The United States military shot down two Iranian attack drones near the Strait of Hormuz early on June 12, hours after President Donald Trump declared a "great settlement" had been reached to end the four-month war. The twin developments — military action alongside diplomatic breakthrough claims — capture the volatile endgame of a conflict that has shut down roughly 20% of global seaborne oil and put India's economy at direct risk.
What Happened Overnight
A senior US defense official told RFE/RL: "It appears Iran has attempted to strike commercial ships transiting the Strait of Hormuz tonight. US forces shot down two Iranian one-way attack drones. Traffic flow through the strait continues." Iranian state media claimed IRGC forces fired toward a tanker attempting to traverse without coordination; the tanker later "complied" after receiving warnings.
The Draft Peace Deal: What's In It
Iran's Mehr news agency claimed the draft MOU includes: Iran's commitment not to develop nuclear weapons, permanent halt to the war on all fronts including Lebanon, reopening the Strait of Hormuz within 30 days, 60 days of nuclear negotiations, lifting the US naval blockade, suspending sanctions, and releasing $24 billion in frozen Iranian funds.
Caveat: Iranian state media frequently floats positions; previous reports "proven inaccurate."
Trump vs Israel: Different Expectations
Trump from the Oval Office: "We have a deal that Iran will never have a nuclear weapon." He cancelled planned strikes and said the deal could be signed within days. Israeli PM Netanyahu's office confirmed Trump assured him the final agreement would include removal of enriched material, dismantling enrichment infrastructure, and cessation of Iran's proxy support.
How This Hits India
India imports over 80% of its crude oil. Petrol prices are up 7.4% since May, diesel up 8.4%. The RBI cut its FY27 GDP forecast to 6.6%. EY estimates crude at $120/bbl would drag growth to 6%. Indian refiners are scrambling to diversify — more Russian crude, West African alternatives, longer routes from Iraq.
Sources: RFE/RL, NPR, Reuters, AP, Sky News, Dawn, Axios, NYT, The Economic Times, RBI
See also: Haiti's Top Security Official James Boyard Kidnapped in Port · Trump Says Iran Peace Deal Signed Today — Strait of Hormuz t
Sources
- Reuters World — reuters.com/world
- Associated Press — apnews.com
- Voxlogue editorial research
