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US Iran Talks Raise Hopes for Breakthrough as War Continues

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The United States and Iran held their first indirect diplomatic talks in months on Wednesday, raising hopes of progress towards ending the Middle East war, although neither side indicated that it had changed its position.

Iranian Foreign Minister Abbas Araqchi communicated with US envoys Steve Witkoff and Jared Kushner through mediators on the sidelines of the UN General Assembly in New York. It was the first such contact since an interim ceasefire agreement collapsed in July.

US President Donald Trump said the discussions were productive and suggested there was growing momentum towards a possible agreement. Iran, however, said it had presented conditions including an end to the war on all fronts and a halt to what it described as US aggression.

Iranian officials clarified that Araqchi and Witkoff did not meet face to face. Araqchi instead held talks with Qatar’s Prime Minister Sheikh Mohammed bin Abdulrahman Al Thani, who has played a central role in previous mediation efforts.

The diplomatic contact came after months of fighting and failed negotiations. Trump told the UN General Assembly that he faced a choice between reaching an agreement with Iran and taking further military action.

The talks have also faced opposition from Iranian hardliners. Iranian sources said Tehran’s delegation had been instructed not to hold direct meetings with the US side. A commentary by semi official Tasnim news agency criticised Araqchi’s contacts with Witkoff and Kushner.

The diplomatic opening helped keep oil prices near two week lows, with Brent crude trading around $100 a barrel. However, disruption around the Strait of Hormuz continues to affect global energy supplies.

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The war, which began nearly seven months ago, has killed thousands, disrupted oil and gas shipments and expanded into other parts of the region. Britain’s maritime security agency said a cargo ship was recently hit by projectiles in the Strait of Hormuz, killing two crew members and forcing an evacuation.

Despite continued attacks, shipping through the strategic waterway has increased. Gulf producers have resorted to paying higher shipping costs and using alternative arrangements to move crude.

The Strait of Hormuz previously carried about a fifth of global oil and liquefied natural gas supplies. Disruptions have reduced global availability of Gulf oil and contributed to higher prices for refined products such as diesel, adding to inflation and economic pressure.

Trump has again suggested the war could end around the time of the November US midterm elections, although he has not provided details on how such an outcome would be achieved.

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