This blog has now closed. Read below for the latest developments concerning the Iran war and the wider Middle East on Monday, July 27.
Iran says it has not sought to resume talks with the US Tehran and Washington are not currently holding talks, but mediators remain active The Strait of Hormuz remains closed, according to Iran Oil prices lower on Monday as the US-Iran strikes pause Trump says he won’t allow ‘much time’ before restarting attacks Saudi Arabia says it intercepted drones launched from Iraq
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Italy drops taxes on diesel amid oil price pressures
Italy’s government has reduced its taxes on diesel fuel by 17 cents per liter temporarily via a decree, Economy Minsiter Giancarlo Giorgetti told reporters.
The measure will stay in force until at least August 6. Giorgetti said the government would meet to discuss further possible steps on August 4, saying if necessary it could also act to curb electricity and gas bills.
“We will assess how the situation develops,” he said. Prime Minister Giorgia Meloni also lauded the response to a price hike “which we did not cause but must address.”
She said diesel prices weighed heavily on sectors like transportation and agriculture, meaning that every family ultimately pays.
“We know it doesn’t solve the problem, Meloni said. “But it is a timely and responsible response, taking into accoun the limited resources we have and an international landscape that is constantly evolving.”
Germany introduced a similar temporary reduction of the taxes levied on both diesel and petroleum or gasoline via a parliamentary vote earlier in the year. But it expired at the end of June, shortly before hositilities flared up again, and prices have risen sharply once more this month.
Iraq says it will prosecute any seeking to strike Saudi Arabia from its territory
Iraq’s prime minister’s office says that PM Ali Faleh al-Zaidi has ordered the commander-in-chief of the armed forces to investigate Saudi Arabia’s report earlier on Monday of coming under attacks from drones launched from Iraqi territory.
“The Iraqi government reaffirms its constitutional and unwavering commitment to the principles of good neighborliness and to preventing Iraqi territory from being used as a route or launching point for any attack targeting brotherly or friendly countries,” it said in a statement posted online.
It said the government was examining the avaialable evidence and “will take legal action against anyone proven to have been involved in such acts.”
Iraq, whose population is majority Shia like neighboring Iran’s, is home to several Iran-backed or affiliated Shiite militia groups, the most powerful and well known of which is probably Kata’ib Hezbollah.
Iraq and Saudi Arabia share a border of more than 800 kilometers (over 500 miles) through the Arabian desert; southeast Iraq’s tiny chunk of coastline accessing the Persian Gulf is also not far north of Saudi Arabia’s eastern coastline.
Trump says he won’t allow ‘much time’ before restarting attacks
US President Donald Trump spoke briefly to the Axios news outlet on Monday.
Asked about how long he was willing to give the diplomatic process, after two nights without US strikes on Iranian targets, he said: “Not much time. Either it goes fast or not at all.”
Trump was quoted as saying that Washington was in “very deep talks with Iran” — seemingly contradicting the outward claims of the Iranian regime which on Monday said it had not initiated more direct talks — but warning that he was also ready for “strong military action” if diplomacy failed.
This comes as Gulf countries like Saudi Arabia and Jordan, and Iran’s neighbor Iraq all report drone attacks on Monday, most likely stemming from Iran or its proxies.
Saudi Arabia says it intercepted drones launched from Iraq
Saudi Arabia said its air defenses intercepted and destroyed several drones launched from Iraqthat were targeting oil facilities in the kingdom’s Eastern Province and the capital, Riyadh.
The Saudi Defense Ministry said the drones were launched by Iran-backed armed groups operating in Iraq. According to the ministry, the attempted attacks were thwarted before they reached their targets.
Saudi Arabia’s Foreign Ministry condemned the incident and reaffirmed the kingdom’s right to respond to the sources of what it described as “aggression” and to deter those responsible.
Riyadh also called on the Iraqi government to prevent its territory from being used to launch attacks against Saudi Arabia, saying Baghdad must take all necessary measures to stop such operations.
Is the US-Iran conflict entering a less volatile phase?
US media reports suggest concerns about military resources, rising energy prices and the risk of a broader regional conflict may be influencing President Donald Trump’s calculations.
In this DW interview, former US diplomat Alan Eyre, who helped negotiate the 2015 Iran nuclear deal, explains the factors shaping Washington’s strategy, assesses the prospects for de-escalation and discusses what could come next in theUS-Iran conflict.
Iran warns of ‘unforeseen’ consequences after alleged Ukrainian attack
Iran warned on Monday of “unforeseen” consequences after Ukraine said it had carried out long-range strikes against vessels in the Caspian Sea over the weekend.
Foreign Ministry spokesperson Esmaeil Baghaei condemned the attack as illegal and unjustified, saying it violated the UN Charter and would not go unanswered by Tehran.
Ukrainian President Volodymyr Zelenskyy said on Saturday that Kyiv had targeted vessels transporting military cargo linked to Iran. Iran said one of its ships exploded in the attack, killing a sailor and injuring several others.
Baghaei said Ukraine’s actions amounted to a “dangerous act of adventurism” and warned that the consequences would be unpredictable. Tehranhas vowed to respond to the incident, which marks a significant escalation involving Iran and Ukraine.
US strikes damage water infrastructure in southern Iran, affecting 120,000
Recent US strikes have caused significant damage to water infrastructure in southern Iran, disrupting supplies for around 120,000 people, according to Iranian authorities.
The Iranian news agency Fars, citing an official in Hormozgan province, reported that 18 facilities, including seawater desalination plants, were damaged in the attacks. Ten of the facilities were said to have been completely destroyed.
Among the sites hit was a desalination plant on Qeshm Island, which was reportedly knocked out of service at the beginning of the latest escalation in early July. Authorities said the damage has affected water supplies for more than 120,000 residents.
The disruption could have a severe impact on civilians in southern Iran, where extreme summer heat and long-standing drought conditions already place pressure on water resources. Daytime temperatures in the region regularly exceed 40 degrees Celsius (104 Fahrenheit).
Iran says Revolutionary Guards stopped six vessels in Hormuz
Iran’s Revolutionary Guards navy stopped six vessels attempting to transit the Strait of Hormuz through routes not approved by Iranian authorities, Iran’s state television reported on Monday.
According to a state TV correspondent, the vessels were intercepted overnight after trying to use routes outside those designated by Iran. The report said the IRGC Navy fired warning shots before turning the vessels back.
Earlier, state television reported an unspecified “incident” involving one vessel but provided no further details.
The latest action follows a similar episode on Saturday, when the Revolutionary Guards said they stopped four vessels attempting to transit the southern part of the strait after firing warning shots.
Oil prices fall as US-Iran pause raises hopes for renewed talks
Oil prices fell sharply on Monday after a pause in hostilities between the United States and Iran boosted hopes for a return to ceasefire efforts and negotiations over the Strait of Hormuz.
Brent crude dropped more than 7% at one point, briefly falling below $90 (€79) a barrel, as investors welcomed signs of de-escalation after nearly two weeks of exchanges between Washington and Tehran.
The US refrained from launching further strikes over the weekend, while Iran said it would halt retaliatory attacks against regional neighbors. The moves eased concerns over disruptions to shipping routes and global energy supplies.
Meanwhile, Iran said discussions with Oman had made progress on managing the Strait of Hormuz, a critical global oil transit route. Foreign Ministry spokesperson Esmaeil Baghaei said the talks focused on ensuring safe shipping passage while respecting the sovereignty of the countries involved.
The recent conflict had pushed oil prices above $100 a barrel for the first time since May, as concerns grew over threats to shipping in the Strait of Hormuz and the Red Sea.
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Iran’s Foreign Ministry spokesperson Esmaeil Baghaei said Tehran has not sought to resume talks with Washington and does not currently hold direct talks with the US.
While mediators continue to pass on messages, Baghaei said the situation in the Strait of Hormuz remains unchanged and the waterway is still closed. He also said some Gulf countries had been involved in the US war on Iran, without providing further details.
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