Trump Admits Fear of Economic Disaster from War, Also Suggests Allowing Iran to Keep Missiles

(CNA, Évian-les-Bains, France, June 17, Comprehensive Foreign Report) U.S. President Donald Trump today defended signing a memorandum to end the war with Iran, stating that a continued conflict could lead to an "economic disaster," which he hopes to avoid. Trump even made statements suggesting he would allow Iran to possess ballistic missiles.

Attending the G7 summit in France, Trump today signed a memorandum between the U.S. and Iran. The two sides will reopen the Strait of Hormuz and begin 60 days of follow-up negotiations to pave the way for resolving Iran's nuclear issue and reaching a final agreement.

Trump stated that rising stock markets influenced him in his push to end the war and said he did not want to be compared to former President Herbert Hoover, who presided over the 1929 stock market crash and the subsequent Great Depression.

"He (Hoover) is always the person I don't want to be. I don't want to see an economic disaster," Trump told the media at the Hotel Royal, where the G7 leaders' summit was held.

The Wall Street Journal pointed out that Trump's remarks were a tacit admission that his decisions have indeed been influenced by the global reaction to the war, which has lasted for more than three months. Just last month, when asked how much the war's impact on the U.S. economy would prompt him to reach a truce with Iran, Trump had said, "not at all."

The U.S. and Israel went to war with Iran on February 28, driving up energy costs, with U.S. midterm elections at the end of the year. Some of Trump's allies also criticized him for this, believing he had abandoned the "America First" policy he championed during his campaign.

According to the memorandum, the U.S. will allow Iran to access its frozen funds after it takes effect, with the specific unfreezing procedures to be agreed upon in subsequent negotiations. Trump also defended the arrangement to unfreeze Iranian assets today.

"We took a lot of their money, and that's not our money. At some point, I think we have to give it back anyway," Trump said.

The U.S. and Israel went to war with Iran in February with goals that included eliminating the threat of Iran's nuclear weapons development and its ballistic missile capabilities. However, Trump today made some remarks that deviated from decades of U.S. opposition to Iran's ballistic missile program.

"They (Iran) have to have some (missiles) because other countries do. Am I going to allow Saudi Arabia to have missiles, but not Iran? That's not how it works," Trump said. "Missiles are not the problem. At most, missiles hit a small area, they don't blow up the whole world." But he admitted there were divisions among his staff on this position.

Trump said that taking away Iran's highly enriched uranium was "not that important," and what really matters is ensuring Tehran cannot obtain nuclear weapons. He also stated that the original 60-day negotiation deadline is flexible to complete a final agreement, adding that he would not view the 60 days as an unchangeable deadline.

The New York Times pointed out that when asked if he would hold anyone accountable for the U.S. military's bombing of an Iranian girls' school on the first day of the war, February 28, Trump deliberately downplayed the issue.

Trump replied that it was strange to bring up the issue at this stage because it was in the past. "Mistakes happen. War is cruel by nature. Nobody does that on purpose." The Times believes this response is the closest Trump has come to admitting a U.S. misfire.

Iran stated that the airstrike caused at least 175 deaths, most of whom were schoolchildren. (Compiler: Chen Yi-wei) 20260618