Trump rejects Iran’s seven-day Hormuz plan, keeping key trade route in limbo

Iran has proposed a seven-day plan to reopen the Strait of Hormuz and restore normal maritime traffic, but reports say US President Donald Trump has rejected the proposal, leaving the key shipping route at the centre of the conflict.
The developments are being closely watched in the UAE, where any prolonged disruption around Hormuz could have implications for fuel prices, flights, shipping, trade and the cost of imported goods.
The UAE has also suspended flights operated by Iranian airlines to and from the country until further notice, although UAE airports remain operational.
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Iranian Foreign Minister Abbas Araghchi said Tehran had sent Washington a concrete seven-day proposal through Qatar.
Under the reported plan, Iran would reopen the Strait of Hormuz and restore normal maritime passage within seven days if the US agrees to a series of conditions.
The proposal reportedly includes:
A seven-day cessation of hostilities across the region, including Lebanon
An end to the US naval blockade of Iranian ports
The release of at least $12 billion in frozen Iranian assets
The lifting of sanctions on Iranian oil
The reopening of the Strait of Hormuz on the seventh day
The resumption of negotiations on Iran's nuclear programme
Araghchi said the plan could begin as soon as Washington accepts it, adding that Tehran would not accept coercion or threats.
However, The Wall Street Journal reported that Trump had rejected the proposal, citing US officials familiar with the matter.
Separately, Iranian President Masoud Pezeshkian told CBS News that Iran would allow UN nuclear inspectors to return to the country.
Asked whether International Atomic Energy Agency (IAEA) inspectors would be permitted to enter Iran, Pezeshkian said that was correct.
He added that Tehran could negotiate arrangements for inspections as part of wider talks. The issue could become significant if diplomatic efforts lead to renewed negotiations over Iran's nuclear programme.
The regional security situation also remains a concern for Saudi Arabia.
The Saudi-led coalition said its air defences intercepted and destroyed two Houthi drones headed towards Riyadh.
The coalition later said it intercepted and destroyed a ballistic missile launched towards Khamis Mushait.
Saudi Defence Minister Prince Khalid bin Salman also said he met Pakistan's Chief of Army Staff and Chief of Defence Forces Field Marshal Asim Munir following talks between the countries' military chiefs under the Mecca Joint Defence Agreement.
The two sides discussed attacks targeting Mecca and Saudi Arabia's civilian and economic infrastructure.
Oman’s Foreign Minister Badr Albusaidi and his Iranian counterpart Abbas Araghchi discussed regional developments and efforts to ensure safe navigation through the Strait of Hormuz on the sidelines of the UN General Assembly in New York.
According to Oman’s Foreign Ministry, the talks focused on easing regional tensions, building trust and ensuring freedom of passage through the strategic waterway to support international trade and energy supplies.
Meanwhile, US Central Command said it had redirected 122 commercial vessels as part of measures to enforce the US blockade of Iran.
The move highlights the continuing uncertainty surrounding commercial shipping and the importance of the Strait of Hormuz to regional and global trade.
The Strait of Hormuz is one of the world's most important energy shipping routes.
Any prolonged disruption could affect oil prices, shipping costs, insurance, trade and imported goods.
For UAE residents, the main areas to watch are:
Fuel prices: Changes in global oil prices can eventually affect petrol and diesel prices in the UAE.
Shipping and deliveries: Prolonged disruption around Hormuz could increase freight, insurance and transportation costs, potentially affecting imported goods.
Food and other imports: Higher shipping and logistics costs could eventually feed into the prices of imported goods, although the impact will depend on the duration and scale of any disruption.
Financial markets: Oil-price movements and regional uncertainty can affect currencies, shares, borrowing costs and investment markets.
The aviation impact is also extending beyond the UAE.
Najaf International Airport suspended flights to and from Iran from September 25 until further notice. Reuters also reported that other Iraqi airports suspended Iranian flights amid new US restrictions affecting Iranian aviation.
UAE airports remain operational, but the recovery of international airline services remains uneven.
The UAE General Civil Aviation Authority suspended flights operated by Iranian airlines to and from the UAE from September 24 until further notice.
Several international airlines have also suspended or reduced Dubai services.
Current published schedules include:
Air France: Dubai services suspended through October 13
Wizz Air: Dubai expected to resume October 25; Abu Dhabi October 27
Singapore Airlines: Dubai services suspended through October 24
KLM: Dubai services suspended through October 24
ITA Airways: Dubai services suspended through October 24
SWISS: Dubai services suspended through October 24
Eurowings: Dubai services suspended through October 24; currently scheduled to resume November 1
Air Canada: Dubai flights cancelled until mid-January 2027
Philippine Airlines: Manila-Dubai service scheduled to resume October 2, initially four times weekly
Turkish Airlines: Dubai and Abu Dhabi services have resumed, while Tehran flights remain suspended
These dates remain subject to operational and security conditions.
Travel advice: Residents travelling in the coming days should check directly with their airline and airport before leaving for the airport.
The immediate focus for UAE residents is on flights, fuel, shipping and the cost and availability of imported goods.
A reopening of the Strait of Hormuz could ease pressure on energy and shipping markets. Continued disruption, however, could prolong uncertainty for airlines, shipping companies and businesses that rely on imports.
For now, UAE airports remain operational, but residents travelling or awaiting shipments should expect schedules and transport conditions to remain subject to change.
The reported rejection of Iran's seven-day Hormuz proposal leaves the strategic waterway at the centre of the wider US-Iran conflict.
While diplomatic efforts continue, there is no confirmed agreement under the proposed plan to reopen the Strait of Hormuz.
For UAE residents, the most immediate developments to monitor are airline schedules, Iranian flight restrictions, fuel prices, shipping conditions and the potential impact on imported goods.