Vance Cancels Switzerland Trip, US-Iran Talks Called Off

U.S.-Iran technical talks on the signed memorandum of understanding (MOU) in Switzerland on Friday were suddenly called off after U.S. Vice President J.D. Vance dropped plans to travel to the mountaintop resort of Burgenstock, raising uncertainty around the fragile ceasefire.

Switzerland's foreign ministry confirmed the talks would not take place, though it gave no further details.

In a written statement, a White House spokesperson said that the logistics of such negotiations are never simple or predictable, adding that Vance and the U.S. delegation had been ready to depart as soon as plans were finalized.

Iran had earlier said it was ready to begin technical talks following Wednesday's 14-point accord, which extended a tenuous ceasefire by at least 60 days.

However, Iran's semi-official news agency Tasnim reported before Vance's announcement that Iranian negotiators first needed to see signs of the U.S. implementing the interim deal, and there was no confirmation that Iran's delegation would travel to Switzerland at all.

A Deal Already Under Pressure

The signed accord gives negotiators 60 days to agree on the status of Iran's nuclear program, with a $300 billion reconstruction fund for Iran and other financial incentives on the table.

It also provides sanctions relief, unfreezes assets worth tens of billions of dollars, and grants immediate U.S. waivers for Iranian oil exports well short of the "unconditional surrender" Trump had previously sworn to achieve.

Iran's Supreme Leader Ayatollah Mojtaba Khamenei said Trump signed the deal "out of desperation" and signaled nuclear negotiations ahead would not be straightforward.

"If the American side wants to be too demanding, we will not accept it," he said.

The U.S.-Iran War has killed at least 7,000 people, sent energy prices soaring, and shaken global markets across nearly 4 months of fighting.

The U.S. Department of Defense told lawmakers it needed $80 billion to cover costs, the Wall Street Journal reported.

Israel Keeps Fighting, Raising Truce Doubts

Israel continued operations against Hezbollah in Lebanon even after the signing of the MOU.

Fresh Israeli strikes on Friday killed at least 15 people, in attacks Israel said targeted Hezbollah positions.

The MOU calls for "permanent termination" of the war in Lebanon, but Israel has said it has no intention of withdrawing, and has instead released a new map depicting an expanded occupation zone.

More than 1 million people have been displaced by the fighting in Lebanon.

What the Deal Does and Doesn't Cover

Under the agreement, Iran restated its decades-long position of not developing nuclear weapons, a claim doubted by successive U.S. administrations.

It also agreed to onsite "down blending" of its highly enriched uranium stockpile and inspections by the International Atomic Energy Agency as a Non-Proliferation Treaty member, rejecting Trump's demand to remove the material from the country entirely.

Iran has also said it will retain control over the Strait of Hormuz in partnership with Oman, and intends to charge ships service fees that did not exist before the war, though not during the 60-day negotiating window.

Oil prices dipped on Friday as tankers began moving again through the reopening strait, which had carried nearly a fifth of global crude oil and liquefied natural gas supplies before the conflict began.