US President Donald Trump said on Sunday Iran could telephone if it wants to negotiate an end to their two-month war and stressed it can never have a nuclear weapon, after Tehran said the US should remove obstacles to a deal, including its blockade of Iran's ports.

Hopes of reviving peace efforts receded on Saturday when Trump scrapped a visit to Islamabad by his envoys Steve Witkoff and Jared Kushner. Iranian Foreign Minister Abbas Araqchi shuttled to and from mediators Pakistan and Oman on Sunday before heading to Russia, where he is due to meet President Vladimir Putin.

Oil prices rose, the dollar inched higher and US stock futures wobbled lower in early Asia trade on Monday after the peace talks stalled, leaving Gulf shipping blocked.

"If they want to talk, they can come to us, or they can call us. You know, there is a telephone. We have nice, secure lines," Trump told "The Sunday Briefing" on Fox News.

"They know what has to be in the agreement. It's very simple: They cannot have a nuclear weapon, otherwise there's no reason to meet," Trump said.

Axios reported on Sunday, citing an unnamed US official and two sources with knowledge of the matter, that Iran gave the US a new proposal through Pakistani mediators on reopening the Strait of Hormuz and the ending of the war, with nuclear negotiations postponed for a later stage. The US State Department and White House did not immediately respond to requests for comment on the report.

Iran has long demanded Washington acknowledge its right to enrich uranium, which Tehran says it only seeks for peaceful purposes, but which Western powers say is aimed at building nuclear weapons.

Although a ceasefire has paused full‑scale fighting in the conflict, which began with US-Israeli strikes on Iran on February 28, no agreement has been reached on terms to end a war that has killed thousands, driven up oil prices, fuelled inflation and darkened the outlook for global growth.

TRUMP FACES DOMESTIC PRESSURE TO END WAR

With his approval ratings falling, Trump faces domestic pressure to end the unpopular war. Iran's leaders, though weakened militarily, have found leverage in negotiations with their ability to stop shipping in the economically vital Strait of Hormuz, which normally carries a fifth of global oil shipments.

Tehran has largely closed the strait while Washington has imposed a blockade of Iranian ports.

Before heading to Russia, Araqchi returned to Islamabad after holding talks on Sunday in Oman.

Iranian state media said Araqchi discussed security in the strait with Omani leader Haitham bin Tariq al-Said and called for a regional security framework free of outside interference.

Araqchi said on X that the focus of his Oman talks "included ways to ensure safe transit that is to benefit of all dear neighbors and the world."

Iran's semi-official Tasnim news agency said topics for Araqchi's talks with Pakistani officials included "implementing a new legal regime over the Strait of Hormuz, receiving compensation, guaranteeing no renewed military aggression by warmongers, and lifting the naval blockade."

Iran's envoy in Russia, Kazem Jalali, said in a post on X that Araqchi would meet with Putin "in continuation of the diplomatic jihad to advance the country's interests and amid external threats."

"Iran and Russia are present in a united front in the campaign of the world's totalitarian forces against independent and justice-seeking countries, as well as countries that seek a world free from unilateralism and Western domination," Jalali said.

On Saturday, Trump said he cancelled his envoys' visit due to too much travel and expense for what he considered an inadequate Iranian offer. Iran "offered a lot, but not enough," he said.

Iranian President Masoud Pezeshkian told Pakistani Prime Minister Shehbaz Sharif by phone on Saturday that Tehran would not enter "imposed negotiations" under threats or blockade, an Iranian statement said.

He said the United States should first remove obstacles, including its maritime blockade, before negotiators could begin laying the groundwork for a settlement.

US AND IRAN HAVE EXTENSIVE DISAGREEMENTS

Disagreements between the US and Iran extend beyond Tehran's nuclear program and control of the strait.

Trump wants to limit Iran's support for its regional proxies, including Hezbollah in Lebanon and Hamas in Gaza, and curb its ability to strike US allies with ballistic missiles. Iran wants sanctions lifted and an end to Israeli attacks on Hezbollah.

After the latest diplomatic trip was called off, two US Air Force C-17s carrying security staff, equipment and vehicles used to protect US officials flew out of Pakistan, two Pakistani government sources told Reuters on Sunday.

Trump said on Saturday there was "tremendous infighting and confusion" within Iran's leadership.

Pezeshkian said last week there were "no hardliners or moderates" in Tehran and that the country stood united behind its supreme leader.

The war has destabilised the Middle East. Iran has struck its Gulf neighbours and conflict between Israel and Iran-backed Hezbollah in Lebanon has been reignited.

In Lebanon, Israeli strikes killed 14 people and wounded 37 on Sunday, the health ministry said.



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