US-Iran ceasefire: Trump warns Iran as US blockade on ports takes effect; new peace talks loom

US-sanctioned tankers have continued to pass through the Strait of Hormuz despite a reported US blockade, shipping data shows.

A Chinese-owned tanker, Rich Starry, crossed the chokepoint on Tuesday, becoming the first vessel to transit the strait since the blockade began, according to LSEG, MarineTraffic and Kpler data.

The vessel, previously sanctioned by the US for dealings with Iran, was carrying around 250,000 barrels of methanol loaded from the UAE, the data indicated. Another sanctioned tanker, Murlikishan, was also seen heading into the strait, with reports suggesting it is expected to load fuel oil in Iraq later this month.

Iran has reportedly proposed suspending uranium enrichment for up to five years, a move rejected by the United States, which is said to have pushed for a 20-year freeze, according to The New York Times, citing senior Iranian and US officials.

The report added that both sides exchanged proposals during recent talks in Pakistan aimed at curbing Iran’s nuclear activity, but remain far apart on reaching an agreement.

However, BBC reporting suggests discussions are continuing, with indications that a potential path toward a peace deal could still exist, including the possibility of a second round of face-to-face talks. There has been no official confirmation of the reported proposal.

China’s exports grew 2.5% in March from a year ago, significantly slowing from the previous two months as uncertainties rose from the Iran war and its impact on energy prices and global demand.

The March export data released by China’s customs agency Tuesday missed analysts’ estimates and was sharply down from the 21.8% export growth recorded for January and February.

Technology-related exports including a jump in shipments of semiconductors from China on the global artificial intelligence boom have powered its robust exports in early 2026, but economists say impacts from the prolonged Iran war could affect overall global demand for Chinese exports this year.

Trump has issued a stark warning to Iran over the future of the ongoing ceasefire, saying the consequences of failing to reach a deal would be severe while reiterating that Tehran will not be allowed to develop a nuclear weapon.

Answering questions on what would happen if no agreement is reached by the end of the ceasefire, Trump said, "I don't want to comment on that, but it won't be pleasant for them. Right now, there is no fighting. Right now, we have a blockade. They are doing no business... So now Iran is doing absolutely no business. And we are going to keep it that way very easily. Their Navy is gone, their Air Force is gone, their radar is gone, and their leaders are gone. It's a lot."

He further underscored Washington's position on Iran's nuclear ambitions, stating, "Iran will not have a nuclear weapon... If they don't agree, there is no deal... There will never be a deal. Iran will not have a nuclear weapon, and we are going to get the dust back; either we will get it back from them, or we will take it."

Israel’s military says a reserve soldier was killed and three others wounded in fighting in southern Lebanon.

The military said late Monday that the reservist killed was a firefighting vehicle driver.

The death brought the number of Israeli soldiers killed in the current war in Lebanon to 13.

Iran has slammed a US blockade around its ports as a "grave violation" of its sovereignty, as Washington and Tehran's belligerent rhetoric rattled a fragile truce. The US Navy's blockade of Iran started at 6pm Gulf Standard Time on Monday, 10am EST.

Pakistan has proposed hosting a second round of talks between the United States and Iran in Islamabad in the coming days, before the end of the ceasefire, two Pakistani officials said.

The officials, who spoke on condition of anonymity because they were not authorised to discuss the matter with the press, said the proposal would depend on whether the parties request a different location.

One of the officials said that, despite ending without an agreement, the first talks were part of an ongoing diplomatic process rather than a one-off effort.

Vice President JD Vance said in an interview with FOX News Channel’s “Special Report” that negotiations “did make some progress” in the Islamabad talks on the US insistence on the removal of nuclear material from Iran as well as a mechanism to ensure uranium cannot be enriched in the future.

“They moved in our direction,” Vance said in the interview. He said he thought Iranian negotiators were “unable to cut a deal” and needed to get approval from others in Tehran.

Vance also said that US negotiators made clear that Trump “would be very happy if Iran was treated like a normal country, if it had a normal economy,” but he did not go into details about what he meant.

“There really is, I think, a grand deal to be had here. But, it’s up to the Iranians, I think, to take the next step,” Vance said.

The White House was not responsive to queries about whether new talks were being weighed.

“President Trump, Vice President Vance and the negotiating team have made the US red lines very clear. The Iranians desperation for a deal will only increase with President Trump’s highly effective Naval blockade now in effect,” White House press secretary Karoline Leavitt said.

The United States and Iran are in active discussions about holding another round of face-to-face negotiations aimed at securing a longer-term ceasefire and preventing renewed conflict after recent talks in Pakistan ended without a deal, Bloomberg reported, citing "people familiar with the matter".

Saudi Arabia said it has restored full pumping capacity through its East-West pipeline to the Red Sea, along with output from the Manifa field, Trading Economics reported.

Brent, the North Sea crude oil benchmark, pared earlier gains made on Monday, dropping to $98.09 as of 7.19 am (Tokyo).

Oil futures cut gains WTI crude oil futures were up less than 2% at nearly $98 per barrel early on Tuesday in Asia, cutting gains of up to 9% from the Monday session as investors hoped that a deal would eventually be reached between the US and Iran.

Failure of the Iran-US talks to strike a deal prompted Washington to announce a blockade targeting Iranian oil shipments. Trump later stated that Iran had "reached out" and is now seeking to resume negotiations. A report from OPEC+ showed the group's output declined 7.9 million barrels per day in March due to the closure of the Strait.

Diplomatic channels between the US and Iran have not completely shut down, and there remains a possibility of further direct negotiations, even as the situation in the Gulf grows more tense, officials said. US media reports indicate leaders on both sides have left the door open to a potential second round of in-person talks after recent face-to-face discussions in Islamabad failed to produce an deal.

Mediators are also urging both sides to keep talking, even as US President Donald Trump has taken an increasingly hard line, including the announcement of the US Navy would begin a naval blockade of Iran’s ports and the strategic Strait of Hormuz, aiming to stop Iranian oil exports and pressure Tehran. Trump warned that any Iranian “fast-attack” or other naval vessels that approach or threaten the blockade could be “eliminated,” drawing parallels to US operations against drug-smuggling boats at sea.

His Majesty King Hamad bin Isa Al Khalifa, Supreme Commander of the Armed Forces of Bahrain, received Admiral Charles Bradford "Brad" Cooper II, the Commander of the US Central Command, and an accompanying delegation.

King Hamad commended the key and active role played by the United States of America alongside allied countries in strengthening regional and global security and stability.

Sheikh Abdullah bin Zayed Al Nahyan, Deputy Prime Minister and Minister of Foreign Affairs, has discussed regional developments during telephone conversations with several foreign ministers of brotherly and friendly nations, following the unprovoked and terrorist Iranian missile attacks against the UAE and a number of countries in the region.

Day 45: US, Iran discuss 'another round' of direct talks

Day 44: US to begin 'blockade' of Iranian ports on Monday

Day 43: 3-way talks with the US and Iran begin in Pakistan

Day 42: Trump says Iran has 'no cards' as Vance heads for talks

Day 41: Kuwait condemns drone attacks, US warns vs Hormuz toll

Day 40: Trump agrees to suspend attack on Iran by two weeks

Day 39: UAE, Qatar on alert as Trump's deadline nears

Day 38: Iran and US receive draft proposal for war ceasefire

Day 37: Second F-15E crew member rescued in Iran

Day 36: Trump warns Iran: 48 hours or all hell will reign down

Day 35: Trump seeks $1.5t defence budget as war intensifies

Day 34: UN chief warns world on 'edge of a wider war'

Day 33: Trump says US to hit Iran 'extremely hard'

Day 32: Debris hits several homes in Dubai, 4 injured

Day 31: Trump threatens to obliterate Iran's Kharg island