US Rejects Iran Peace Offer as Trump Warns Ceasefire May Collapse

United States President Donald Trump has declared that the fragile ceasefire between Washington and Tehran is now “on life support” after rejecting Iran’s latest response to a US-backed peace proposal, raising fears of renewed conflict in the Middle East.

Speaking at the White House on Monday, Trump described Iran’s counterproposal as “totally unacceptable” and claimed the ceasefire had become “unbelievably weak.” He added that the truce had only a slim chance of survival following growing disagreements over nuclear demands and regional security issues.

According to reports, Tehran’s proposal called for an end to hostilities across the region, the lifting of US sanctions, the release of frozen Iranian assets abroad, and recognition of Iranian sovereignty over the Strait of Hormuz. Iran also reportedly demanded war reparations and an end to restrictions on its oil exports.

The Trump administration rejected the proposal, insisting that Iran must make stronger nuclear concessions before any lasting agreement can be reached. Trump also reiterated that Iran would not be allowed to develop nuclear weapons under any circumstances.

The diplomatic deadlock has intensified concerns about the possibility of a return to open warfare after weeks of tension and intermittent attacks in the region. Analysts warn that continued instability around the Strait of Hormuz; one of the world’s most important oil shipping routes, could further disrupt global energy supplies and increase fuel prices internationally.

Oil markets reacted sharply to the latest developments, with crude prices rising amid uncertainty over whether the ceasefire would hold. Investors also expressed concern over the impact of the standoff on global trade and regional stability.

Meanwhile, Iranian officials insisted that Tehran had not demanded “concessions” but only what it described as its “legitimate rights.” Iranian parliamentary leaders warned that the country’s armed forces were prepared to respond to any renewed aggression.

International mediators, including Oman and China, are reportedly continuing diplomatic efforts to salvage the ceasefire and prevent the conflict from escalating further.