Trump says US may exit Iran war soon, threatens to quit NATO as oil crisis escalates

WASHINGTON: Global oil supplies are expected to be hit twice as hard this month as in March, the International Energy Agency said on Wednesday (Apr 1), underlining the urgent need to resolve the conflict over Iran that US President Donald Trump said could end soon.

While Trump signalled he could wind down the war within weeks even without a deal, he also scaled up threats to pull the United States out of the NATO defence alliance if European states did not help stop Iran blocking the Strait of Hormuz.

"I was never swayed by NATO. I always knew they were a paper tiger, and (Russian President Vladimir) Putin knows that too, by the way," Trump told Britain's Daily Telegraph, saying he had moved beyond merely reconsidering US membership.

The remarks underscored Washington's shifting and at times contradictory statements about a conflict that has killed thousands, spread across the region and caused unprecedented energy disruption.

"We'll be leaving (the Iran conflict) very soon," Trump told reporters, saying that could be "within two weeks, maybe two weeks, maybe three."

"Iran doesn't have to make a deal, no," he said, when asked if successful diplomacy was a prerequisite for the US to end what it calls "Operation Epic Fury".

TRUMP TO ADDRESS THE NATION ON IRAN

International Energy Agency head Fatih Birol said the main issue so far from Iran's effective closure of the major global energy shipping route, the Strait of Hormuz, was the lack of jet fuel and diesel.

"We are seeing that in Asia, but soon, I think, in April or May, it would come to Europe," Birol told a podcast with Nicolai Tangen, the head of Norway's sovereign wealth fund. The loss of oil in April would be twice that lost in March, he said.

Businesses around the world have been hit by the conflict, with cosmetics and tea among the latest sectors to report pain.

The United States had previously threatened to intensify operations if Tehran did not accept a 15-point US ceasefire framework demanding that Iran not pursue nuclear weapons or uranium enrichment and fully reopens the Strait of Hormuz.

The White House said Trump would address the nation "to provide an important update on Iran" at 9pm EDT on Wednesday (9am Singapore time on Thursday).

Rubio told Fox News Channel's "Hannity" program there was potential for a "direct meeting at some point" and the United States could "see the finish line".

"It's not today, it's not tomorrow, but it is coming," Rubio added.

TANKER HIT OFF QATAR, BLAZES IN BAHRAIN AND KUWAIT

Attacks took place on multiple fronts early on Wednesday, with drones hitting fuel tanks at Kuwait's international airport, causing a big blaze and authorities in Bahrain reporting a fire at an undisclosed company facility from an Iranian attack.

Qatar said an oil tanker leased to state-owned QatarEnergy was hit by an Iranian cruise missile in Qatari waters, with damage above the waterline but no injuries or environmental damage.

Explosions were heard in multiple areas of Tehran after US-Israeli air attacks, according to Iranian state media.

State TV showed convoys of cars waving Iranian flags and pro-government rallies in several cities on a national day marking the establishment of the Islamic Republic in 1979.

Shahid Haghani Port, Iran's largest passenger terminal, was hit by an overnight air strike but there were no casualties, deputy regional governor Ahmad Nafisi told state media, calling it a "criminal" attack on civilian infrastructure.

Iran has fired repeatedly on Gulf countries, some home to US bases, during the conflict, and its effective closure of the Strait of Hormuz has raised concern about its ability to use the vital waterway, a conduit for a fifth of global oil and liquefied natural gas, as a bargaining chip.

Oil tumbled more than 3 per cent on Wednesday, reversing earlier gains, on Trump's talk of a war exit, and MSCI's broadest index of Asia-Pacific shares outside Japan was up more than 4.7 per cent, its biggest one-day increase since November 2022.

US WILL REEXAMINE NATO RELATIONSHIP, RUBIO SAYS

Higher oil and fuel prices are weighing on US household finances and are a political headache for Trump and his Republican Party before the November midterm elections, with two-thirds of Americans believing the US should work to exit the Iran war quickly, a Reuters/Ipsos poll found.

US Defense Secretary Pete Hegseth said on Tuesday that other countries needed to "be prepared to stand up" and help reopen the Strait of Hormuz, echoing criticism from Trump, who has singled out NATO members Britain and France.

Rubio told Fox News that Washington would not overlook the lack of assistance from other NATO members. "After this conflict is concluded, we are going to have to reexamine that relationship," he said.

The United Arab Emirates is preparing to help the US and allies open the Strait by force, the Wall Street Journal reported late on Tuesday. The UAE is seeking a UN Security Council resolution for the action and suggested the US occupy strategic islands, according to the report.

Iran's Revolutionary Guards on Tuesday hit back with a new threat against US companies in the region starting from 8pm Tehran time on Wednesday, listing 18 businesses including Microsoft, Google, Apple, Intel, IBM, Tesla and Boeing.

Asked if he was concerned about threats, Trump said no.

HOUTHIS LAUNCH COORDINATED ATTACK

Missile debris struck several areas in central Israel following an early morning rocket volley from Iran. There were no immediate reports of fatalities from Israeli authorities.

Many of Israel’s 19 deaths so far have been from falling rocket debris following interceptions.

Yemen's Houthis, who joined the regional war in recent days, said they carried out a missile attack on Israel, describing it as a joint operation with Iran and the Tehran-backed Hezbollah in Lebanon, the first such collaboration between them during the war.

Israel's military said air-defence systems were operating to intercept the threats.

The war has also revived conflict between Israel and Hezbollah. At least seven people were killed and 24 wounded in two Israeli strikes in the Beirut area, the Lebanese health ministry said. Israel said it was targeting two senior Hezbollah figures.

Indonesia called for an inquiry into the deaths of three of its peacekeepers following Israeli air strikes in southern Lebanon, which have also killed journalists and medics.

"We demand a direct investigation from the UN, not just Israel's excuses," Indonesia's UN representative Umar Hadi told an emergency Security Council meeting.