US President Donald Trump has flatly rejected Iran’s response to Washington’s latest peace proposal, declaring the terms “totally unacceptable” and deepening fears of a wider conflict that sent oil prices surging toward triple digits in early Asian trade on Monday.
Tehran submitted its counteroffer to American mediators on Sunday, warning that it would retaliate against any fresh US strikes and demanding an end to the presence of foreign warships in the Strait of Hormuz, where Iran has already imposed a partial blockade.
Trump, responding swiftly via his Truth Social platform, left little room for diplomatic ambiguity.”I have just read the response from Iran’s so-called ‘Representatives.’ I don’t like it — TOTALLY UNACCEPTABLE!” he wrote.Global energy markets reacted immediately.
International benchmark Brent crude climbed 4.65 percent to $99.95 a barrel, while US benchmark West Texas Intermediate surged more than 4 percent to $105.50, as investors braced for further disruptions to Gulf shipping lanes.
The breakdown in talks comes nearly three months after Israel and the United States launched joint strikes on Iran on February 28, opening a conflict that has since drawn in Lebanon, where Israeli forces continue to battle Iran-backed Hezbollah. Israeli Prime Minister Benjamin Netanyahu, speaking to CBS’s 60 Minutes, made clear he sees no path to peace while Iran retains nuclear capabilities.
“It’s not over, because there’s still nuclear material — enriched uranium — that has to be taken out of Iran. There are still enrichment sites that have to be dismantled,” Netanyahu said.Iranian President Masoud Pezeshkian echoed the defiance from Tehran’s side, posting to X on Sunday: “We will never bow down to the enemy, and if there is talk of dialogue or negotiation, it does not mean surrender or retreat.
“According to state broadcaster IRIB, Iran’s response — passed through Pakistani mediators — centres on ending hostilities across all fronts, particularly in Lebanon, and securing freedom of navigation in Gulf waters.
The US proposal had reportedly sought an extended ceasefire in the Gulf as a basis for broader negotiations, including on Iran’s contested nuclear programme.With diplomacy stalling, Trump is expected to raise the Iran file directly with Chinese President Xi Jinping during a visit to Beijing on Thursday.
As a major buyer of Iranian oil, Beijing’s leverage over Tehran could prove pivotal — though whether Washington can extract meaningful concessions from China on the issue remains deeply uncertain.
