US Vice President JD Vance has accused Iran of engaging in economic terrorism by blocking traffic through the Strait of Hormuz and said two can play at that game.
It comes after Vance had left talks hosted by Pakistan on Sunday, saying he had handed Tehran the final and best offer.
Iran has blamed Washington for making maximalist demands, but its leaders have in the last hours not dismissed efforts by world leaders to get both sides back to the negotiating table.
Crucially, a fragile two-week truce agreed last Wednesday to give time to find a lasting ceasefire remained in place, even though a US naval blockade of Iranian ports began at the Strait of Hormuz, which had been effectively closed by Tehran.
Speaking to Fox News on Monday, Vance said: If the Iranians are going try to engage in economic terrorism, were going to abide by a simple principle that no Iranian ships are getting out either.
I really think the ball is in the Iranian court, because we put a lot on the table. We actually made very clear what our red lines were, Vance added.
Its one thing for the Iranians to say that theyre not going to have a nuclear weapon. Its another thing for us to put in place the mechanism to ensure thats not going to happen, Vance said.
JD Vance threatens Iran and says 'two can play at that game' as he condemns 'economic terrorism' in Strait of Hormuz
US Vice President JD Vance accused Iran of engaging in ‘economic terrorism’ by blocking traffic through the Strait of Hormuz and said ‘two can play at that game’.
It comes after Vance had left talks hosted by Pakistan on Sunday, saying he had handed Tehran the 'final and best offer'.
Iran has blamed Washington for making maximalist demands, but its leaders have in the last hours not dismissed efforts by world leaders to get both sides back to the negotiating table.
Crucially, a fragile two-week truce agreed last Wednesday to give time to find a lasting ceasefire remained in place, even though a US naval blockade of Iranian ports began at the Strait of Hormuz, which had been effectively closed by Tehran.
The standoff at the strait, through which one-fifth of global oil transits, failed to dampen optimism at global markets, with Asian equities rallying while oil continued a downward slide.
Pakistan's Prime Minister Shehbaz Sharif said on Monday that 'full efforts are underway" to reach an agreement to stop the fighting and that US-Iran ceasefire was 'holding'.
Speaking to Fox News on Monday, Vance said:
'If the Iranians are going try to engage in economic terrorism, we’re going to abide by a simple principle that no Iranian ships are getting out either.'
'I really think the ball is in the Iranian court, because we put a lot on the table. We actually made very clear what our red lines were,'
'It's one thing for the Iranians to say that they're not going to have a nuclear weapon. It's another thing for us to put in place the mechanism to ensure that's not going to happen.'
Jet fuel supplies expected to remain constraint as Iran war heightens costs
Lufthansa Chief Executive Carsten Spohr said that jet fuel supplies are expected to remain constraint through the year due to the Iran war, potentially leading to higher costs.
'Kerosene will remain in short supply and therefore more expensive for the rest of the year,' Spohr told German newspaper Frankfurter Allgemeine Zeitung in an interview published on Tuesday.
He also said that record revenues on Asian routes were helping offset the impact of rising kerosene costs.
Spohr said the group had yet to ground any aircraft due to the fuel shortages but warned that it 'may be unavoidable' in the future as kerosene availability is already critical at some airports, particularly in Asia.
Lufthansa has prepared contingency plans, including cutting its capacity by 2.5% or 5%, involving the grounding of 20-40 older, less fuel-efficient planes earmarked for early retirement, Spohr added.
Iran's oil minister says Iranian oil sales have been 'favourable' in recent weeks
Iranian oil sales in recent weeks have been favourable and part of the revenue will be allocated to repairing damage to industry caused by wartime attacks, Iran's oil minister said on Tuesday.
Mohsen Paknejad said oil workers had maintained operations across facilities during the conflict, ensuring oil exports were not halted 'even for a single day,' including at key export hubs such as Kharg Island.
The minister said last month that the selling price of Iranian crude had significantly increased.
China will play a 'constructive role' in peace talks
China's President Xi Jinping vowed Tuesday that his country would play a 'constructive role' in promoting peace talks in the Middle East, Chinese state media reported, after a first round of discussions between the United States and Iran ended without agreement.
'Xi Jinping stressed China's principled stance of promoting peace and urging talks, and reiterated it will continue to play a constructive role on this,' state news agency Xinhua said.
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