US and Iran sign framework to end war, but Israel keeps fighting in Lebanon and Hormuz shipping stays frozen

The pact and its terms

The United States and Iran signed a memorandum of understanding to end their war, Pakistani Prime Minister Shehbaz Sharif confirmed as mediator. An unclassified text read by a senior US official and published by the White House lays out six paragraphs: an immediate and permanent cessation of military activity on all fronts, including Lebanon (Paragraph 1); mutual respect for sovereignty and non-interference (2); a commitment to negotiate a final agreement within 60 days, extendable by consent (3); a US obligation to begin lifting the naval blockade on Iranian ports immediately and complete it within 30 days, while Iran restores shipping through the Strait of Hormus "in proportion to pre-war traffic" (4); an Iranian pledge to ensure safe passage and to refrain from any disruption of Hormuz shipping (5); and an agreement to establish a joint verification mechanism and to invite the IAEA to participate in technical talks on implementation (6).

Tehran will immediately reopen the Strait of Hormuz, and the US will immediately lift the sea blockade of Iranian ports.

Implementation begins, but on the water little changes

Despite paragraph 4, the Strait remained quiet. The German Shipowners' Association (VDR) said it could not see a significant increase in traffic, with confirmed transits still in "single-digit to low double-digit" territory, versus a normal peacetime average of more than 100 passages a day. Maritime data firm Kpler counted four crossings by early Thursday afternoon, six on Wednesday and 14 on Tuesday; the UN's International Maritime Organization estimated 15 passages on Tuesday. Windward reported seven freighters underway through the strait mid-morning, with additional vessels moving from the Persian Gulf toward the chokepoint.

Hapag-Lloyd, Germany's largest container line, told dpa it is preparing its four chartered ships in the Persian Gulf for a Hormuz transit but "we will only sail once it is safe." The company gave no timeline. The VDR cautioned that even after the waterway reopens, normalisation will take time because insurers must re-adapt and production facilities on the Gulf have been damaged. Around 45 German-owned vessels remain stuck in the region.

Israel pushes back on the Lebanon clause

Only hours after the memorandum was signed, a man was killed and another seriously wounded by an Israeli drone strike on a car in Kfar Tebnit, southern Lebanon, according to the state news agency NNA. The Israeli military confirmed its forces are still operating inside a roughly 10-kilometre-deep security zone south of the Litani River, saying the deployment is justified by "operational requirements".

The troops remain stationed in their assigned area of operations.

Two Israeli officials, one described as a close confidant of Prime Minister Benjamin Netanyahu, told Reuters that Israel is in "stubborn negotiations" with Washington to keep its soldiers south of the Litani and will not budge. The outcome, one source said, hinges on whether President Donald Trump threatens consequences if Israel ignores the pact's demand to guarantee Lebanon's territorial integrity and sovereignty.

Diplomacy and inspections

IAEA Director-General Rafael Grossi said in Geneva that the agency will take part in the negotiations for a final deal and must now clarify which Iranian facilities its inspectors should examine. Technical talks on concrete implementation are about to begin.

Now we need to clarify, among other things, which Iranian facilities should be inspected by the agency's inspectors.

Beijing welcomed the memorandum as "of positive significance for de-escalating the situation and consolidating the ceasefire" and urged all parties to approach the second-phase negotiations with a "rational and pragmatic attitude". China said it would continue to play an active and constructive role.

Reactions and the reconstruction question

President Trump attacked critics of the deal on Truth Social, calling them "jealous, dishonest or stupid" and pointing to rising stock markets and falling oil prices. Some US media had previously accused him of making excessive concessions to Tehran, particularly regarding the nuclear programme.

Security expert Frank Umbach told n-tv that the deal's significance is still unclear and that the Iranian leadership "will keep loopholes open". Reconstruction money flowing into Iran, he warned, would translate into military rearmament of the country. The German Defence Minister said the navy is ready for a Hormuz mission if needed, while the Swiss foreign ministry confirmed it would still hold its scheduled Friday meeting on the Bürgenstock.

Much is still unclear and the Iranian leadership will keep loopholes open.