Trump Rejects Iran's Response to US Peace Proposal as Tensions Escalate; Calls it 'Totally Unacceptable'

Washinton DC: Tensions in the Persian Gulf deepened Sunday after US President Donald Trump dismissed Iran’s latest response to a proposed ceasefire and nuclear agreement, calling Tehran’s position “completely unacceptable.” The sharp reaction marked another blow to diplomatic efforts aimed at easing a conflict that has disrupted shipping routes and unsettled global energy markets.

Iranian state media reported that Tehran rejected Washington’s framework for ending hostilities, arguing that the proposal undermined Iranian sovereignty. Iranian officials instead demanded compensation for wartime damages, removal of economic sanctions, unrestricted control over the Strait of Hormuz and the return of frozen Iranian assets abroad.

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The United States has been attempting to broker a wider arrangement that would reopen the strategic waterway and curb Iran’s nuclear activities. Trump, however, accused Iran of delaying negotiations and warned that patience in Washington was wearing thin. US Ambassador to the United Nations Mike Waltz said diplomacy was still being pursued before going back to hostilities.

Meanwhile, security concerns escalated across Gulf states after drones entered the airspace of the UAE and Kuwait, while a separate drone strike caused minor damage to a commercial ship near Qatar. Emirati authorities said two drones were intercepted and blamed Iran, though no group claimed responsibility. Regional governments warned that continued attacks could endanger maritime trade and oil supplies passing through the region.

Iran’s military leadership also signaled readiness for further confrontation. State television reported that Supreme Leader Mojtaba Khamenei had instructed commanders to continue operations against “enemy forces.” Iranian officials additionally warned against any future French or British naval presence in the Strait of Hormuz.

The crisis has also revived fears over Iran’s nuclear stockpile. International inspectors say Tehran possesses uranium enriched close to weapons-grade levels, raising concerns among Western governments and Israel over the possibility of further escalation.