Iran has reportedly turned down a ceasefire proposal put forward by the United States and conveyed through Iraqi Prime Minister Ali al-Zaidi, according to a report by The New York Times. The development comes amid growing military tensions between Washington and Tehran and increasing concerns over the possibility of a wider conflict in West Asia.

The report, citing Iranian and Iraqi officials familiar with the discussions, said al-Zaidi delivered the proposal during his official visit to Tehran on Thursday. The visit followed his recent meeting with US President Donald Trump at the White House.

While the full details of the proposed ceasefire have not been made public, the report said Tehran rejected the offer because it failed to address one of Iran's key concerns—the issue of control over the Strait of Hormuz, one of the world's most strategically important maritime routes for global oil shipments.

Iraqi PM Acts as Diplomatic Messenger

According to the report, Prime Minister Ali al-Zaidi carried what was described as the only ceasefire proposal currently on the table between Washington and Tehran.

His visit marked his first official trip to Iran since taking office in May 2026. Accompanied by a high-level ministerial delegation, al-Zaidi held talks with Iranian President Masoud Pezeshkian, focusing on bilateral relations, regional security, and efforts to prevent further escalation across West Asia.

Both governments also reviewed the implementation of earlier cooperation agreements covering trade, energy, transportation, and regional connectivity.

Strait of Hormuz Remains Key Sticking Point

Officials cited in the report said Iran's primary objection was that the ceasefire proposal did not address the future status or security arrangements concerning the Strait of Hormuz.

The narrow waterway is one of the world's busiest energy corridors, with a significant portion of global crude oil and liquefied natural gas exports passing through it each day.

Control and security in the Strait have long been central issues in Iran's strategic calculations and have frequently been at the centre of tensions between Tehran and Western powers.

High-Level Meetings in Tehran

During his visit, al-Zaidi also met with several senior Iranian leaders, including Parliament Speaker Mohammad Bagher Ghalibaf, Foreign Minister Abbas Araghchi, and other officials involved in regional diplomacy.

According to Iranian media reports, discussions extended beyond the ceasefire proposal to include economic cooperation, regional stability, and strengthening bilateral ties between Iran and Iraq.

The meetings underscored Baghdad's continuing efforts to maintain communication with both Washington and Tehran amid escalating regional tensions.

Concerns Over Wider Regional Conflict

The New York Times, citing two anonymous Iranian officials, reported that Tehran is preparing for the possibility of a broader military confrontation if the United States expands its military operations against Iran.

According to the report, Iranian officials warned that any further attacks on Tehran or critical infrastructure could trigger a wider regional response.

The officials reportedly indicated that Iran could expand military operations to include strikes on Tel Aviv and could seek support from Yemen's Houthi movement to disrupt shipping through the Bab al-Mandab Strait, another strategically important maritime chokepoint connecting the Red Sea and the Gulf of Aden.

These reported remarks have not been independently verified.

Casualties and Escalating Tensions

Iranian authorities said on Wednesday that the ongoing US strikes had resulted in 53 deaths and 592 injuries.

Tensions between the United States and Iran have risen sharply over the past two weeks following President Donald Trump's announcement on July 8 that the ceasefire framework outlined in last month's US-Iran memorandum of understanding was no longer in effect.

Since then, diplomatic efforts to restore calm have continued alongside heightened military activity, raising concerns among regional and international observers about the risk of further escalation.

With Iran reportedly rejecting the latest ceasefire proposal, uncertainty remains over whether fresh diplomatic initiatives can prevent the conflict from expanding across the region.