President Trump Meets With His Cabinet At The White House

US President Donald Trump reacts as he speaks during a Cabinet meeting in the Cabinet Room of the White House on March 26, 2026 in Washington, DC.

(Photo by Chip Somodevilla/Getty Images)

Trump's MOU Is an IOU: The Severe US Losses in Its Misbegotten Iran War

Bottom line: If the war accomplished anything, it accelerated the decline of US power, influence, and economic security.

The Memorandum of Understanding, which ostensibly ends the four-month war between the US and Iran, illuminated the profound US defeat. In addition, a Quincy Institute webinar on military lessons from the war, shortly before the MOU’s release, enumerated numerous ways in which the US failures in its misbegotten war reveal how drastically US military dominance has been undermined for the long term.

On the subject of the relative decline of US power and influence, the impacts of the war on world energy supplies—especially in Asia—will reinforce political and economic pressures for alternative—non-fossil—energy sources. China is already light years ahead of the US in clean energy production technologies, while President Donald Trump thinks on in the very short term as he maximizes oil and gas production and exports while attempting to revitalize filthy coal mining.

Bottom line: The US loss in this totally avoidable imperial war of choice was severe. That said, countries and territories as small and weak as Cuba and Greenland remain profoundly vulnerable.

The MOU’s commitments include:

  • Immediate termination of military operations including in Lebanon.
  • The US and Iran “refrain from the threat or use of force against each other.”
  • Mutual respect of US and Iranian sovereignty.
  • The US and Iran commit to negotiating a final agreement within 60 days, although this timetable can be extended by mutual consent.
  • The US and regional partners will develop a $300 billion plan for reconstruction and economic development in Iran. The mechanism for implementation is to be finalized within 60 days.
  • The US commits to “terminate all types of sanctions against the Islamic Republic” including United Nations sanctions.
  • The US will fully remove its naval blockade within 30 days and will remove its forces “from the proximity of the Islamic Republic within 30 days after the final deal.”
  • Iran will engage in dialog with the Sultanate of Oman “to define the future administration of maritime services in the Strait of Hormuz in discussion with other Persian Gulf littoral states in line with the applicable international law” and rights of coastal states.
  • Iran “reaffirms that it shall not procure or develop nuclear weapons” as was its stated policy before the war. Additionally, under International Atomic Energy Agency supervision, its current stocks of highly enriched uranium will be blended down, and enrichment for “Iran’s nuclear needs” will be agreed in the final deal.
  • Pending the final deal, Iran will maintain the status quo of its nuclear program, and the US will not impose any new sanctions or deploy additional forces to the region.

Perhaps like the “decent interval” with which the Nixon administration sought to minimize the domestic political costs of the US defeat in Vietnam, by dragging out negotiations and agreeing to a remarkably vague framework, President Trump hopes to minimize the impacts of his lost war on the November midterm elections. Iran will dominate and ultimately control the Strait of Hormuz for the foreseeable future. How it exercises that power, with its global economic influences, will be a new feature of the emerging multipolar world disorder. The escape clause that allows for the extension of negotiations beyond the 60-day timeline should prepare us for a long, difficult, and drawn-out process. And in true Trumpian form, despite the commitment to “refrain from the threat or use of force against each other,” within hours of the MOU’s release, our president threatened to resume bombing if he was not satisfied with the outcome of negotiations. (This may have been more for domestic political consumption than a threat that Iran will take seriously.)

With 1,000 Gazans having been killed since the declaration of that ceasefire, and with Israeli Prime Minister Benjamin Netanyahu more concerned with winning his nation’s October election and staying out of jail, the US ability to enforce the termination of Israeli military operations in or its occupation of its northern neighbor is in doubt. Iran’s confirmation that it will it not procure or develop nuclear weapons is nothing new. That was the case before President Trump withdraw from the Joint Comprehensive Plan of Action nuclear agreement negotiated by President Barack Obama and was reiterated numerous times by Iranian leaders before the Trump-Netanyahu regime change attempt, which resulted in a harder-line government. Like Japan, South Korea, Sweden, and Poland, Iran will remain a threshold nuclear state, and the MOU allows for enrichment for medical and power generation use, as Iran has insisted for years.

But Trump’s defeat will reverberate globally. Elites in many nations will be taking a North Korean lesson from this and the Ukrainian wars: If you have nuclear weapons, nuclear weapons states won’t attack you. Diplomatically, between this globally disastrous war, Trump’s total disregard of allies in launching and fighting the war, the US cessation of military aid to Ukraine and its inability to facilitate either a ceasefire or peace negotiations in that war, the Euro-Atlantic alliance is on life support and solidarity among US people and Europeans is but a memory. And as we look to possible future crises, Europeans are overestimating Russia’s military power and are racing to create a European Union superpower—either within or independent of NATO.

Then there is the lesson from the Iran War for the US-Chinese competition for Asia-Pacific regional hegemony. The failure of Trump’s Iran war illuminated US-Chinese dynamics and realities at play over the last decade or more.

As enumerated in the Quincy Institute’s webinar with military analysts Brandon Carr, Jennifer Kavanagh, and Kelly Grieco, the war demonstrates that the US is not in a position to militarily defend Taiwan, nor will it be able to credibly threaten to defeat China in a non-nuclear war. (No one wins a nuclear war!!!)

  • The destruction of infrastructure, warplanes, missiles, and more in US Persian Gulf bases demonstrated the vulnerability of the hundreds of US bases within the First Island Chain (Japan, Philippines, Taiwan) along China’s East Coast, and this could likely apply as far away as Guam.
  • France, Spain, and Italy denied US use of its bases and airspace in their countries to attack Iran. This illustrates that the US cannot be assured of the ability to use its hundreds of bases and military assets in East Asia in a future war with China. Japan, which has its most militarist government since 1945, would likely consent to use, but use of bases in South Korea and the Philippines cannot be counted on.
  • Iran’s drones and missiles established area deniability, albeit it at lower altitudes. China, with its much greater number of missiles and an industrial capacity much greater than that of the US, will be able to similarly dominate US forces within the First Island Chain.
  • The draw down on US missile defense missiles to defend Israel and its Gulf bases was severe. Given the United States’ weak industrial capacity, it will take years to restore the arsenal to its pre-war levels, while China continues to build missiles and drones at levels unmatched by the US.
  • China’s navy is already larger than the Pentagon’s, and the US shipbuilding industry is anemic.

Bottom line: If the war accomplished anything, it accelerated the decline of US power, influence, and economic security. Instead of wasting billions on White House human cockfights, futile efforts to regain military superiority, subsidizing the military-industrial-congressional complex, and turning the clock back to Jim Crow America, we would do better to take a page from President Franklin Roosevelt’s New Deal and rebuild economic and human security for the US people.

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