President Donald Trump said on Wednesday that he believes the memorandum of understanding (MoU) between the United States and Iran is "over", casting fresh uncertainty over ongoing peace efforts after both sides accused each other of violating the agreement following renewed military exchanges.
The comments came after the United States carried out strikes on Iranian targets in response to attacks on commercial vessels in the Strait of Hormuz, with Iran later announcing retaliatory strikes on US military sites in Bahrain and Kuwait.
The latest developments have raised new questions over the future of negotiations that began under the June MoU, with both governments blaming the other for undermining the agreement.
Speaking at the NATO summit in Ankara, Trump said he believed the MoU was no longer viable, although he added that he "might" allow negotiators to continue discussions while personally viewing further talks as "a waste of time".
The MoU established a 60-day negotiation process aimed at ending hostilities while restoring commercial shipping through the Strait of Hormuz and easing restrictions on Iranian oil exports.
Iranian officials said repeated US military operations during the negotiation period had damaged trust in the process.
Foreign Minister Abbas Araghchi said the US strikes had "rendered key, fundamental elements of the war-ending agreement ineffective", while Foreign Ministry spokesman Esmaeil Baghaei accused Washington of violating the agreement through "unilateral actions and aggressive attacks against Iran".
Parliament Speaker Mohammad Ghalibaf also described the strikes and renewed sanctions as major violations of the MoU.
The United States said its strikes targeted Iranian military infrastructure after attacks on three commercial vessels in the Strait of Hormuz.
Washington also reimposed sanctions on new Iranian oil sales, ending the temporary waiver introduced under the June agreement.
Iran's Islamic Revolutionary Guard Corps said it launched retaliatory strikes against US military targets in Bahrain and Kuwait and claimed to have destroyed military installations and downed an MQ9 drone.
UN Secretary-General Antonio Guterres called on all parties to exercise maximum restraint, avoid further escalation and resume dialogue.
India also urged restraint and called for the protection of civilians, energy supplies and international commerce.
Meanwhile, Bahrain, Kuwait, Qatar, Oman, the United Arab Emirates, Egypt and the Gulf Cooperation Council condemned Iran's attacks on Bahrain and Kuwait, warning that continued escalation threatens regional security and stability.