Vice President JD Vance robustly defended President Donald Trump’s interim peace deal with Iran, asserting that the United States is not providing any funds to the Islamic Republic. His remarks countered Republican criticism regarding the agreement’s proposed sanctions relief and a substantial reconstruction plan, emphasizing that any economic benefits for Iran are strictly contingent upon its full compliance with the deal’s terms.
Vice President JD Vance took to a White House news conference Thursday to staunchly defend President Donald Trump's interim peace deal with Iran, vehemently rejecting claims that the United States is financially compensating the Islamic Republic. Vance's assertive comments come amidst a wave of Republican criticism suggesting that Trump conceded too much in the 14-point memorandum of understanding (MOU).
"The United States isn't giving up a cent of money to Iran," Vance declared, underscoring that any economic benefits for Iran, including sanctions relief, access to frozen funds, or the proposed $300 billion reconstruction plan, are entirely contingent on its full and unwavering compliance with the agreement's terms.
The deal's provisions, which include sanctions relief and a potential $300 billion reconstruction initiative, have ignited significant debate. Vance, however, dismissed the lifting of sanctions as a major concession, arguing that previous U.S. sanctions against Iran were "fundamentally ineffective." He contended that Iran was already engaged in oil sales despite the restrictions, and that lifting them could paradoxically offer the U.S. greater transparency into Iran's financial flows. "By lifting the sanctions, we're actually going to be able to see a little bit where their financial system actually sends money and receives money," Vance explained, touting it as a "real benefit to the American people."
He further framed the agreement not as a capitulation but as a continuation of Trump’s pressure campaign, asserting that Iran’s “nuclear program has been completely destroyed.” Vance stated, "Now we see whether they are willing to comply with the next step of the president's peace plan."
The interim agreement, signed by Trump and Iranian President Masoud Pezeshkian, temporarily halts military operations and reopens the vital Strait of Hormuz for a 60-day negotiation period, which can be extended. This window, which began on Thursday, is intended to pave the way for a final deal.
Iran's Supreme Leader, Ayatollah Mojtaba Khamenei, echoed the conditional nature of the deal. He revealed he only granted permission for the MOU after receiving assurances that Iran’s rights and the "resistance front" would be safeguarded. "In principle, I had a different opinion," Khamenei admitted, indicating his initial skepticism but ultimate approval based on President Pezeshkian's assurances. He cautioned that while Iran would observe compliance, future direct talks with the U.S. would not imply submission to "the enemy's opinion."
Meanwhile, President Trump, commenting on Truth Social, expressed optimism, encouraging all parties in the Middle East to allow negotiations to "beautifully unfold." He highlighted positive market reactions, with "Oil Prices way down, and Stocks way up," and anticipated "a complete Ceasefire on all fronts, including Lebanon, Hezbollah, and Israel."
The deal has provoked sharp reactions across the political spectrum. Senator Mark Warner (D-Va.) called it a "bad bet" and potentially "one of the worst follies" of Trump's term. Senator Ted Cruz (R-Texas) labeled it "an exceptionally bad idea" to provide financial resources to "theocratic lunatics." Even within Republican ranks, criticism emerged from figures like Senator Roger Wicker of Mississippi, who warned that the MOU might undermine military gains from "Operation Epic Fury." Wicker specifically criticized the proposed $300 billion reconstruction fund, stating it would make Iran’s previous payoffs look like “a pittance,” and expressed concern over compelling Israel to stand down against Hezbollah in exchange for mere negotiations.
Nikki Haley, Trump’s former UN Ambassador, also weighed in via social media, deeming it a "huge mistake to pay to rebuild the threat we just destroyed" following strikes on Iran's nuclear and missile sites.
Vance did not shy away from issuing a blunt warning to Israeli critics of the deal. He asserted that "Donald J. Trump is the only head of state in the entire world who is sympathetic to the nation of Israel at this moment in time." He advised the Israeli government against attacking their "only powerful ally," reminding them that "Over the last three months, two-thirds of the defensive weapons that have protected your homeland have been built by American hands and paid for by American tax dollars."
Vance confirmed that lawmakers would receive a formal copy of the signed MOU and that the administration plans a congressional briefing soon, expressing confidence in the administration’s ability to temporarily lift some sanctions without congressional approval.

A copy of the Memorandum of Understanding sent to members of Congress obtained by CNBC.

A copy of the Memorandum of Understanding sent to members of Congress obtained by CNBC.

A copy of the Memorandum of Understanding sent to members of Congress obtained by CNBC.
