US President Donald Trump Iran
US President Donald Trump speaks to reporters at the White House on 1 May 2026, rejecting Iran's latest ceasefire proposal and warning of military consequences if a deal is not reached. Daniel Torok/WikiMedia Commons

US President Donald Trump on Friday publicly rejected Iran's latest ceasefire proposal, saying he was 'not happy' with what Tehran had put on the table and raising the spectre of renewed military action if negotiations collapse. Speaking to reporters at the White House, Trump laid out his position in stark terms, saying the US had two choices: 'either blast the hell out of them or make a deal.'

'We just had a conversation with Iran,' Trump told reporters. 'Let's see what happens, but I would say that I'm not happy... They've got to come up with the right deal. At this moment, I'm not satisfied with what they're offering.' He added that while the two sides had been negotiating 'telephonically,' he was 'not sure if they ever get there.' On a personal level, Trump said he would prefer a deal, though he did not rule out the military option.

Iran's Proposal and Washington's Scepticism

Iran submitted its new proposal to the US through Pakistani mediators, focusing on reopening the Strait of Hormuz and ending the war, while pushing nuclear negotiations to a later stage. The offer came after Tehran had previously signalled it was divided internally over how far to go on nuclear concessions.

According to Reuters, an unnamed US official said Trump was unhappy with the proposal because it did not include provisions for Iran's nuclear programme, with the official noting that 'he doesn't love the proposal.' Secretary of State Marco Rubio, speaking to Fox News, acknowledged the proposal was 'better than what we thought they were going to submit,' but expressed doubt over Tehran's intentions, saying Washington had to ensure any agreement 'definitively prevents them from sprinting towards a nuclear weapon at any point.'

White House spokeswoman Anna Kelly, responding to questions about the latest Iranian submission, told Fox News Digital that 'President Trump has been clear that Iran can never possess a nuclear weapon, and negotiations continue to ensure the short- and long-term national security of the United States.' She declined to elaborate, saying the White House does not 'detail private diplomatic conversations.'

The Nuclear Sticking Point

A central concern in Washington is that lifting the blockade and ending the war without resolving the nuclear file could remove a key piece of US leverage in any future talks to reduce Iran's enriched uranium stockpile.

Analyst Negar Mortazavi, a Center for International Policy senior fellow, argued that Iran's proposal looks 'reasonable' given that the Strait of Hormuz situation has created 'a global crisis and countries around the world want it resolved.' She noted that 'Tehran will not move if the US doesn't lift its blockade, and Washington will not do so if Iran does not open the strait,' describing the offer as a potential 'first step towards a more permanent ceasefire.'

Oil Prices and the Strait

Iran effectively closed the Strait of Hormuz shortly after the US-Israel war on Iran began on 28 February. Since the ceasefire was announced on 8 April, the US has maintained a blockade on shipping to and from Iran through the Strait. Oil prices climbed to a wartime high of $114.70 (£84.26) per barrel on Thursday before settling at $110.40 (£81.10). Trump repeated his prediction that oil and gas prices would fall once the conflict with Iran is resolved.

Asked directly whether he was considering new strikes on Iran, Trump deflected, responding with a question of his own to the reporter: 'Why would I tell you that?'

The breakdown in talks carries significant global consequences. The ongoing impasse in the Strait of Hormuz has been described by analysts as 'a global crisis,' with energy markets already under severe strain and countries across the world pressing for a resolution. With both sides holding firm on their core demands, the path to a lasting settlement remains deeply uncertain — and Trump's latest remarks suggest the window for diplomacy may be narrowing.