US-Iran ceasefire deal: What are the terms, and what’s next?

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A two-week ceasefire between the United States and Iran has halted 40 days of US-Israeli attacks on Iran that had pushed the region to the brink of a wider war.

The truce, brokered by Pakistan, follows fierce exchanges of air strikes, missile attacks and threats that saw unprecedented strikes on Gulf nations, disrupted global shipping routes and heightened fears of a prolonged confrontation.

What has the US agreed to?

Under the terms of the ceasefire, the United States has agreed to halt its military strikes on Iran for an initial two-week period, claiming all of Washington’s military objectives had been “met” and Iran had agreed to the “complete, immediate and safe opening” of the Strait of Hormuz.

The strait is a key passageway for one-fifth of the world’s oil and gas, which Tehran in effect closed in retaliation for the US-Israeli war launched on February 28.

Moreover, Trump said the US has received a 10-point proposal from Iran, which he called a “workable basis on which to negotiate”.

“Almost all of the various points of past contention have been agreed to between the United States and Iran, but a two-week period will allow the Agreement to be finalised and consummated,” he said on his social media platform Truth Social.

An Iranian man holds up picture of Iranian supreme leader Ayatollah Mojataba Khamenei as others react to a ceasefire announcement at the Enqelab square, in Tehran, on April 8 2026.

While the full 10-point plan has not been made public, Al Jazeera’s Diplomatic Editor James Bays has reported that it includes the following:

Fundamental commitment to non-aggression from the US.
Controlled passage through the Strait of Hormuz in coordination with the Iranian armed forces, which in effect would mean that Iran retains its leverage over the waterway.
An acceptance of Iran’s nuclear enrichment programme.
The lifting of all primary and secondary sanctions and resolutions against Iran.
End of all resolutions against Iran at the International Atomic Energy Agency.
End of all resolutions against Iran the United Nations Security Council.
The withdrawal of US combat forces from all bases in the region.
Full compensation for damages suffered by Iran during the war — to be secured through payments to Iran by ships passing through the Strait of Hormuz.
The release of all Iranian assets and properties frozen abroad.
The ratification of all these matters in a binding UNSC resolution.

But Trump insisted in comments to the AFP news agency that Iran’s nuclear stockpile ⁠⁠would be “taken care of” in any peace deal.

“That ⁠⁠will be perfectly taken care ⁠⁠of, or I wouldn’t have settled,” Trump told AFP. Iran insists it is not seeking to build nuclear weapons, but says it is willing to negotiate limits on its nuclear activities in return for sanctions relief.

Later, in an interview with Sky News, Trump seemed to suggest that the 10-point plan that Iranian officials have formally leaked are different from the ones actually under negotiation.

“They’re very good points — and most of them have been fully negotiated,” he told Sky News. “They’re not the maximalist demands that Iran is claiming.”

“If it [negotiations from here on] isn’t good, we’ll go right back to it [fighting] very easily,” the US president added.

Since the ceasefire announcement, neither the US leader nor his administration has made any mention of key sticking points mentioned in the 10-point plan, including lifting of US sanctions, releasing frozen Iranian assets, continued control over the Strait of Hormuz or withdrawing US military forces from the region.

Interestingly, the US also made no mention of Iran’s ballistic missile capabilities, a major feature in Iran’s retaliation against US and Israeli forces. Previously, Washington had demanded that Iran curb or severely dismantle its ballistic missile programme.

Iran has made clear that its missile programme is not up for discussion.

What has Iran agreed to?

Iran has accepted the ceasefire on the condition that US and Israeli attacks stop, agreeing to pause its own retaliatory strikes during the two-week window.

“If attacks against Iran are halted, our Powerful Armed Forces will cease their defensive operations,” Iranian Foreign Minister Abbas Araghchi posted on X.

Later on Wednesday, pro-Iran armed factions in Iraq also declared a two-week cessation of their attacks on “enemy bases” in the region.

Araghchi confirmed Trump’s claims of providing safe passage to ships through the Strait of Hormuz for 14 days, adding that the resumption of activities along the strait will take place in coordination with Iranian armed forces.

The ceasefire plan also allows for both Iran and Oman to charge fees on ships transiting through the water passageway, AP news agency reported, quoting an unnamed regional official.

According to the official, the toll charged by Iran would be used for the reconstruction of the country.

What has Israel agreed to?

While Israel endorsed the Pakistani-brokered ceasefire with Iran, Prime Minister Benjamin Netanyahu said it would not extend to its fighting with the Lebanese-armed group Hezbollah, or Israel’s invasion of southern Lebanon.

Netanyahu’s comments seemed to contradict Pakistani Prime Minister Shehbaz Sharif’s claims, who said the ceasefire included a halt to Israel’s attacks on Lebanon.

On Wednesday morning, the Israeli army continued its strikes in the country, issuing a new evacuation order for a building near the southern city of Tyre.

A man assesses the damage at the site of an overnight Israeli airstrike in Sidon, southern Lebanon, on April 8, 2026.

Lebanon was drawn into the US and Israel’s war on Iran on March 2 after Tehran-aligned Hezbollah launched attacks on Israel.

Hezbollah said the attacks were in retaliation for Israel’s killing of Iran’s Supreme Leader Ayatollah Ali Khamenei on the first day of the war, on February 28, as well as Israel’s near-daily violations of a ceasefire it agreed to in Lebanon in November 2024.

At least 1,497 people have been killed since the war erupted, including 57 health workers, Lebanese authorities say.

What happens next?

The immediate next step is the start of negotiations in Islamabad, where US and Iranian officials are expected to meet under Pakistani mediation.

“I warmly welcome the sagacious gesture and extend deepest gratitude to the leadership of both the countries and invite their delegations to Islamabad on Friday, 10th April 2026, to further negotiate for a conclusive agreement to settle all disputes,” Pakistani PM Sharif said.

Iran expert Trita Parsi said the potential talks in Islamabad could fail, “but the terrain has shifted”.

“Trump’s failed use of force has blunted the credibility of American military threats, introducing a new dynamic into US-Iran diplomacy,” he said.

“Washington can still rattle its sabre. But after a failed war, such threats ring hollow. The United States is no longer in a position to dictate terms; any agreement will have to rest on genuine compromise.”

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