Iran and the US trade Hormuz offers through Qatar, but the nuclear question still divides them

Iran's Foreign Minister Abbas Araghchi met Qatari mediators in New York on Monday to discuss a plan that could reopen the Strait of Hormuz, the narrow waterway where shipping has been badly disrupted since the war with the United States and Israel began in February.

Araghchi said the mediators would take the ideas discussed to Washington and that Iran hoped to hear back by Tuesday, Al Jazeera reported.

What Iran is offering

Iran set out its proposal at the UN General Assembly on Friday. It asks the US to release frozen Iranian funds, lift sanctions and end its naval blockade of Iranian ports.

Tehran says those steps could be completed within four to five days. After that, it says, the strait would reopen and nuclear negotiations could begin by the seventh day.

Why Washington said no, for now

President Donald Trump rejected the offer on Saturday, calling it "unacceptable". In an interview with Axios, he said he still expects more talks this week.

"They want to make a deal, but it is not the deal that I want to make," Trump said.

A US official told Al Jazeera the latest discussions were "positive and constructive", but that there would be no agreement unless Iran's nuclear programme is addressed. The official said Iran had signalled flexibility on nuclear issues, but that "the sides still remain apart on the timing."

Trump has also dismissed US media reports that his administration offered Iran sanctions relief and access to frozen funds, calling them "a hoax".

Why the strait matters

Before the war, around a fifth of the world's oil and gas passed through the Strait of Hormuz. Iran closed it after the US and Israel launched their offensive on February 28, and attacks on commercial ships have kept traffic low. Crude prices rose above $100 a barrel.

Some oil is moving again. Crude exports from the region's major producers rose to 12.8 million barrels a day in September, the highest level since the war began. That is still well below the 18.8 million barrels a day shipped in February.

Who is in the middle

Qatar has been carrying messages between the two sides. Its prime minister met Iran's president on September 26 and then briefed US envoys Steve Witkoff and Jared Kushner, according to Axios. Qatari mediators have also given both sides a compromise proposal.

What to watch

The real fight is over the order of things. Iran wants money and sanctions relief first, and nuclear talks after. Washington wants the nuclear issue on the table from the start.

If the US reply through Qatar narrows that gap, shipping through Hormuz could start to recover. If it does not, the pressure will return. Asked whether he is considering resuming strikes, Trump told Axios: "I am always thinking about it."