World February 25, 2026

Geneva Talks Resume as U.S. and Iran Try to Head Off Military Confrontation

Indirect negotiations continue amid a U.S. military buildup and competing demands over enrichment and sanctions relief

By Nina Shah
Geneva Talks Resume as U.S. and Iran Try to Head Off Military Confrontation

Diplomatic talks between the United States and Iran resumed in Geneva as both sides seek to resolve a protracted dispute over Tehran's nuclear program and to prevent new U.S. strikes in the wake of a significant U.S. military deployment. U.S. and Iranian delegations are meeting indirectly under Omani mediation, with high-level envoys attending and the International Atomic Energy Agency expected to engage with both parties.

Key Points

  • High-level indirect talks in Geneva aim to resolve a protracted nuclear dispute and to prevent further U.S. strikes; mediation is led by Oman's foreign minister - sectors impacted include defense and diplomacy.
  • U.S. delegation includes Special Envoy Steve Witkoff and Jared Kushner; Iran is represented by Foreign Minister Abbas Araqchi; the IAEA director Rafael Grossi is expected to engage both sides - this touches on international institutions and regulatory oversight.
  • Tehran is reportedly offering concessions tied to sanctions relief and recognition of enrichment rights, but disagreements remain on the scope and sequencing of sanctions relief - this has implications for economic stability and sanctions-sensitive financial activity.

GENEVA, Feb 26 - Diplomacy returned to Geneva on Thursday as U.S. and Iranian delegations opened a new round of indirect talks intended to address long-standing disagreements over Iran's nuclear activities and to defuse growing military tensions.

Officials said the sessions, renewed earlier this month, aim to make progress on a dispute that Western governments, including the United States and Israel, view as centring on Iran's potential to develop nuclear arms - a charge Tehran denies. The talks are being mediated by Oman's Foreign Minister Badr Albusaidi and follow a sequence of discussions in Geneva last week.

Attending the indirect negotiations for the United States will be U.S. Special Envoy Steve Witkoff and Jared Kushner, President Donald Trump’s son-in-law, while Iran will be represented by its Foreign Minister Abbas Araqchi, a U.S. official said. The meetings are framed by an increasingly tense security backdrop: the U.S. has been assembling a substantial military presence in the Middle East, prompting fears of wider regional confrontation.

U.S. President Donald Trump outlined the possibility of military action in his State of the Union address to Congress on Tuesday, while also saying he preferred a diplomatic resolution and that he would not allow Iran to obtain a nuclear weapon. Vice President JD Vance reiterated the administration’s position in a television interview, saying: "Iran can’t have a nuclear weapon. That would be the ultimate military objective, if that’s the route that (Trump) chose."

Last June, the United States and Israel jointly struck Iranian nuclear sites, a development Iran has warned it would respond to forcefully if attacked again. In that charged atmosphere, President Trump told Iranian leaders on February 19 that Tehran must reach an agreement within 10-15 days, warning that "really bad things" would otherwise occur.

On the diplomatic front, Foreign Minister Araqchi said on Tuesday that Iran seeks a fair and swift accord but would not renounce its right to pursue peaceful nuclear technology - a distinction Washington views with scepticism because it considers enrichment inside Iran a potential pathway to nuclear weapons. Araqchi also said in a statement on X: "A deal is within reach, but only if diplomacy is given priority."

There have been indications that Tehran may be prepared to offer fresh concessions in exchange for removal of sanctions and formal recognition of its right to enrich uranium, a move intended to lessen the prospect of U.S. military action. Reporting over the weekend suggested such concessions were on the table as Iran seeks to avert an attack. Despite this, officials on both sides remain sharply divided, including over how and when sanctions relief would be delivered, a senior Iranian official said.

Domestic pressures within Iran add urgency to the negotiations. The country's Supreme Leader, Ayatollah Ali Khamenei, is confronting what has been described as the most serious crisis of his 36-year rule, driven by an economy weakened by tighter sanctions and renewed protests following major unrest and a bloody crackdown in January.

The International Atomic Energy Agency's director, Rafael Grossi, is also expected to be in Geneva during the talks to engage with both delegations, having held meetings with the parties the previous week. His involvement underscores the technical and verification dimensions that persist alongside the political negotiations.


Context and stakes

The Geneva talks bring together senior U.S. envoys and Iran's foreign minister under Omani mediation, with a high-level international agency official present. Negotiators face a narrow window to reconcile competing demands over enrichment, sanctions relief and sequencing of any deal while operating beneath the shadow of a substantial U.S. military presence in the region.

Risks

  • Escalation to military conflict due to a major U.S. military buildup in the Middle East and explicit warnings of potential strikes - this risk directly affects the defense sector and regional stability.
  • Persistent divisions over timing and scope of sanctions relief could derail diplomacy, prolonging economic strain inside Iran and sustaining market and credit volatility - this risk impacts broader financial markets and regional economic activity.
  • Domestic political pressure in Iran, including protests and economic hardship, could constrain negotiators' flexibility and complicate agreement implementation - this uncertainty affects economic sectors sensitive to sanctions and political risk.

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