The United States has expressed confidence that peace talks with Iran will resume in Pakistan, even as uncertainty surrounds Tehran’s participation and the approaching expiration of a fragile ceasefire.
The two-week truce in the war involving the United States, Israel, and Iran—triggered after military operations launched on February 28—was expected to expire within the next day or two. However, officials from the involved parties have given mixed signals about the exact timeline for the end of the ceasefire.
Diplomatic efforts are now focused on restarting negotiations in Islamabad. A Pakistani source familiar with the discussions said momentum was building for a second round of talks to begin on Wednesday. The source added that U.S. Vice President JD Vance was expected to travel to Pakistan for the negotiations.
The first round of talks, held about 10 days ago, ended without an agreement. Since then, tensions have remained high after Washington refused to lift its blockade of Iranian ports and seized an Iranian cargo vessel, prompting Tehran to rule out further negotiations earlier in the week.
However, an Iranian official said on Monday that Tehran was “positively reviewing” the possibility of joining the new round of talks. The official stressed that Iran was waiting to see whether its key conditions would be met, particularly recognition of its right to enrich uranium.
The Pakistani source also indicated that U.S. President Donald Trump might attend the talks—either in person or virtually—if negotiators reached a breakthrough capable of producing a formal agreement.
Financial markets responded cautiously to the diplomatic developments. Oil prices slipped by about 50 cents on Tuesday, while Asian stock markets rebounded on expectations that negotiations could resume. Oil prices had surged roughly six percent a day earlier amid doubts that talks would proceed.
Despite the tentative optimism, tensions remain high. A senior Iranian military commander warned on Tuesday that Iran was prepared to deliver an “immediate and decisive response” to any renewed hostility, according to the semi-official Tasnim news agency.
Iran’s ambassador to Pakistan, Reza Amiri Moghadam, also signaled Tehran’s deep distrust of Washington, stating on social media that nations with long-standing civilizations would not negotiate under threats or coercion.
Iran’s skepticism stems partly from past experiences, as U.S. air operations against Iranian targets have occurred twice within the past year while negotiations were underway.
Iranian negotiator Mohammad Baqer Qalibaf accused Washington of increasing pressure through the ongoing blockade. He said U.S. President Trump was mistaken if he believed the negotiating table could be turned into what he described as a “table of submission.”
Meanwhile, Iran’s army reported that one of its tankers successfully entered Iranian territorial waters from the Arabian Sea on Monday with assistance from the Iranian Navy, despite what it called repeated warnings and threats from a U.S. naval task force.
Washington has said it wants a deal that would reduce geopolitical tensions and prevent further shocks to global oil markets. However, the United States has insisted that any agreement must ensure Iran cannot develop a nuclear weapon.
The U.S. position includes demands that Tehran abandon its stockpile of highly enriched uranium, which could potentially be further processed for use in a nuclear warhead. Iran, for its part, continues to argue that its nuclear program is for peaceful purposes and that its right to enrich uranium must be recognized.
As the ceasefire deadline approaches, diplomats and markets alike are watching closely to see whether the anticipated talks in Pakistan can produce a breakthrough—or whether the region could slide back toward renewed conflict.
