U.S. President Donald Trump has rejected Iran’s response to Washington’s latest peace proposal as “totally unacceptable,” casting fresh doubt over efforts to end the war as new drone incidents unsettled Gulf states.
Iran delivered its response through Pakistani mediators on Sunday, according to reports, after Washington proposed extending the fragile ceasefire and opening the way for negotiations on a broader settlement. Trump quickly dismissed Tehran’s reply in a social media post, signalling that the two sides remain far apart despite weeks of mediation.
The diplomatic setback came as the ceasefire faced new strain across the Gulf. Qatar’s Defence Ministry said a commercial cargo vessel travelling from Abu Dhabi was targeted by a drone in Qatari territorial waters northeast of Mesaieed Port on Sunday morning. The attack caused a limited fire but no injuries, officials said.
Kuwait also reported detecting several hostile drones inside its airspace early Sunday, while the United Arab Emirates said drones had entered its airspace and that its air defences had shot down two of them. The UAE blamed Iran for the incident, according to reports.
The incidents add to already high tensions in the Strait of Hormuz and wider Persian Gulf, where the war has disrupted shipping, energy flows and regional security. Iran has restricted movement through the strait since the conflict began in February, while the United States has imposed a blockade of Iranian ports and carried out strikes on Iranian-linked vessels it says challenged that blockade.
Tehran has accused Washington of repeatedly violating the ceasefire and questioned the seriousness of U.S. diplomacy. Iranian officials have said talks must focus on permanently ending the war, while U.S. officials insist Iran must accept conditions that would restore secure navigation and limit further military escalation.
The latest developments leave mediators facing a narrowing window. Qatar, Pakistan and other regional actors have been trying to keep negotiations alive, but the drone incidents and Trump’s rejection of Iran’s response suggest the ceasefire is becoming increasingly fragile.
For Gulf states, the danger is immediate. Drone incursions over Kuwait and the UAE, combined with an attack on a commercial ship in Qatari waters, show that the conflict’s risks are spreading beyond the U.S.-Iran confrontation and threatening regional shipping, energy infrastructure and civilian security.
