U.S. has shown flexibility on Iran maintaining limited nuclear activities, source says

What Happened

• According to a diplomatic source, the United States has shown flexibility in ongoing nuclear negotiations with Iran, moving away from its earlier insistence on "zero enrichment" and accepting that Iran may maintain some limited civilian nuclear activities.
• On frozen Iranian assets held in overseas banks, however, the US has so far agreed to release only one-quarter of the total assets, on a phased timetable — falling well short of Iran's demand for immediate and full unfreezing.
• Negotiations have been ongoing since early 2025; key sticking points include the duration of any enrichment moratorium (US proposed 20 years, Iran countered with 5 years; mediators are working to bridge this gap), the timeline for sanctions relief, and the fate of Iran's stockpile of highly enriched uranium.
• A draft memorandum of understanding is reportedly close, with disagreements reportedly narrowed to "one or two clauses," but final agreement has not been reached.

Static Topic Bridges

JCPOA (Joint Comprehensive Plan of Action), 2015

The JCPOA, commonly called the "Iran nuclear deal," was signed on July 14, 2015 in Vienna between Iran and the P5+1 (the five UN Security Council permanent members — USA, UK, France, Russia, China — plus Germany) and the European Union. Under JCPOA, Iran agreed to reduce its enriched uranium stockpile by 97% (from ~10,000 kg to 300 kg), cap enrichment at 3.67% (well below weapons-grade ~90%), reduce operational centrifuges from ~20,000 to 6,104, and accept intrusive IAEA inspections. In return, nuclear-related sanctions were lifted. The deal was implemented on January 16, 2016 after IAEA verification. In May 2018, the US unilaterally withdrew from JCPOA under the Trump administration's "maximum pressure" policy, reimposing sanctions. Iran subsequently began exceeding JCPOA limits — enriching uranium to 60% and then 83.7% purity. JCPOA revival talks (JCPOA+) have been ongoing since 2021.

Nuclear Non-Proliferation Treaty (NPT) and IAEA Safeguards

The NPT, opened for signature in 1968 and entering into force in 1970, is the cornerstone of the global nuclear non-proliferation regime. It divides states into Nuclear Weapon States (NWS: USA, UK, France, Russia, China — the P5) and Non-Nuclear Weapon States (NNWS). NNWS signatories commit not to acquire nuclear weapons and to accept IAEA safeguards inspections. Iran is an NPT signatory, making its nuclear programme subject to IAEA monitoring. India, Pakistan, and Israel are not NPT signatories. The IAEA's Additional Protocol allows more intrusive and short-notice inspections — Iran suspended its Additional Protocol commitments after the US left JCPOA, significantly reducing IAEA's visibility into its programme.

Strait of Hormuz and Energy Security Implications

The Strait of Hormuz is a narrow waterway (minimum width ~33 km) between Iran and Oman, connecting the Persian Gulf to the Gulf of Oman and the Arabian Sea. Approximately 20–21 million barrels of oil per day pass through it — representing roughly 20% of global oil consumption and about 30% of globally traded crude oil. It is the world's most strategically critical oil chokepoint. Iran has repeatedly threatened to close the Strait during periods of tension with the West. Closure would trigger a massive global energy price shock, affecting India significantly (which imports ~85% of its oil, with a major portion from the Gulf region).

Frozen Assets and International Financial Sanctions Architecture

Economic sanctions are restrictions imposed by states or international organisations on target countries to compel a change in behaviour. Iran's assets — primarily in the form of oil export revenues held in foreign banks — were frozen under various UN, US, and EU sanctions regimes. At the peak of sanctions, approximately $150+ billion in Iranian assets were frozen globally. The current negotiations involve agreeing on a phased release schedule, with the US reportedly agreeing to release one-quarter of frozen assets initially, while Iran demands immediate full access. The SWIFT financial messaging system ban on Iranian banks (imposed 2012, partially lifted under JCPOA, reimposed 2018) is a key component of financial pressure.

Key Facts & Data

• JCPOA signed: July 14, 2015 (Vienna); between Iran and P5+1 + EU
• US withdrew from JCPOA: May 2018 (Trump administration, "maximum pressure")
• Iran's current uranium enrichment level: up to 83.7% (weapons-grade is ~90%)
• NPT entered into force: 1970; Iran is a signatory
• Strait of Hormuz: ~20–21 million barrels/day oil throughput; ~20% of global consumption
• Iran's frozen assets: estimated $80–150 billion globally
• US current offer: phased release of one-quarter of frozen assets
• Enrichment moratorium gap: US proposed 20 years; Iran countered 5 years
• IAEA Additional Protocol (more intrusive inspections): Iran suspended compliance in 2021