Hopes for de-escalation in the conflict with Iran have diminished following the Trump administration’s reversal on a potential agreement regarding passage fees in the Strait of Hormuz. A previously discussed memorandum of understanding between the US and Iran appears to have fallen apart this Tuesday. This retreat signals difficulties for the US in achieving its goal of ending the ongoing tensions with Iran. The initial proposal involved a payment system for vessels transiting the crucial waterway, intended to provide security and potentially avoid further confrontations. However, the specifics and viability of this plan were consistently questioned, and ultimately, the US stepped back from pursuing it. The collapse of this understanding underscores the significant obstacles remaining in the path towards a peaceful resolution and suggests continued challenges in navigating the complex geopolitical landscape.