US-Iran Nuclear Talks Resume in Geneva Amid Mounting Military Threats

GENEVA, Feb 26 (Reuters) - Iran and the U.S. hold the latest round of talks in Geneva on Thursday aimed at resolving their longstanding nuclear dispute and averting new U.S. strikes on Iran following a large-scale military buildup. 

The two countries renewed negotiations this month, hoping to tackle a decades-long stand-off over Tehran's nuclear program, which Washington, other Western states and Israel believe is aimed at building nuclear arms. Tehran denies this.

U.S. Special Envoy Steve Witkoff and U.S. President Donald Trump's son-in-law Jared Kushner will attend the indirect talks with Iran's Foreign Minister Abbas Araqchi, a U.S. official told Reuters. The talks follow discussions in Geneva last week and will be mediated by Oman's Foreign Minister Badr Albusaidi. 

U.S. President Donald Trump briefly laid out his case for a possible attack on Iran in his State of the Union speech to Congress on Tuesday, saying his preference was to solve the problem through diplomacy, but that he would not allow Tehran to have a nuclear weapon.

Diplomatic Stakes and Sanctions Debate

PRESSURE INSIDE AND OUTSIDE IRAN 

Military Buildup Raises Stakes

On Wednesday, U.S. Vice President JD Vance underscored Trump's argument.

"Iran can't have a nuclear weapon. That would be the ultimate military objective, if that's the route that (Trump) chose," Vance said in an interview on Fox News.

The U.S. has been assembling a massive military force in the Middle East, prompting fears of a wider regional conflict. In June last year the U.S. joined Israel in hitting Iranian nuclear sites. Iran has threatened to retaliate fiercely if attacked again.

U.S. Ultimatum and Diplomacy

Trump said on February 19 that Iran must make a deal in 10-15 days, warning that "really bad things" would otherwise happen.

Araqchi on Tuesday said his country aims to achieve a fair, swift deal, but reiterated that it would not forgo its right to peaceful nuclear technology. Washington views nuclear enrichment inside Iran as a potential pathway to nuclear weapons.

"A deal is within reach, but only if diplomacy is given priority," Araqchi said in a statement on X.

Concessions for Sanctions Relief

Reuters reported on Sunday that Tehran was offering fresh concessions in return for removal of sanctions and recognition of its right to enrich uranium, as it seeks to avert a U.S. attack.

Dispute Over Relief Sequencing

However, both sides remain sharply divided - even over the scope and sequencing of relief from crippling U.S. sanctions - a senior Iranian official told Reuters.  

Domestic Pressures Inside Iran

Within Iran, Supreme Leader Ayatollah Ali Khamenei faces the gravest crisis of his 36-year tenure, with an economy struggling under the weight of tightened sanctions and renewed protests following major unrest and a bloody crackdown in January.

IAEA Role in Geneva

International Atomic Energy Agency head Rafael Grossi is also expected to be in Geneva during the talks to hold discussions with both sides, as he did last week.

(Reporting by Olivia Le Poidevin; additional reporting by Parisa Hafezi in Dubai; Steve Holland, Patricia Zengerle, David Brunnstrom, Katharine Jackson and Joseph Ax in Washington; Francois Murphy in Vienna; Editing by Aidan Lewis)