Speaking at a meeting of Gulf Cooperation Council (GCC) foreign ministers in Bahrain, Rubio said that international waterways must remain accessible to all nations and should not be subject to unilateral charges by countries located along strategic maritime routes.

“If we accept that a country can charge vessels for using an international waterway simply because it lies near its territorial waters, the practice could spread throughout the world like a contagion,” Rubio said. He cautioned that such a development could create widespread disruption to global trade and maritime transport.

The remarks come amid ongoing diplomatic efforts between the United States and Iran following a memorandum of understanding signed last week that ended the recent Middle East conflict and reopened the Strait of Hormuz to commercial shipping.

Rubio emphasized that Washington remains committed to reaching a durable peace agreement with Tehran but stressed that any deal must be credible, enforceable and verifiable.

“While we want a deal, we do not want a deal at any price,” he said. “We want a deal that is good, real, verifiable and adhered to.”

During his regional tour, which has included visits to the United Arab Emirates, Kuwait and Bahrain, Rubio also sought to reassure Gulf allies that their security concerns would remain central to US diplomacy.

He pledged that no aspect of a future US-Iran agreement would compromise the security, stability or economic interests of Gulf nations.

The Strait of Hormuz remains one of the world’s most strategically important maritime chokepoints, carrying a significant share of global oil and liquefied natural gas exports. Any restrictions, fees or disruptions in the waterway could have major consequences for international energy markets and global commerce.

Rubio’s comments reflect growing concern among Gulf states and major energy-importing nations about maintaining freedom of navigation through one of the world’s busiest shipping corridors.

The talks, mediated by Pakistan and Qatar, marked the opening phase of a 60-day diplomatic process designed to translate a recently signed memorandum of understanding into a broader settlement covering regional security, maritime navigation and Iran’s nuclear program.

Mediators said the parties agreed to establish a “de-confliction cell” involving Lebanese authorities to monitor and support the implementation of a ceasefire between Israel and the Iran-backed Hezbollah movement. The mechanism is intended to reduce the risk of renewed military escalation in Lebanon, where hostilities have continued despite previous truce efforts.

Pakistan and Qatar described the discussions as constructive and confirmed that lower-level technical negotiations would continue throughout the week in Switzerland.

The negotiations faced an uncertain start after Trump publicly warned Iran against supporting Hezbollah operations in Lebanon and threatened renewed military action against Tehran.

“Iran must immediately stop their highly paid proxies in Lebanon from causing trouble,” Trump said in comments that prompted a sharp response from Iranian officials.

Iranian negotiators temporarily suspended participation and consulted with Qatari mediators before returning to the talks, according to officials familiar with the discussions. Mediation efforts by Qatar and Pakistan helped keep negotiations on track.

Iranian Foreign Minister Abbas Araghchi later praised the diplomatic efforts, describing the newly established Lebanon coordination mechanism as the first major test of the broader agreement.

The talks brought together U.S. Vice President JD Vance, special envoy Steve Witkoff and presidential adviser Jared Kushner with Iranian Parliament Speaker Mohammad Bagher Qalibaf and Foreign Minister Araghchi.

According to officials involved in the negotiations, discussions focused on maintaining freedom of navigation through the Strait of Hormuz, enforcing the Lebanon ceasefire and laying groundwork for future negotiations on Iran’s nuclear activities.

The status of the Strait of Hormuz remained a contentious issue. Iran maintained that it had reimposed restrictions on passage through the strategic waterway over the weekend, while U.S. officials insisted commercial shipping traffic continued.

The narrow channel carries a significant share of global oil exports, making its security a major concern for energy markets and governments worldwide.

The broader agreement between Washington and Tehran includes provisions allowing Iran greater access to oil export markets and frozen overseas assets in exchange for commitments related to regional security and nuclear oversight.

However, differences remain over uranium enrichment. Iranian President Masoud Pezeshkian reiterated that Tehran would not relinquish what it considers its right to enrich uranium, while U.S. officials continue to seek constraints on Iran’s nuclear activities.

Vance described the negotiations as an opportunity to reshape regional relations and expressed hope that both sides could build on the initial diplomatic progress.

Financial markets have closely monitored the talks. Oil prices fell sharply after the announcement of the initial U.S.-Iran understanding, reflecting expectations that a sustained reduction in regional tensions could ease concerns about disruptions to global energy supplies.

The continuation of technical negotiations this week is expected to determine whether the parties can bridge remaining differences on Lebanon, maritime security and Iran’s nuclear program before senior officials reconvene for the next phase of talks.

The move expands an emergency arrangement under which Iraq has already been exporting fuel oil through Syria’s port of Baniyas following the effective closure of the Strait of Hormuz, a critical maritime corridor through which the vast majority of Iraqi crude exports traditionally pass.

Iraqi officials said the strategy will remain in place even after maritime traffic through Hormuz normalizes, reflecting a broader government effort to diversify export routes and reduce dependence on a single corridor.

“The Iraqi government and the oil ministry attach the highest importance to diversifying crude export routes, particularly through Syrian territory,” Iraqi Oil Ministry spokesman Saleem Al-Rikabi told Reuters.

Al-Rikabi said state oil marketer SOMO was continuing discussions with Syrian authorities aimed at expanding energy exports through Iraq’s western neighbor.

Iraq typically exports around 3.6 million barrels of crude oil per day, with approximately 3.4 million barrels previously shipped through southern terminals near Basra before the conflict disrupted Gulf trade routes.

The closure of Hormuz forced Baghdad to seek alternative export channels as storage facilities filled and outbound shipments became constrained.

An interim solution introduced in April involved transporting Iraqi fuel oil by tanker truck across Syria to Baniyas for re-export through the Mediterranean.

Syrian officials said preparations are underway to expand the arrangement. Mohammed Al-Ahdab, head of the media office at the Syrian Petroleum Company, said operations at Baniyas were continuing despite expectations that the strait could reopen.

A Syrian Energy Ministry official said two additional unloading areas and supporting facilities would become operational within a week to accommodate Iraqi crude oil and naphtha shipments.

According to Iraqi oil officials, crude exports through Syria could initially reach around 50,000 barrels per day once loading infrastructure is completed. Tanker-truck shipments are expected to begin in early July, while SOMO plans to establish offices in Baniyas to support operations.

The expansion represents a significant opportunity for Syria, which is seeking to rebuild its economy and reconnect with regional markets after years of conflict and international isolation.

Officials said Syria is earning transit-related income from the movement of Iraqi fuel products, although details of the financial arrangements have not been disclosed.

Shipping data cited by industry sources indicate that Iraqi fuel oil exported through Syria has already reached destinations in Africa and Europe, including a tanker that arrived in Alexandria, Egypt, earlier this month.

The overland route faces logistical and security challenges. Roads linking Iraq and Syria have suffered extensive war-related damage, while fuel transport operations have encountered accidents and occasional disruptions from local protests.

At Baniyas, Iraqi fuel oil is being unloaded into storage facilities connected to marine export infrastructure rather than processed domestically, according to a source familiar with the operations.

Syrian authorities are also exploring longer-term solutions, including the rehabilitation of damaged pipeline infrastructure. Officials said the Iraq-Syria pipeline network has the capacity to transport up to 300,000 barrels per day if restored to operational status.

The initiative underscores how the disruption of Hormuz has accelerated efforts by regional producers to develop alternative export routes and strengthen resilience against future geopolitical shocks affecting global energy markets.

The limited movement highlighted continued caution among shipping companies, which welcomed the agreement but are awaiting further details, including safety measures and possible mine clearance operations in the strait.

Global oil prices fell about 4 percent on Monday as markets reacted to expectations that the United States and Iran would formally sign a memorandum of understanding in Switzerland outlining steps to resume shipping.The Strait of Hormuz, a vital route for global energy supplies, has seen sharply reduced traffic since the conflict between the United States, Israel and Iran began on February 28.

The LNG tanker Disha, carrying a cargo from Qatar’s Ras Laffan, had remained west of the strait before crossing, according to data from Kpler and LSEG. The shipment is expected to be delivered to India’s Dahej terminal, a source familiar with the matter said.

Shiptracking data showed about 155 oil and chemical tankers were in the Middle East Gulf area on June 15, down from 201 at the end of May.Shipping analysts said confidence would likely return gradually as vessels resume regular movements through the waterway.

Anoop Singh, global head of shipping research at Oil Brokerage, said wider shipping activity would need time to recover and freight rates could remain elevated while operators assess risks.The Japanese Shipowners’ Association said it welcomed the agreement but wanted more concrete information before recommending that vessels return to normal operations.

Japanese shipping companies also said they would only resume navigation after safety conditions were fully confirmed.The Strait of Hormuz handles a significant share of global oil and LNG shipments, making its reopening a key factor for energy markets and international trade.

Guterres said the deal, which includes a permanent ceasefire and the reopening of the Strait of Hormuz, could help build momentum toward a broader and lasting resolution between the parties.

He urged all sides to “redouble their efforts” to achieve a comprehensive settlement, adding that the United Nations stands ready to support implementation of any future agreements.

The UN chief also expressed appreciation for the role played by several regional actors, including Pakistan, Qatar, Egypt, Saudi Arabia and Türkiye, saying their involvement was “constructive” in facilitating negotiations.

The statement came as global reactions to the agreement continued, with European leaders indicating readiness to lift sanctions on Iran in response to progress on its nuclear program, while emphasizing that Tehran must not obtain a nuclear weapon.

A joint statement by European countries including the United Kingdom, France, Germany and Italy said they were prepared to coordinate with the United States, Iran and the International Atomic Energy Agency on verification measures linked to the deal.

Japan also welcomed the agreement, with Prime Minister Sanae Takaichi expressing hope for its steady implementation and calling for guaranteed free and safe navigation through the Strait of Hormuz.

The Strait, a key global energy shipping route, is expected to reopen under the terms of the ceasefire, marking a significant development in regional maritime security and global oil flows.

Bahrain said seven missiles fired by Iran toward Bahrain and Kuwait were intercepted, describing the attack as “blatant aggression” and urging Tehran to immediately halt strikes against Gulf neighbors. Kuwait’s military also reported intercepting incoming missiles and drones.

Iran’s Revolutionary Guard said it targeted Kuwait’s Ali Al Salem Air Base, which hosts U.S. forces, and the U.S. Navy’s Fifth Fleet headquarters in Bahrain.

The attacks came hours after U.S. Central Command said it intercepted Iranian ballistic missiles and drones launched toward Gulf allies and the Strait of Hormuz, while carrying out retaliatory strikes against Iranian coastal radar installations.

Washington said the Iranian drones posed an immediate threat to maritime traffic through the strategic waterway, a key route for global oil and gas shipments. The latest exchange has further strained a fragile ceasefire and intensified pressure on Tehran as the Trump administration seeks a broader agreement to end the conflict.

The reported agreement comes amid heightened tensions between Washington and Tehran following recent exchanges of air strikes and renewed concerns over regional stability and shipping security in the Gulf. According to the Axios report, the proposed understanding would temporarily preserve the ceasefire framework while opening a diplomatic channel focused on Iran’s nuclear activities.

Neither the White House nor Iranian authorities immediately issued public confirmation of the reported arrangement. The U.S. State Department also did not publicly comment on the Axios report.
The development follows remarks by Trump earlier this week indicating dissatisfaction with the pace and scope of negotiations involving Iran.

It also comes after reports of intensified military exchanges between the two countries, underscoring the fragile security environment surrounding any prospective diplomatic process.

U.S. Secretary of State Marco Rubio was photographed alongside Trump during a cabinet meeting at the White House on Wednesday, as the administration continued deliberations over Middle East policy and Iran strategy.

Any agreement to reopen structured nuclear negotiations would mark the most significant diplomatic engagement between Washington and Tehran in years. Previous talks aimed at reviving limits on Iran’s nuclear program had stalled amid disputes over sanctions relief, uranium enrichment levels and regional security guarantees.

Financial markets and regional governments have closely monitored developments involving Iran because of their potential implications for global oil supply routes, particularly around the Strait of Hormuz, a critical maritime corridor for energy exports.

The Axios report said Trump’s final decision remained pending as administration officials reviewed the terms of the proposed understanding.

The operation, announced by the U.S. military, targeted what officials described as immediate threats to American personnel and maritime security. The strikes occurred while senior Iranian negotiators, including Foreign Minister Abbas Araghchi and other officials, were in Doha for talks with Qatari mediators seeking a framework agreement to halt hostilities.

The latest military action underscored the delicate balance between diplomacy and confrontation as Washington and Tehran attempt to negotiate an end to a conflict that has centered on Iran’s nuclear program and the closure of the strategically vital Strait of Hormuz.

In a statement, the U.S. Central Command said the attacks were defensive measures intended to protect American forces from threats posed by Iranian military assets.

“U.S. Central Command continues to defend our forces while using restraint during the ongoing ceasefire,” said Navy Captain Tim Hawkins, a military spokesperson.

Earlier in India, U.S. Secretary of State Marco Rubio said Washington remained committed to diplomacy and believed a negotiated settlement remained achievable.

Rubio said discussions were focused on reopening the Strait of Hormuz and launching a structured, time-limited negotiation over Iran’s nuclear activities. He indicated the United States would continue to pursue diplomatic options before considering alternative measures.

President Donald Trump echoed that message in a social media post, describing negotiations as progressing positively while warning that further military action could follow if talks failed to produce results.

At the center of the negotiations is the Strait of Hormuz, through which roughly one-fifth of global oil and liquefied natural gas shipments typically pass. Since the conflict began in late February, commercial traffic through the waterway has fallen sharply as Iran imposed restrictions and security concerns mounted.

A source familiar with the Doha discussions said negotiators were focusing on two key issues: restoring unrestricted navigation through the strait and addressing Iran’s stockpile of highly enriched uranium. Iranian financial officials were also participating in discussions involving the possible release of frozen Iranian assets as part of a broader settlement.
Iranian Foreign Ministry spokesperson Esmaeil Baghaei said detailed nuclear negotiations would only begin after a broader framework agreement had been reached.

Tehran maintains that its nuclear program is peaceful and has repeatedly denied seeking nuclear weapons. Washington, meanwhile, insists that preventing Iran from acquiring a nuclear weapon remains a central objective of any agreement.

In a separate development, Iranian state media reported that the country had used a newly deployed air-defense system to shoot down what officials described as a hostile stealth drone operating near the Arabian Gulf. Iranian authorities did not specify the drone’s origin.

Regional tensions were further heightened by developments in neighboring Lebanon. Israeli Prime Minister Benjamin Netanyahu said Israel would intensify military operations against the Iran-backed Hezbollah movement despite a ceasefire agreement reached earlier this year. The Israeli military later reported strikes against Hezbollah infrastructure in the Bekaa Valley and other areas.

Diplomatic efforts have also become intertwined with broader regional initiatives. Trump used his latest public comments to urge additional Arab and Muslim-majority nations to join the Abraham Accords, the U.S.-brokered framework that normalized relations between Israel and several Arab countries during his first term.

The proposal drew skepticism from regional observers and diplomats, some of whom argued that negotiations over Iran and broader normalization efforts should remain separate tracks.

Analysts said the administration appeared to be attempting to frame a prospective Iran agreement as part of a larger regional security architecture that could benefit Israel, Gulf states and the United States simultaneously.

Despite ongoing military exchanges, markets reacted positively to signs that diplomacy was continuing. Oil prices fell more than 4 percent on Monday, reaching their lowest levels in two weeks amid expectations that a breakthrough could restore shipping through the Strait of Hormuz and ease pressure on global energy supplies.

Iranian officials said 32 commercial vessels and five oil tankers transited the strait during the previous 24 hours under authorization from Iran’s naval forces, a fraction of the volume typically seen before the conflict began.

Negotiators in Doha are expected to continue discussions in the coming days as both sides seek agreement on the terms of a ceasefire, maritime security arrangements and a framework for addressing longstanding disputes over Iran’s nuclear activities.

The discussions in Tehran came as Iran said it was reviewing Washington’s latest position on ending the conflict that erupted after joint U.S.-Israeli strikes on Iran in February and has remained paused under a fragile ceasefire since April 8.

According to Iran’s state-run IRNA news agency, Pezeshkian and Naqvi reviewed “the latest regional developments and the diplomatic consultations related to the Iran-U.S. talks,” while emphasizing continued political coordination and regional cooperation.

Naqvi conveyed the “messages and views” of Pakistani officials regarding ongoing negotiations and the importance of maintaining dialogue, IRNA reported.
Pakistan has emerged as a key intermediary since the conflict began, hosting rare direct talks between U.S. and Iranian officials last month as Islamabad intensified diplomatic outreach aimed at preventing renewed escalation in the Gulf region.

Pezeshkian praised Pakistan’s efforts to support regional stability and stressed the importance of continued coordination between Tehran and Islamabad, according to Iranian media.
The war, triggered by U.S. and Israeli strikes on Tehran in late February, disrupted shipping through the Strait of Hormuz, a strategic energy corridor that carries roughly one-fifth of global oil and gas supplies.

Although direct fighting halted under the ceasefire agreement, negotiations have shown limited progress in recent weeks.
Speaking to reporters, Trump said military action remained an option if Tehran failed to respond positively to U.S. proposals.

“Believe me, if we don’t get the right answers, it goes very quickly. We’re all ready to go,” Trump said, according to the Associated Press.
Asked how long Washington would wait, Trump replied: “It could be a few days, but it could go very quickly.”

Trump also reiterated that the United States would not permit Iran to acquire a nuclear weapon.
“We’re in the final stages of Iran,” Trump said earlier. “Either have a deal or we’re going to do some things that are a little bit nasty.”

Iran said it was examining Washington’s latest views after submitting a new proposal this week. Iranian officials indicated the offer included demands previously rejected by Trump, including sanctions relief, compensation for war-related damage, release of frozen assets and changes linked to the Strait of Hormuz.

“We have received U.S. views and are reviewing them,” Iranian Foreign Ministry spokesman Esmaeil Baghaei was quoted as saying by Nour News.

The uncertainty surrounding negotiations has contributed to volatility in global energy markets and increased political pressure on Trump ahead of U.S. midterm elections later this year amid rising fuel prices.

Klingbeil is due to travel to Paris for a meeting of G7 finance ministers and central bank governors scheduled for Monday and Tuesday, where the Iran conflict and its economic implications are expected to feature prominently on the agenda.

“The G7 is the right place to discuss how we can help bring about a lasting end to the war in Iran,” Klingbeil said in remarks released before the meeting. He added that Germany and its European partners remained committed to cooperation, open trade and rules-based international partnerships.

The minister said recent geopolitical and economic shocks had reinforced the need for Germany and Europe to strengthen resilience in critical sectors including raw materials, energy supplies and industrial supply chains.

The conflict has heightened concerns over shipping through the Strait of Hormuz, one of the world’s most strategically important oil transit routes. Any prolonged disruption could affect global energy markets and trade flows.

Klingbeil also said finance ministers from Brazil, India, South Korea and Kenya would participate in discussions in Paris as part of a broader effort to deepen international economic partnerships beyond the G7 bloc.

He said Germany would continue supporting Ukraine despite mounting tensions in the Middle East and would not allow the Iran crisis to divert attention from Russia’s war in Ukraine.

Klingbeil is expected to sign a double taxation agreement with Ukrainian Finance Minister Sergii Marchenko during the Paris meetings, a step he said would strengthen economic cooperation and provide greater legal certainty for businesses operating between the two countries.