“Totally Unacceptable”: Donald Trump Rejects Iran’s Conditions For Gulf Ceasefire Deal

US President Donald Trump on Sunday dismissed Iran's latest response to Washington's ceasefire proposal as "totally unacceptable", casting fresh uncertainty over diplomatic efforts to end the 10-week conflict that has shaken the Gulf region and disrupted global energy markets.

The sharp reaction came after Iranian state media revealed details of Tehran's counterproposal to the United States, which reportedly included demands for war reparations, lifting of sanctions and recognition of Iran's sovereignty over the Strait of Hormuz. The latest developments have significantly reduced hopes of an immediate breakthrough in negotiations aimed at restoring stability in the region.

Trump Rejects Iran's Counterproposal

In a post on Truth Social, Trump openly criticised Tehran's response and signalled frustration over the stalled negotiations.

"I have just read the response from Iran's so-called 'Representatives.' I don't like it - TOTALLY UNACCEPTABLE!" Trump wrote.

The US President did not specify which parts of Iran's proposal had been rejected, but the remarks indicated Washington's growing impatience with Tehran's conditions.

The US peace proposal had been floated in recent days in an attempt to restart negotiations and reduce tensions after weeks of conflict that disrupted maritime trade through the Strait of Hormuz and triggered volatility in global oil prices.

According to reports, Iran's response demanded compensation for war-related damages, removal of economic sanctions, release of frozen Iranian assets and guarantees against future military strikes.

Iran Insists On Reparations And Sovereignty

Iranian state television described Washington's proposal as equivalent to surrender and insisted Tehran would not accept terms that undermined its national interests.

State media said Iran was seeking "war reparations by the US, full Iranian sovereignty over the Strait of Hormuz, an end to sanctions, and the release of seized Iranian assets."

Reports also suggested Tehran wanted the US to end restrictions on Iranian oil exports and halt naval blockades in the Gulf region. The semi-official Tasnim news agency further claimed Iran had requested guarantees that no further attacks would occur if negotiations moved forward.

Reuters reported that the American proposal prioritised ending active fighting before broader discussions could begin regarding Iran's nuclear programme and regional security concerns.

Meanwhile, The Wall Street Journal reported that Iran had suggested diluting a portion of its highly enriched uranium stockpile and transferring the remaining material to a third country as part of possible future negotiations.

Pakistan, which has reportedly been acting as an intermediary between both sides, is said to have forwarded Tehran's response to Washington.

Trump Accuses Iran Of "Playing Games"

Even before rejecting the proposal, Trump had accused Iran of delaying negotiations and avoiding meaningful progress.

In another social media post, he alleged that Tehran had been "playing games" with the United States for decades.

"They will be laughing no longer!" Trump wrote.

Despite the public criticism, the US administration maintained that diplomatic channels had not completely collapsed. US Ambassador to the United Nations Mike Waltz said Washington was still giving diplomacy "every chance we possibly can before going back to hostilities."

At the same time, Trump warned that military action could resume if Iran refused to agree to terms addressing both the Strait of Hormuz crisis and concerns surrounding Tehran's nuclear activities.

Strait Of Hormuz Remains Centre Of Tensions

The Strait of Hormuz continues to remain the most sensitive flashpoint in the conflict. Iran has largely restricted non-Iranian shipping through the strategic waterway, which previously carried nearly one-fifth of the world's oil supply.

Although a fragile ceasefire has largely held for nearly 48 hours, regional tensions remain elevated. Reuters reported sightings of hostile drones over multiple Gulf nations, while AP reported that a drone strike caused a small fire aboard a vessel near Qatar.

The United Arab Emirates claimed it intercepted two drones allegedly launched by Iran, while Kuwait said its air defence systems responded after drones entered its airspace.

Qatar condemned the reported ship attack, calling it a "dangerous and unacceptable escalation."

Reuters also reported that a QatarEnergy liquefied natural gas vessel safely crossed the Strait of Hormuz on its way to Pakistan, marking the first such shipment since the conflict began on February 28.

Pressure Mounts Ahead Of China Visit

Trump is also facing increasing international and domestic pressure to bring the conflict to an end before his upcoming visit to China, according to Reuters.

The prolonged war has intensified fears of a broader global economic crisis, particularly as energy prices continue to fluctuate sharply.

Within the United States, the conflict has become politically sensitive amid rising fuel prices and criticism from opposition Democrats.

Israeli Prime Minister Benjamin Netanyahu said the conflict could not end unless Iran's enriched uranium stockpile was either removed or neutralised.

Iranian President Masoud Pezeshkian, however, maintained a defiant tone and declared that Iran would "never bow down to the enemy" while continuing to defend its national interests.