The US president gives Iran a 'last chance' and claims talks are underway, while Iranian officials deny any contacts. The Strait of Hormuz remains blocked, and a former Israeli security official warns that Iran believes it holds a strategic advantage.
US President Donald Trump said on Sunday evening that Iran faces the threat of having its "head cut off" if it does not reach an agreement to end the conflict, while also claiming that negotiations are already underway. From Tehran, however, comes a sharp denial, Iranian Foreign Ministry spokesman Ismail Bagai said that no negotiations with the United States are taking place or are planned.
"I think we might get something, but I want to give them every possible last chance before cutting off the head," Trump told reporters, adding that talks are "currently underway" and that this is the "last chance for (the Iranians) to sign a good document." Trump also stressed that US forces are ready to strike at any moment, but that he does not want to kill people.
After Iran denied the talks, Trump wrote on his social media platform Truth Social that the Iranian leadership is "incredibly duplicitous." Over the weekend, he also announced that the "parameters" of a deal have been agreed upon and that they will include the reopening of the Strait of Hormuz.
Trump revealed that Saudi Crown Prince Mohammed bin Salman, as well as partners from the United Arab Emirates and Qatar, called on him over the weekend to abandon planned massive airstrikes on Iran. "We were ready to go. The reason they asked (for a delay) is that they think there is a deal. There is a deal on the Strait of Hormuz, and there will be a deal on nuclear weapons," Trump said.
According to The Wall Street Journal, the Saudi prince urged Trump to back off from further escalation out of fear that Saudi oil facilities could become targets of Iranian attacks and those of Iran-backed Houthis. The WSJ editorial opined that if this information is accurate, Iran is currently dictating the regional agenda and the pace of escalation.
On Saturday evening, Trump posted on social media that Iran and other Middle Eastern countries had requested a halt to military action because agreements had been reached on a framework for a deal, including the "full and immediate" reopening of the Strait of Hormuz and the complete cessation of Iran's nuclear program.
While Trump insists that negotiations are taking place, Iran has announced that it is negotiating with Oman on a temporary route through the Strait of Hormuz that would allow commercial ships safer passage. Iranian Foreign Ministry spokesman Ismail Bagai on Monday explicitly denied any negotiations with Washington, stressing that Iran has no plans to receive foreign delegations or send its negotiators abroad in the coming days.
Meanwhile, Pakistan invited Iranian negotiators to Islamabad on August 4, 2026, suggesting that diplomacy is indeed taking place, albeit through intermediaries.
The Strait of Hormuz, through which about 20 percent of the world's crude oil and liquefied natural gas normally passes, remains largely blocked. Data from the company Kpler shows that between July 30 and August 2, 2026, only 51 commercial vessels passed through the strait, a drop of about 28 percent compared to the previous four days when 71 passages were recorded.
Iran has repeatedly closed this vital maritime passage since the US and Israel began strikes on the country in late February 2026. The ceasefire agreed in April collapsed last month, and third-party-mediated negotiations have borne no fruit.
Former senior Israeli security official Avner Vilan said in an interview with radio 103FM that Iran believes it is in a strategically advantageous position because the US wants to avoid a wider conflict. "The Iranians have a sense of victory. They control the Strait of Hormuz, and no one has done anything to them. Their strategy is working," Vilan said.
According to him, Tehran understands that Trump does not want to get entangled in another major war and is willing to take greater risks. "From Iran's perspective, the challenge is not just to absorb the damage inflicted by the other side, but also to survive the residual damage. The Iranians are preparing for a situation where, even if they lose infrastructure and their economy is severely damaged, the regime itself survives," Vilan added.
Vilan warned that it could happen that the military question of who won is clear, but strategically, what matters more is who is under greater pressure to reach a settlement. "I am not convinced that even after bombing Iran, US pressure for a deal would not be greater," he concluded.
Mohsen Rezaei, a military adviser to Iran's Supreme Leader Mojtaba Khamenei, claimed in an interview with Iranian state television Press TV that Iran killed hundreds of American soldiers in attacks during July. Press TV claims that the US has admitted to a total of 650 casualties, including dead and wounded, while Iranian sources estimate nearly 500 US soldiers killed.
Official data from the US Central Command (CENTCOM), however, reports four US soldiers killed in Jordan and Iraq in July 2026, with an additional 14 killed earlier in the year during Operation Epic Fury. According to data from late July, 417 soldiers were wounded during the war with Iran, and another 207 in "overseas operations."
Rezaei also accused Israel of being behind US actions, claiming that Israel's non-participation in the conflict is merely a facade while the "Zionist regime" pressures the US. He said Israel remained out of the conflict because its resources are already depleted in Gaza, Lebanon, and the West Bank. "America is the one that attacked our country and our people, martyred our Leader and our children. Did we attack them and massacre their people?" Rezaei asked.
The blockade of the Strait of Hormuz directly affects global energy prices, given that a fifth of the world's oil and gas supplies pass through it. Although there is no direct Croatian involvement in the conflict, supply disruptions and rising oil prices inevitably impact the Croatian economy and the standard of living of its citizens through higher fuel and energy prices.
Trump has refused to set a deadline for reaching an agreement with Tehran, and his statements about alleged negotiations remain in stark contrast to Iranian denials, leaving the situation around the Strait of Hormuz highly uncertain.
