US says Iran ceasefire still in place after clashes over Hormuz

The US played down the prospect of a return to active war with Iran after a day of clashes involving ships in the Strait of Hormuz and missile strikes against the United Arab Emirates.

Attacks by Tehran on vessels in the Persian Gulf and the UAE didn’t constitute a breach of a ceasefire, General Dan Caine, the chairman of the Joint Chiefs of Staff, told reporters at the Pentagon on Tuesday. Speaking alongside him, Defense Secretary Pete Hegseth confirmed the truce that began just under a month ago is still in place.

Violence erupted on Monday after US President Donald Trump announced “Project Freedom,” which he described as a humanitarian effort to guide neutral ships stranded in the Gulf through Hormuz. At least two merchant vessels transited the waterway with US assistance in fending off attacks, while two American warships entered the Gulf.

Project Freedom is a defensive and temporary operation, Hegseth said, adding that the US naval blockade of Iranian ports remains in full effect. Both he and Caine reiterated that US forces are ready to resume combat operations if required, while calling on other nations to step in to help.

More than 1,550 commercial vessels carrying some 22,000 sailors are currently trapped in the Persian Gulf, Caine said.

Iran warned all ships against trying to get through Hormuz without its permission. It hit a South Korean bulk carrier and attacked an empty tanker belonging to the UAE’s state oil firm, Abu Dhabi National Oil Company, on Monday. There were no reports of injuries on either ship.

The American military fought off attacks from Iranian drones, missiles and armed small boats as it facilitated the passage of the two merchant vessels, US Central Command chief Brad Cooper said late on Monday.

The developments came amid an impasse between Iran and the US, with the sides showing little sign of agreeing to a fresh round of peace talks soon. Tehran insists Washington must lift a naval blockade on its ports for that to happen. The US says the blockade is choking Iran’s oil exports and squeezing its economy, forcing it into concessions.

“We see ‘Project Freedom’ as an attempt to break the logjam in the strait, which has cast a long shadow over the global economy,” said Becca Wasser, an analyst with Bloomberg Economics. “Still, it carries significant escalation risks, as the outbreak of fighting Monday illustrates.”

Oil dipped on Tuesday, with Brent trading around 2.5% lower at $112 a barrel in London. It jumped almost 6% on Monday.

The UAE said it intercepted almost all the roughly 20 projectiles fired from Iran, the first such attack on the Arab country since the truce kicked in. Yet three Indians were injured in a strike on an oil terminal part-owned by Vitol Group at the port city of Fujairah. Missile alerts were sent to people in cities such as Dubai and Abu Dhabi and authorities announced distance learning at schools for the rest of the week.

Iran cast the US move as “Project Deadlock” and a violation of the ceasefire. It also said talks mediated by Pakistan are making progress.

“Events in Hormuz make clear that there’s no military solution to a political crisis,” Foreign Minister Abbas Araghchi said on X. “The US should be wary of being dragged back into quagmire by ill-wishers. So should the UAE.”

Here’s more related to the war:

• Iraq is offering its buyers huge discounts for crude loaded this month, but tankers will have to transit the Strait of Hormuz to collect the barrels deep inside the Persian Gulf. The country has had to slash production since the war started.
• Chevron Corp is still concerned about the safe passage of ships through the strait, said Chief Executive Officer Mike Wirth. “It seems like we still have some issues to work through,” he said to Bloomberg TV.
• The UAE signaled its currency swap talks with the US were about joining a small club with access to Federal Reserve liquidity lines rather than a need for external financing.

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