The two-week ceasefire between the United States and Iran expires on 22 April. Mediators are pushing for an extension, but key disputes remain unresolved.

Why it matters

If the ceasefire lapses, fighting could resume across the Middle East, disrupting oil flows through the Strait of Hormuz and driving fuel prices higher worldwide. The war has killed more than 4,000 people since it began.

Where things stand

The Associated Press reported on Wednesday that Washington and Tehran have given an in-principle agreement to extend the ceasefire by two weeks. The report cited unnamed regional officials involved in the Pakistan-brokered mediation.

However, a US official told Reuters that Washington has not formally agreed to the extension. The conflicting signals reflect a negotiation where both sides are managing domestic audiences while seeking diplomatic ground.

The three sticking points

Mediators have identified three issues that derailed direct talks in Islamabad last weekend.

First, Iran’s nuclear enrichment programme. President Trump claimed Tehran has agreed to an “unlimited” suspension of nuclear ambitions. Iran has not confirmed those terms publicly.

Second, the Strait of Hormuz. Iran declared the strait “completely open” for commercial shipping during the ceasefire. Trump said the US blockade of Iranian ports “will remain in full force” until a peace deal is signed.

Third, compensation for wartime damages. Both sides have made claims, and neither has offered a framework for resolution.

The sanctions question

Secretary of State Marco Rubio urged European nations on Friday to quickly reimpose sanctions against Iran. He warned that Tehran is violating the existing agreement and nearing nuclear weapons capability.

The pressure on Europe adds another layer to the negotiations. European sanctions could strengthen Washington’s leverage but could also push Tehran away from the table.

What happens next

If mediators secure a formal extension before 22 April, talks could resume in Islamabad as early as next weekend. If not, both sides face a choice between renewed fighting and an informal continuation of the ceasefire without agreed terms.

The Lebanon ceasefire, announced on 16 April between Israel and Hezbollah, has reduced one source of regional tension. But the core US-Iran dispute remains unsettled.