U.S. negotiators are scheduled to travel to Islamabad on Saturday as part of ongoing efforts to reach an agreement to halt a war that has inflicted thousands of deaths and shaken global markets. The White House said President Donald Trump’s special envoy Steve Witkoff and Jared Kushner, who is the president’s son-in-law, were set to depart Saturday morning for discussions with Iranian Foreign Minister Abbas Araqchi.
Despite the planned U.S. visit, Iran made clear it had no intention of meeting American officials directly. An Iranian foreign ministry spokesperson posted on X that Tehran would not meet U.S. representatives and instead would pass its concerns to mediator Pakistan. The White House had not immediately responded to that statement.
Defense Secretary Pete Hegseth, speaking to reporters, urged Iran to seize what he described as an opportunity to reach a "good deal" with the United States. "Iran knows that they still have an open window to choose wisely," he said. "All they have to do is abandon a nuclear weapon in meaningful and verifiable ways."
Abbas Araqchi arrived in Islamabad on Friday and met with Pakistani Foreign Minister Ishaq Dar at the Serena Hotel, the site of earlier talks. Pakistani sources said a U.S. logistics and security team was already in place in Islamabad. Araqchi also indicated on X that his travels would include visits to Pakistan, Oman and Russia.
President Trump told Reuters on Friday that Iran intended to make an offer designed to meet U.S. demands, though he said he did not know the offer's details. He declined to identify who in Iran Washington was negotiating with, saying only that the United States was "dealing with the people that are in charge now."
White House press secretary Karoline Leavitt said the U.S. had observed some progress from Iran in recent days and expressed hope for further steps over the weekend. Vice President JD Vance was reported to be ready to travel to Pakistan as well. In a previous round of talks in Islamabad two weeks earlier, Vance, Witkoff, Kushner and Araqchi participated alongside Iran's parliamentary speaker Mohammad Baqer Qalibaf in discussions that did not produce a breakthrough.
The strategic impasse between Washington and Tehran has had a pronounced economic impact. Iran has largely closed the Strait of Hormuz - a maritime chokepoint that typically carries one-fifth of global oil shipments - while the United States has enacted measures to block Iran's oil exports. The conflict, now in its ninth week, has driven energy prices to multi-year highs, contributing to higher inflation and dimming prospects for global growth.
Market volatility has been marked. Oil prices surged this week, with Brent crude futures rising by 16% amid uncertainty over the peace talks and renewed violence in the region. Shipping data showed a dramatic fall in transit through the Strait of Hormuz: five ships crossed in the 24 hours prior to Friday, compared with roughly 130 ships per day before the war that the United States and Israel launched on February 28. Those five vessels included an Iranian oil-products tanker but did not include the large crude supertankers that normally supply global markets.
Separately, a ceasefire extension brokered at the White House led Israel and Lebanon to agree to a three-week pause, yet combat continued in southern Lebanon with little evidence of a lasting truce. Israel launched an incursion into northern Lebanon last month in an effort to counter Hezbollah after the militant group fired across the border. Tehran has said that a ceasefire in southern Lebanon is a precondition for talks.
Lebanese officials reported that six people were killed by an Israeli strike, while Hezbollah said it had downed an Israeli drone. Israel's military stated it had killed six armed Hezbollah members in southern Lebanon.
As the parties prepare for another encounter in Islamabad, diplomatic postures remain cautious. Iran's decision not to engage directly with U.S. negotiators introduces an additional procedural obstacle to talks that world leaders and markets are watching closely.