The Dictatorship
The U.S.-Iran war just entered a new phase. Here’s what’s at stake.
Over the weekend, less than two weeks after Iran and the United States signed a memorandum of understanding to end hostilities, the countries exchanged multiple attacks. Iran fired at a ship crossing the Strait of Hormuz, the U.S. shot at Iranian missile and drone sites, then both sides launched more strikes while claiming retaliation for the other violating the ceasefire. A meeting between the two countries was called offthough the White House now says there will be new meetings in Qatar.
This isn’t a return to full-scale war, but it isn’t peace either. It is a new phase in the conflict: the fight to control Hormuz. The United States already lost the fight Trump started; it failed to achieve his declared goal of the Iranian regime’s unconditional surrender, or, barring that, Tehran’s acceptance of stringent nuclear restrictions. Now the conflict is over whether Iran controls Hormuz and can charge fees, or if the U.S. can restore the pre-war status quo, with ships transiting freely.
The U.S.-accepted language doesn’t officially acknowledge Iranian control of Hormuz, but, if anything, it favors Tehran’s interpretation.
The two sides are making incompatible claims about the MOU’s contents. Iran’s Foreign Minister Abbas Araghchi said that under the agreement, Iran has sole responsibility for the strait. Meanwhile, the Trump administration asserts that the U.S. will not allow Iran to “illegally control an international waterway.”
The MOU itself is ambiguous enough to allow for either interpretation. But that’s the problem: this core issue was never worked out. The MOU was essentially a negotiated agreement to negotiate an agreement, punting all major points of contention to future talks.
Article 5 of the MOU says “the traffic of commercial vessels will immediately start” and “Iran will make arrangements using its best efforts for the safe passage” but doesn’t say if those arrangements can include tolls. Beyond that, all the MOU does is require Iran to talk with Oman “to define the future administration and maritime services in the Strait of Hormuz” while recognizing “the sovereign rights of coastal states.”
The U.S.-accepted language doesn’t officially acknowledge Iranian control of Hormuz, but, if anything, it favors Tehran’s interpretation. Professional diplomats would have demanded more specifics, including on the limits of coastal sovereignty over what has long been treated as an international waterway. But the U.S. negotiating team was led by an inexperienced vice president (JD Vance), the president’s son-in-law (Jared Kushner), and a real estate investor (Steve Witkoff). Perhaps they thought they could use the ambiguity to their advantage, or that any language was worth getting something they could call a deal. Whatever their logic, agreeing to this text set up the fight for Hormuz.
Iran is treating control of Hormuz as a spoil of a successful defensive war. After surviving the initial U.S.-Israeli assault and demonstrating that its military can block Hormuz despite U.S. efforts to prevent it, the Iranian government has consistently asserted that it will control the strait. Last month, Iran set up something called the Persian Gulf Strait Authority and told ships they’ll have to register and sign up for a mandatory insurance policy (which sounds like a euphemism for tolls).
Neither side looks interested in reigniting the high-intensity warfare that ended with a provisional ceasefire on April 8. But they’re still asserting incompatible claims over the strait.
Meanwhile, the United States is acting as if it’s still the predominant military force in the Persian Gulf, as if the war didn’t alter the regional power structure. Trump has been declaring Hormuz totally open and freeand lying that Iran agreed to it. Gulf Arab states are saying they won’t pay tolls. After the signing of the MOU, a stream of ships began exiting the Gulf via a route hugging Omanknown to be clear of Iranian mines. But the vessels are still within easy range for Iranian missiles and drones, as shown by the Iranian attack on a merchant vessel Thursday that kicked off the weekend’s exchanges of fire.
If ships can use this route without registering with the Iranian government, it will establish a corridor through Hormuz outside Iran’s control. That would effectively surrender Iran’s claims to sovereignty over the strait and erase most of Iran’s longer-term geopolitical and economic gains from the war, making this a put-up-or-shut-up moment for the Iranian regime and especially its Revolutionary Guard. That points towards further escalation.
Neither side looks interested in reigniting the high-intensity warfare that ended with a provisional ceasefire on April 8. But they’re still asserting incompatible claims over the strait, so there will likely be further military exchanges.
Maybe Iran re-establishes enough of a threat, including over the Oman corridor, that ships won’t risk transit. But that would undo the MOU, which in practical terms means economic benefits for Iran in exchange for allowing ships in and out of Hormuz. Iran is already enjoying the removal of the naval blockade the U.S. imposed in April and waivers for U.S. sanctions, thereby facilitating the sale of Iranian oil. They want other economic benefits the MOU promises, but they likely want the strategic and economic benefits of controlling Hormuz more.
And time is on Iran’s side. Disrupted shipping in the Gulf harms the global economy, and the bigger the economic damage, the more that the U.S. attacking Iran becomes a cautionary tale. For now, countries and companies are covering the oil shortfall by drawing down reserves, but reserves are running out.
Fear of a big energy market disruption, when daily oil demand increasingly exceeds available supply, was a main reason Trump surrendered to Iran in the first place. At the G7 summit on June 17, Trump said“We run out of reserves at about four weeks.” That would put the deadline in mid-July.
Maybe it’s more like August or September, but whatever the deadline, big economic problems will come if oil reserves run out and ships from the Gulf aren’t on the way bringing more. The markets did react positively when shipping began to pick up after the MOU, with oil futures dropping to around pre-war levels. But that won’t last if conditions stagnate or worsen.
Either way, Trump messed up this war so badly that the U.S. aim now is just to get back to something like the pre-war status quo. And at this point, even that looks unachievable.
Nicholas Grossman is a political science professor at the University of Illinois, editor of Arc Digital and the author of “Drones and Terrorism.”
The Senate Judiciary Committee postponed a vote on acting Attorney General Todd Blanche’s nomination, a spokesperson said late Wednesday, as two retiring Republicans on the panel dug in over President Donald Trump’s personal “anti-weaponization” deal with the government he runs.
Sen. Chuck Grassley’s decision to delay the committee vote that had been set for Thursday marks a setback for one of Trump’s highest-profile Cabinet nominees, at the hands of Texas Sen. John Cornyn and Sen. Thom Tillis of North Carolina, a pair of Republicans set to leave the chamber next year.
“Chairman Grassley works to set President Trump’s nominees up for success in committee, not failure. Senators Cornyn and Tillis want written assurances from the Department of Justice regarding the Trump-IRS settlement,” the committee spokesperson said.
Blanche’s nomination to permanently head the Department of Justice needs the support of either Cornyn or Tillis to make it out of the committee to a vote by the full Senate, assuming all Democrats remain opposed.
“Why don’t you call over the Department of Justice and tell them they have one hour and 50 minutes to get me what I asked for,” Cornyn told reporters Wednesday afternoon amid the hardening standoff over his demand that Blanche and the DOJ put in writing a commitment never to pursue the president’s prized “anti-weaponization” fund, and to clarify the terms of Trump’s personal deal with the Internal Revenue Service.
Tillis told MS NOW that the conversations were complicated by the need for the Justice Department to get “several parties” to agree on the language of the statement Cornyn and Tillis are seeking.
“What I’ve advised the chair, and I would assume Senator Cornyn said something similar, is that we’re not prepared to vote yes yet,” he added.
“The Department has been in regular communication with Committee members for weeks, and we look forward to continuing to work productively with Senators to address any concerns,” a Justice Department spokesperson said in response to the decision to postpone the committee vote.
Cornyn was set to meet with Blanche on Wednesday morning, but the meeting was called off after Blanche failed to meet the senator’s demand for written proposals to modify the controversial settlement agreement he brokered between Trump and the IRS. The Republican senator is set to leave Congress when his term ends in January after a bruising May primary loss to Texas Attorney General Ken Paxton, Trump’s chosen candidate.
“Maybe John Cornyn’s upset with me because I didn’t endorse him,” Trump told reporters Wednesday afternoon in the Oval Office. “I don’t know what it is, but I haven’t heard that there’s a problem. I heard (Blanche) is going through quite nicely.”
Cornyn made clear to Blanche during his confirmation hearing that he will not get his support until he agrees to reopen and modify the settlement. Due to the committee’s narrow Republican majority, one GOP “no” vote is enough to sink Blanche’s nomination.
The senator has asked Blanche to provide proof that the proposed nearly $1.8 billion “anti-weaponization” fund established as part of the deal between Trump and the IRS is formally dead, and he has also demanded Blanche narrow the tax audit immunity provisions the settlement afforded to Trump and his family.
Blanche has publicly stated that his department has dropped the fund, but he and the DOJ have dodged requests from Cornyn and a federal judge to put that in writing.
After announcing his meeting with Blanche would not take place Wednesday morning, Cornyn told reporters that changes from Blanche “in a modified release form” would be acceptable, but that “for some reason … they simply refuse to do it,” referring to the DOJ.
Shortly after the meeting was called off, a Justice Department official told MS NOW that the department “provided a written proposal to Senator Cornyn’s staff yesterday following ongoing discussion with both the Committee and the Senator’s office.”
Cornyn said that proposal was “not responsive” to his demands because it did not address the tax audit immunity provisions in the settlement, one of his key demands.
In May, Blanche signed an addendum as part of the deal that granted Trump, his family and his businesses immunity from pending IRS tax audits. That agreement, which has been decried by former IRS officials and legal experts as unlawful self-dealing, is being contested in federal court.
Cornyn noted that Blanche testified under oath that he could meet the request during his confirmation hearing.
“Maybe they think I’m just going to give up or you know, go along, but they’re mistaken,” Cornyn said when asked why he thinks the DOJ could be slow-walking his request.
Kevin Frey contributed to this report.
Sydney Carruth is a breaking news reporter covering national politics and policy for MS NOW. You can send her tips from a non-work device on Signal at SydneyCarruth.46 or follow her work on X and Bluesky.
Mychael Schnell is a reporter for MS NOW.
Ebony Davis is a breaking news reporter for MS NOW based in Washington, D.C. She previously worked at BLN as a campaign reporter covering elections and politics.
When Israeli Prime Minister Benjamin Netanyahu arrived this week for his tour of Washington, he may have had a mission in mind.
Netanyahu needed to overcome his newly diminished stature and waning influence over his once close friend President Donald Trump as both leaders grapple with the unpopularity of a war they started together and is escaping their control.
His meeting at the White House with Trump on Tuesday, which was closed to the press, was the first face-to-face encounter between the two allies since the U.S. and Israel launched a joint attack against Iran on Feb. 28.
Trump gave him a muted welcome and afterwards simply described the meeting as “very good.” “Obviously, many important subjects were discussed,” the president wrote on Truth Social.
Rather than an intimate one-on-one setting, the Oval Office was full of top U.S. officials — Vice President JD Vance, Secretary of State Marco Rubio, Treasury Secretary Scott Bessent, Secretary of Defense Pete Hegseth, Chairman of the Joint Chiefs of Staff Gen. Dan Caine, and special envoy Steve Witkoff.
But Netanyahu continued the full court press on the Trump administration.
Over the course of two days, in addition to seeing Trump and attending Sen. Lindsey Graham’s funeral at the Capitol, Netanyahu also met separately with Vance, Hegseth, and Rubio, White House and Israeli officials confirmed to MS NOW.
The Israeli prime minister’s slate of meetings with key U.S. national security officials comes at a pivotal moment in the Iran conflict as tensions escalate in the region and Americans increasingly sour on the war. A recent Quinnipiac poll shows 60% of American voters opposing U.S. military action against Iran and 74% against sending U.S. ground troops into Iran.
Not only does Trump face pressure as Republicans face an uphill battle to retain congressional control in this fall’s midterms, Netanyahu’s fate as prime minister is at stake in Israel’s upcoming September elections – and he can’t afford to lose Trump’s favor.
The talks largely focused on what to do next as Iran continues to menace shipping in the Strait of Hormuz and retaliate against American bases in the region and launch attacks on Gulf allies.
According to a senior Israeli official who was granted anonymity to describe the closed-door meeting, President Trump and Israeli Prime Minister Netanyahu did not come to a final decision after discussing three paths forward: get a “good deal” focused on Iran’s nuclear program and enriched material, have no deal and instead continue the blockade and economic pressure, or take escalated military action.
But Netanyahu did not tell Trump what he should do – nor did he express a preference.
The senior Israeli official noted Netanyahu has not ruled out diplomacy – as long as it is coupled with “very strong pressures,” calling the push to dismantle Iran’s nuclear program “a contest of will and a contest of force.”
“There are ways of squeezing them and squeezing them and squeezing them and negotiating at the same time,” the official said.
Netanyahu did not present President Trump with new intelligence regarding the underground Iranian nuclear facility Pickaxe Mountain, per the senior Israeli official, noting the U.S. and Israel already are constantly sharing intelligence – and know where Iran’s highly enriched material is. “We don’t think it’s moved, and I think we have a pretty good grasp on that,” the official said.
During their meeting on Tuesday, Trump and Netanyahu discussed ways Israel and the U.S. can work together to stop Iran’s nuclear program and get the Strait of Hormuz open to maritime trade, the senior Israeli official said.
The two leaders also discussed a third goal: to continue to undermine the Iranian regime and “possibly create future conditions for a change in that area.” U.S. officials have backed away from pursuing paths that would overthrow the current leadership, but Netanyahu still believes that could happen.
“The chasm that has been created between the people and the regime is not about to be closed,” the senior Israeli official said of Netanyahu’s thinking.
Netanyahu advised Trump in February that Israeli intelligence indicated launching strikes against Iran would lead to the toppling of the Islamic Republic’s regime – and five months later, the slain ayatollah’s son retains power with a close circle of hardliners, calling into question the accuracy of Israel’s intelligence apparatus.
But the senior Israeli official said at the time, Netanyahu did not promise the Iranian people would take fate into their own hands following a coordinated attack. Rather, he chose his words carefully and said that an attack could create conditions to “advance the probability or the possibility that that would happen.”
The conditions needed for the Iranian regime to fall, “did not materialize,” the official told MS NOW, adding, “not for lack of insight, but for either operational failure or decisions that were made.”
Despite Netanyahu insisting Israel and the U.S. are on the same page, differences still remain: the sale of F-35 fighter jets to Turkey and the Saudi nuclear arrangement did not come up during Wednesday’s White House meeting, according to a second Israeli official granted anonymity to describe sensitive discussions.
Meanwhile, the conflict continues to spread, with an Iranian drone attacking a U.S. gas storage tanker off the coast of Egypt on Wednesday.
Trump indicated he would not let Iran’s latest action slide, telling reporters on Wednesday that the U.S. would retaliate against Iran even as he leaves room for diplomatic talks to resume.
“It’s our turn, and we’ll see if we get there with an agreement at some point,” Trump said. “But we’re going to hit them very hard.”
As for what it would take for Israel to join the U.S. strikes, the senior Israeli official said that if Israel is attacked by Iran, “We will respond very, very forcefully and very quickly. And I think Iran would make a great mistake.”
Julia Jester covers politics for MS NOW and is based in Washington, D.C.
International rage over FIFA’s close ties to President Donald Trump has reached a fever pitch after soccer’s governing body announced a plan to sell a significant stake to an investor group led by Joshua Kushner, the brother of Trump’s son-in-law.
The president and his family have all but turned the White House into their personal piggy bank. And FIFA — which has its own sordid history of corruption — seems to have made itself a party to Trump’s self-enrichment under Gianni Infantino’s leadership, such as by paying for space inside Trump Tower in New York. (The organization has defended the office rental as a World Cup outpost.)
Soccer is seen by many as a unifying game. But Trump’s incorporation of FIFA into his political dynasty is threatening that idea.
FIFA has announced plans to sell a large minority stake in a new company that will run its main events, including the World Cup and Club World Cup, as part of a plan to triple the amount of development money it dishes out to its 211 member associations.
Under the proposals — which are subject to approval by a majority of those national associations and FIFA’s 37-member council — a new entity called FIFA Forward Enterprises (FFE) will take over all commercial operations, while FIFA remains the game’s global governing body and retains a majority stake in FFE.
A press release from FIFA confirmed the plans and said Thrive Eternal, which was launched by Joshua Kushner, is expected to lead the investment group that would control FIFA Forward Enterprise. FIFA did not clarify why Thrive Eternal was selected, and Kushner was already dabbling in sports.
But Trump basically has already given son-in-law Jared Kushner carte blanche to dictate U.S. foreign policy in the Middle East while simultaneously hatching business plans in the region. (Jared Kushner has denied any conflicts of interest.)
Joshua Kushner reportedly has been a major donor to Democrats. But, predictably, the idea of another Kushner becoming financially entwined with the World Cup — the world’s most popular sporting event — and basically being dropped into a position of global significance isn’t going over well. Several other soccer governing bodies have expressed concerns, including Europe’s UEFA.
“This crosses a line that football’s governing institutions should never cross,” UEFA said in a statement about The Athletic’s report, adding: “The soul and governance of football are not assets to trade — especially with zero transparency as to who gains financially. None of us are the owners of football. It is not FIFA’s to sell.”
Democrats on the House Judiciary Committee also rebuked the plan, writing on X: “Apparently the fake Peace Prize and giant lease with Trump Tower weren’t enough — now Infantino performs a kickback hat trick by pursuing a multibillion-dollar deal with Jared Kushner’s brother to sell ownership stakes in the World Cup to private investors.”
FIFA, Donald Trump’s favorite corrupt racketeering enterprise in world sports, is now going directly into business with the Trump family!
Apparently the fake Peace Prize and giant lease with Trump Tower weren’t enough—now Infantino performs a kickback hat trick by pursuing a… https://t.co/knSZibuMea
— House Judiciary Dems (@HouseJudiciary) July 28, 2026
Rep. Jamie Raskin, D-Md., has already launched an investigation into the FIFA leader’s relationship with the Trump administration, while dozens of European lawmakers — citing concerns about “potential breaches of political neutrality” — have called for the FIFA Ethics Committee to investigate Infantino. This new proposal seems unlikely to assuage those concerns.
But what it does seem likely to do is fuel global anger toward the U.S. — the kind that has been growing since Trump retook office.
And when you consider that, it’s truly remarkable how the same MAGA movement whose members whined for years about politics mixing with sports is now in lockstep with a president who seems dead-set on casting his shadow over every sports event he can.
This post on X basically sums up the foul stench around FIFA’s latest proposal.
Sepp Blatter was Infantino’s predecessor as FIFA president and oversaw the organization amid some of its many scandals. When heof all people, is warning about how Trump and Infantino’s relationship is “deeply damaging” soccer, it’s a sign of how far FIFA has descended into the gutter.
Ja’han Jones is an MS NOW opinion blogger. He previously wrote The ReidOut Blog.
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