US-Israel-Iran War Latest News: US-Iran MoU Can Still Be Revived Despite Renewed Hostilities and Ongoing Diplomatic Efforts

Despite renewed hostilities between the United States and Iran, experts believe the US-Iran Memorandum of Understanding (MoU) can still be revived through sustained diplomatic efforts.

By: Shubhi Kumar
Last Updated: July 10, 2026 22:34:37 IST

US-Israel-Iran War Latest News: The possibility of reviving the Memorandum of Understanding (MoU) between the United States and Iran remains alive despite renewed hostilities, according to a regional security expert. While recent tensions have reignited concerns over the future of diplomacy, analysts believe negotiations are still possible if both sides are willing to break the current deadlock. The remarks come as the US-Israel-Iran conflict continues to shape geopolitical and energy market discussions.

US-Israel-Iran War Latest News: Expert Says US-Iran MoU Can Still Be Revived

Michael Stephens, a senior associate fellow at the Royal United Services Institute (RUSI), said the agreement between the United States and Iran has not completely collapsed despite the latest escalation.

Speaking to Al Jazeera, Stephens noted that reviving the MoU would require considerable diplomatic effort and meaningful engagement from both sides.

According to him, the opportunity for dialogue still exists, but rebuilding trust will not be easy after recent military developments.

US-Israel-Iran War Latest News: Diplomatic Deadlock Remains the Biggest Challenge

Stephens expressed concern that neither Washington nor Tehran currently appears willing to acknowledge the other’s concerns.

He warned that diplomacy cannot move forward unless one side takes the initiative to end the existing standstill.

Without renewed communication, analysts believe the chances of reaching a long-term agreement could diminish.

Why Renewed Hostilities Were Expected

The security expert suggested that the return to armed confrontation was not entirely unexpected because of the language and structure of the existing MoU.

He explained that Iran secured several early advantages during the initial phase of negotiations, prompting the United States to later seek concessions to rebalance the agreement.

This dynamic, he said, contributed to renewed friction between the two countries.

Oil Prices Offer Clues About Market Expectations

Despite heightened geopolitical tensions, global oil prices have not experienced a sharp spike.

Stephens said this suggests that financial markets still expect diplomacy to prevail over a prolonged military confrontation.

Investors appear to believe that both sides have incentives to avoid a conflict that could significantly disrupt global energy supplies.

Can Diplomacy Replace Military Escalation?

Regional observers say renewed negotiations remain the most effective path toward reducing tensions.

If diplomatic channels reopen, discussions could focus on restoring confidence, preventing further military escalation, and addressing broader regional security concerns.

However, continued military actions by either side could make future negotiations significantly more difficult.

What Happens Next in the US-Israel-Iran Conflict?

The coming days will be critical as international mediators continue efforts to reduce tensions and encourage dialogue.

While the security situation remains uncertain, experts believe the absence of a major oil market shock indicates cautious optimism that diplomacy still has a chance.

Whether the MoU can ultimately be revived will depend on the willingness of both Washington and Tehran to return to meaningful negotiations.

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