NIAC Statement: Oil Waiver Reversal and Strait Escalation Put Iran Ceasefire at Risk

Washington, DC – National Iranian American Council (NIAC) President Jamal Abdi released the following statement regarding reports of attacks in the Strait of Hormuz and the recision of a waiver for Iran to sell its oil:

“The Iran war will either be resolved diplomatically or it will be prolonged militarily. Unfortunately, both sides appear more intent on jockeying for leverage on the battlefield than resolving differences at the negotiating table. 

“Each side claims the other is violating the MOU. The U.S. points to Iran allegedly firing at commercial ships in the Strait of Hormuz, while Iran says the ships are traversing a U.S.-backed ‘alternative corridor’ through the Strait that violates the MOU. Now the U.S. has rescinded the key sanctions waiver that allowed Iran to sell oil under the agreement, putting the ceasefire on the brink of collapse. It is critical that Iran and the U.S. recommit to the terms of the MOU and get negotiations back on track before it is too late. 

“The U.S. has consistently pushed the boundaries of the agreement and put it on uncertain footing, from the failure to reign in Israel’s actions in Lebanon to the establishment of the ‘alternative corridor’ in the Strait outside of Iranian purview. Iran believes this is an attempt to relitigate the MOU that it says recognized Iran’s authority to manage the waterway. So long as Iran perceives the U.S. as seeking to weaken its position and eventually return to war, negotiations are likely to take a back seat to more fighting.

“Some on both sides believe they can sustain a managed conflict and jockey for leverage while talks continue, but this situation is extremely volatile. As we see today, tensions that are supposedly managed can rapidly spiral out of control. Returning to war would mean doubling down on a tragic mistake and missing an opportunity to establish a sustainable long-term peace that brings prosperity rather than more destruction. As disastrous as this war has been for American interests thus far, President Trump appeared to have found an offramp before it triggered uncontrollable economic fallout or escalated to a ground war that could become a generational quagmire. Now, after having narrowly avoided a worst case scenario, the President risks being pulled back in and returning us to an unwinnable war. 

“NIAC urges the U.S. and Iranian governments to redouble diplomatic efforts in good faith, including by honoring the established terms of the MOU, so that this does not become a forever war and instead a sustainable diplomatic resolution can be realized.”