Commodities February 5, 2026

White House Says Diplomacy Is First Option With Iran as Talks Proceed, but Military Options Remain

High-level negotiations in Oman proceed amid U.S. force buildup and disagreement over agenda; Tehran deploys advanced missile

By Hana Yamamoto
White House Says Diplomacy Is First Option With Iran as Talks Proceed, but Military Options Remain

The White House says President Donald Trump prefers diplomacy in dealings with Iran and will see if a deal emerges at upcoming talks in Oman, while reminding Tehran that military options remain available. Preparations continue for Friday’s high-level meeting even as tensions rise across the region, disagreements persist over whether the agenda will include ballistic missiles and other non-nuclear issues, and Iran moves an advanced long-range missile into position.

Key Points

  • White House says President Trump prefers diplomacy with Iran but warns he retains military options - impacts defense and geopolitical risk outlooks.
  • High-level talks are set for Friday in Oman (moved to Muscat), but disagreement over whether to include Iran’s missile program and regional activities continues - impacts energy, defense, and regional markets.
  • Iran reported deployment of the Khorramshahr 4 long-range missile and the U.S. has reinforced forces in the Middle East - increases military tension and could affect regional security-sensitive sectors.

Summary

The U.S. administration has framed diplomacy as President Donald Trump’s primary approach to resolving tensions with Iran, while warning that military options are also available. Officials completed final preparations for talks set to take place in Oman on Friday amid a U.S. military buildup in the Middle East and competing views on the scope of negotiations. Tehran has signaled it will engage, but also displayed military capability with the reported deployment of a long-range ballistic missile.


Diplomacy as the Lead Option

White House press secretary Karoline Leavitt told reporters that diplomacy is the president’s first preference in dealing with Iran and other countries around the world. She reiterated that Mr. Trump has been explicit about demanding "zero nuclear capability" from Iran and said the president wants to see if a deal can be struck during the high-stakes discussions. Leavitt added that, while negotiations are under way, the Iranian regime should be reminded that the president has "many options at his disposal, aside from diplomacy, as the commander in chief of the most powerful military in the history of the world."


Preparations and Format for the Talks

Final preparations were under way for talks scheduled on Friday in Oman as U.S. forces continue to build up in the Middle East - a deployment the president has described as a massive "armada". The meeting was arranged despite differences between the two sides over the agenda, a dispute that has raised doubts about whether negotiators can reach an agreement.

U.S. officials have said the discussions should address Iran’s missile arsenal and other issues beyond its nuclear program, while Tehran has insisted that the talks focus solely on its disputed nuclear activities. It was not clear whether the disagreement over agenda items had been resolved before the meeting.


Iran’s Delegation and Negotiating Tone

Iran’s Foreign Minister Abbas Araqchi departed for Oman on Thursday. His spokesperson, Esmail Baghaei, said Tehran would participate "with authority and with the aim of reaching a fair, mutually acceptable and dignified understanding on the nuclear issue." Baghaei added: "We hope the American side will also participate in this process with responsibility, realism and seriousness."

Araqchi is expected to meet in Muscat with Steve Witkoff, the U.S. special envoy, and Jared Kushner, the president’s son-in-law and adviser, as part of the delegation-level discussions.


Military Posture and Mutual Warnings

U.S. officials have warned that military options remain on the table if diplomacy does not yield a deal. President Trump has threatened to carry out strikes on Iran if an agreement cannot be reached and told NBC News that Iran’s Supreme Leader Ayatollah Ali Khamenei "should be very worried." The president has also warned that "bad things" would probably happen if a deal could not be reached.

In response, Iranian officials have vowed counter-strikes. The exchange of blunt warnings has prompted regional governments to step up efforts to prevent escalation into a broader conflict.


Regional and International Reactions

Turkish President Tayyip Erdogan said his government was working to prevent tensions between the U.S. and Iran from tipping the Middle East into a new conflict, and suggested that talks between the U.S. and Iranian leadership could be helpful following the lower-level nuclear negotiations in Oman. Erdogan made the comments as he returned from a visit to Egypt and noted that such high-level engagement would be useful after the scheduled talks, according to a transcript of his remarks provided by his office.

At a press conference in Doha, German Chancellor Friedrich Merz said officials he met in the Gulf had expressed "great concern" about the potential for escalation with Iran. He urged Tehran to cease what he called aggression and to help bring stability to the region.

China stated its support for Iran’s legitimate right to the peaceful use of nuclear energy and said it opposed the "threat of force and sanction pressure." Gulf Arab states have warned they fear Iran could target U.S. bases on their territory if the United States attacks the Islamic Republic.


Disagreement over Agenda and Scope

U.S. officials have said talks should include discussions about Iran’s ballistic missile program, its backing of armed proxy groups across the Middle East, and its treatment of its own people, in addition to nuclear issues. Iranian authorities have insisted the talks remain confined to the nuclear dispute with Western powers.

U.S. sources say they are pressing Tehran to accept a much more limited range for its missiles. Iranian sources say the U.S. is demanding Tehran limit the range of its missiles to 500 km (310 miles). The question of missile range remains one of the key points of contention between the sides.


Missile Deployment Reported

On the eve of the talks, Iran’s state-run Press TV reported that one of the country’s most advanced long-range ballistic missiles, the Khorramshahr 4, has been deployed at one of the Islamic Revolutionary Guards Corps underground missile sites. Press TV said the Khorramshahr 4 has a range of 2,000 km (1,240 miles) and is capable of carrying a 1,500-kg (3,300-pound) warhead. The U.S. has been pressing Iran to accept a much more limited range for its missiles.


Security Movements and U.S. Force Posture

The United States has sent thousands of troops to the Middle East, along with an aircraft carrier, other warships, fighter jets, spy planes and air-refueling tankers. The U.S. military buildup accompanies diplomatic efforts as the administration seeks to maintain pressure while pursuing the possibility of an agreement.


Contextual Tensions

Tensions have risen amid uncertainty over the location and format of the talks, which follow Tehran’s violent crackdown on street protests last month. After President Trump spoke publicly, U.S. and Iranian officials said the two sides had agreed to move the talks’ location to Muscat after initially accepting Istanbul.


Stakeholders and Broader Implications

Iran’s regional influence has been challenged by Israeli attacks on its allied groups from Gaza to Lebanon, the Houthis in Yemen and militias in Iraq, and by the removal of a close ally from power in Syria. Iran maintains that its nuclear activities are for peaceful purposes, while the U.S. and Israel have accused Tehran of past efforts to develop nuclear weapons. The coming talks will test whether competing demands and security postures can be reconciled at the negotiating table.


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What’s Next

Delegates convene in Muscat amid frictions over agenda, the presence of regional leaders calling for restraint, and the backdrop of U.S. military reinforcements. The outcome of the talks, and whether they will expand to encompass missile limits and regional behavior in addition to nuclear matters, remained uncertain as preparations concluded.


Risks

  • Disagreement over the agenda - if talks remain limited to nuclear issues without addressing missiles and regional proxies, chances for a comprehensive deal are uncertain; sectors affected include defense and oil markets.
  • Military escalation risk - mutual threats and military buildups raise the possibility of strikes or counter-strikes, which could disrupt regional trade and energy supplies, affecting commodities and shipping sectors.
  • Political volatility driven by domestic unrest in Iran and regional reactions - Tehran’s recent crackdown on protests and responses from Gulf states and other international actors could influence investor sentiment in emerging market and energy markets.

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