, arguing that it was necessary to avert a major global economic crisis. He maintained that the agreement would help stabilize international markets and ensure safe passage through the strategically important Strait of Hormuz.
Senior U.S. administration officials said the memorandum includes provisions aimed at preventing Iran from acquiring nuclear weapons, including discussions on reducing its stockpile of highly enriched uranium.
The agreement also outlines several economic incentives for Iran, including the lifting of a U.S. naval blockade on Iranian ports, waivers for crude oil exports, the potential removal of international sanctions, the release of frozen Iranian assets, and plans for a $300 billion reconstruction fund supported by Gulf partners.
In return, Iran is expected to restrain allied groups in the region, including Hezbollah in Lebanon, and reaffirm its commitment not to pursue the development of nuclear weapons.
The memorandum further provides for toll-free passage of vessels through the Strait of Hormuz for an initial 60-day period. However, Ghalibaf indicated that Iran intends to introduce transit fees after the expiration of that arrangement, insisting that the country has sovereign rights over the strategic waterway.
Speaking in an interview on Iranian state television, he stated that the Strait of Hormuz would not return to its pre-war status and suggested that future maritime traffic through the route could be subject to service charges.
The agreement is expected to undergo further diplomatic processes in the coming days as both countries move toward implementing its provisions.