US seizes Iranian cargo ship, Tehran says it will retaliate
"We have full custody of their ship, and are seeing what's on board!" says US President Donald Trump, adding that US forces blew a hole in the vessel's engine room.
In this screengrab taken from footage posted on X by the United States Central Command (CENTCOM), the Touska, an Iranian-flagged cargo ship, is seen as it is intercepted by the US Navy guided missile destroyer the USS Spruance on Apr 19, 2026. (Image: X/CENTCOM)
WASHINGTON: Peace talks between Washington and Tehran appeared in limbo on Monday (Apr 20) after the US military fired on an Iranian-flagged cargo ship that tried to run its blockade.
US President Donald Trump said after the vessel ignored warnings to stop, the guided missile destroyer USS Spruance "stopped them right in their tracks by blowing a hole in the engineroom”.
"We have full custody of their ship, and are seeing what's on board!" Trump wrote on social media.
Iran said it would retaliate, raising the possibility that the ceasefire between the two countries might not last for even the two days it is set to remain.
Following the incident, Iran's foreign ministry said it has "no plans for the next round" of talks with the United States.
"As of now, while I am at your service, we have no plans for the next round of negotiation, and no decision has been made in this regard," said ministry spokesman Esmaeil Baqaei in a weekly press briefing.
The US has maintained a blockade of Iranian ports, while Iran has lifted and then reimposed its own blockade of the Strait of Hormuz. Before the war began almost two months ago, the strait handled roughly one-fifth of the world's oil supply.
The Spruance fired several rounds from a five-inch calibre gun to disable the Iranian ship's propulsion after directing it "to evacuate its engine room", US Central Command (CENTCOM) said in a post on X, accompanied by a short video showing rounds fired at a vessel in the distance after the warning.
CENTCOM said US forces have directed 25 commercial vessels to turn around or return to an Iranian port since the US blockade began.
Iran's top joint military command, Khatam al-Anbiya, accused the US of violating the countries' ceasefire by firing at one of Iran's commercial ships in the Gulf of Oman, vowing to retaliate.
State media quoted a Khatam al-Anbiya spokesperson as saying early on Monday that the vessel was en route from China to Iran.
"We warn that the armed forces of the Islamic Republic of Iran will soon respond and retaliate against this armed piracy by the US military," the spokesperson said.
Iranian state media also earlier reported that Tehran had rejected new peace talks, citing the ongoing blockade, threatening rhetoric, and Washington's shifting positions and "excessive demands".
"One cannot restrict Iran's oil exports while expecting free security for others. The choice is clear: either a free oil market for all, or the risk of significant costs for everyone," Iran's First Vice President Mohammadreza Aref wrote on social media.
Trump had earlier warned Iran that the US would destroy every bridge and power plant in Iran if Tehran rejected his terms, continuing a pattern of such threats throughout the war.
Iran has said that if the US were to attack its civilian infrastructure, it would hit power stations and desalination plants of Gulf Arab neighbours.
Brent crude futures jumped about 7 per cent to US$96.85 a barrel and S&P 500 futures fell about 0.9 per cent in early Asian trading, as investors dealt with conflicting messages about the war.
PREPARING FOR TALKS THAT MIGHT NOT HAPPEN
Trump said his envoys would arrive in Islamabad on Monday evening, one day before a two-week ceasefire ends.
A White House official had said the US delegation would be headed by Vice President JD Vance, who led the war's first peace talks a week ago, and also include Trump's envoy Steve Witkoff and son-in-law Jared Kushner. Trump had separately told ABC News and MS Now that Vance would not go.
Pakistan, which has served as the main mediator, appeared to be preparing for the talks. Two giant US C-17 cargo planes landed at an air base on Sunday afternoon, carrying security equipment and vehicles in preparation for the US delegation's arrival, two Pakistani security sources said.
Municipal authorities in the capital city of Islamabad halted public transport and heavy-goods traffic through the city. Barbed wire was rolled out near the Serena Hotel, where last week's talks were held. The hotel told all guests to leave.
The apparent diplomatic setback could set the stage for a renewed surge in oil prices when markets reopen after the weekend.
Now in its eighth week, the war has created the most severe shock to global energy supplies in history, sending oil prices surging because of the de facto closure of the strait.
Thousands of people have been killed by US-Israeli strikes on Iran and in an Israeli invasion of Lebanon conducted in parallel since the war began on Feb 28. Iran responded to the attacks with missiles and drones against its Arab neighbours that host US bases.
Iran's parliament speaker, Mohammad Baqer Qalibaf, who has led Iran's side in the talks, had earlier said the two sides had made progress but were still far apart on nuclear issues and the strait.
European allies, repeatedly criticised by Trump for not aiding his war effort, worry that Washington's negotiating team is pushing for a swift, superficial deal that would require months or years of technically complex follow‑on talks.
Iran’s semi‑official Tasnim news agency reported that two liquefied petroleum gas tankers that attempted to transit the strait were turned back by Iran’s armed forces on Saturday. One of the tankers - the Angola‑flagged LPG tanker G Summer - later exited the Gulf on a second attempt, according to MarineTraffic vessel tracking data.
