Trump Calls Iran Deal 'Over' But Keeps Door Open For Talks. What Does He Really Want?

Last Updated:July 08, 2026, 16:08 IST

The apparent contradiction has left diplomats, analysts and markets asking the same question: If the deal is over, what exactly is US policy now?

Three weeks after hailing a US-Iran memorandum of understanding as a breakthrough that could end months of conflict, President Donald Trump on Wednesday declared the agreement “over". Yet, almost in the same breath, he said American negotiators could continue pursuing a broader nuclear agreement with Tehran.

The apparent contradiction has left diplomats, analysts and markets asking the same question: If the deal is over, what exactly is US policy now?

What Really Changed?

The turning point came after attacks on three commercial vessels in the Strait of Hormuz, which Washington blamed on Iran.

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The United States responded with extensive strikes on Iranian military infrastructure, saying the attacks were necessary to protect international shipping. Hours later, the US Treasury also revoked a temporary licence that had allowed Iran to sell crude oil under the June memorandum of understanding, effectively restoring economic pressure on Tehran.

Iran retaliated by launching attacks on US military facilities in Bahrain and Kuwait and warned that any country assisting American military operations could become a legitimate target.

Why Did Trump Say The Deal Is ‘Over’?

A furious Trump was in no mood to mince words. “I think it’s over. I don’t want to deal with them anymore, they’re scum," Trump said at a NATO summit in the Turkish capital Ankara when asked if the truce with Iran was now finished.

“They’re scum, they’re sick people, they’re led by sick people, and they’re vicious, violent people. And if they had a nuclear weapon, they’d use it. As far as I’m concerned, it’s over."

Trump’s comments appear to be directed less at the existence of diplomacy and more at Iran’s compliance with the interim agreement.

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The June memorandum was intended to create a 60-day window during which both sides would avoid major hostilities while negotiating a permanent settlement covering Iran’s nuclear programme, maritime security in the Strait of Hormuz and sanctions relief.

Instead, the ceasefire period saw repeated tit-for-tat exchanges.

From Washington’s perspective, attacks on commercial shipping amounted to a breach of the understanding. By declaring the agreement “over," Trump was signalling that the US no longer considers itself bound by the interim arrangement that had eased sanctions and paused military escalation.

Then Why Continue Negotiating?

This is where Trump’s position becomes more nuanced. Although he dismissed talks as “a waste of time", he stopped short of cancelling them. Instead, he indicated that US negotiators could continue working toward a broader and more permanent agreement.

That reflects a distinction the administration has made since the memorandum was signed.

The June agreement was never intended to be the final peace deal. It was a temporary political framework designed to stop the fighting and create space for negotiations on more complex issues, including Iran’s nuclear programme and long-term security arrangements in the Gulf.

In other words, Trump appears to be saying that the interim rules no longer apply, but diplomacy itself is not necessarily finished.

What Does Trump Actually Want?

Trump’s recent statements suggest four immediate objectives.

• Restore deterrence: By resuming military strikes and ending sanctions relief, Washington is signalling there will be consequences for attacks on international shipping.

• Increase economic pressure: Revoking Iran’s oil licence deprives Tehran of one of the key economic benefits offered under the interim deal.

• Keep diplomatic leverage: Rather than abandoning negotiations altogether, the administration appears to be using military and economic pressure to seek stronger concessions in future talks.

• Prevent a wider war: Despite his rhetoric, Trump has repeatedly said he would prefer a negotiated settlement to prolonged conflict, arguing earlier this week that the US would either “make a deal or finish the job".

Why Hasn’t Washington Walked Away Completely?

Several practical considerations explain why diplomacy remains alive.

According to The Guardian, a prolonged conflict risks disrupting global energy supplies through the Strait of Hormuz, pushing up oil prices and inflation at a politically sensitive time.

The attacks have already sent Brent crude sharply higher and complicated efforts to stabilise global markets.

There is also the unresolved issue of Iran’s nuclear programme. Without negotiations, Washington would have few alternatives beyond continued sanctions or military action to limit Tehran’s nuclear capabilities.

Keeping negotiators engaged preserves at least a pathway to a broader agreement.

What Happens To The June Memorandum Now?

Practically speaking, several key elements of the memorandum have already been dismantled.

The United States has revoked the sanctions waiver that allowed Iranian oil exports. Military operations have resumed and both sides accuse each other of violating the agreement.

Yet, diplomats from mediator countries, particularly Qatar and Pakistan, are expected to continue efforts to salvage negotiations toward a longer-term settlement.

What Does This Mean For Israel?

Trump’s remarks will also be closely watched in Jerusalem.

Israel has long been sceptical of negotiations with Iran, arguing that Tehran uses diplomacy to buy time while advancing its military and nuclear capabilities.

By declaring the interim agreement “over", Trump may have reassured Israeli leaders that Washington is prepared to return to a harder line if negotiations fail.

At the same time, his refusal to completely shut the door on diplomacy suggests the White House still hopes to achieve through negotiations what military action alone cannot: a durable agreement limiting Iran’s nuclear programme while reducing the risk of another regional war.

About the Author

Apoorva Misra

Apoorva Misra is a News Editor at News18.com with a keen interest in politics and current affairs. She loves uncovering fresh angles and telling stories through long-form features and explainers. Foll...Read More

News explainers Trump Calls Iran Deal 'Over' But Keeps Door Open For Talks. What Does He Really Want?

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