From Conflict to Compromise: The US–Iran Deal and Beyond

9 Min Read

The utter chaos and disorder ensuing from the Iran-US-Israel war have given a tailwind to the discussion on the “new world order.” By definition and design, it is also seen as a conspiracy theory, one that argues a shadowy elite is attempting to establish a totalitarian global government. At Harvard, however, the “new world order” is generally defined as the post–Cold War shift from a bipolar system to a new, often volatile, international power structure.

The contemporary world is far more complex. The emerging order is, at best, a disorder. Historically, the term has been used by figures like Churchill and Bush to describe new periods in history following major conflicts such as World War I, World War II, and the Cold War. The U.S.–Israel–Iran conflict has thrown a spanner into the functional global construct of the last nearly eight decades. Many believe a new world order was in the making for some time now, and this war may have accelerated it. West Asia in particular, and the global order in general, are in a state of transition. Unprecedented firsts are happening; despite the asymmetry of power, Iran stood unshaken against the joint hard power of Israel and the U.S.

US President Donald Trump and his team may want to paint the historic deal with Iran as a “no-big-deal.” It is a big deal. It is definitely a big deal, both for Israel and Iran. Israel has lost out big time. The regression in its status in the region and globally is phenomenal. Israel to date desires to sabotage the deal through any and every means. The latest was the attack on Lebanon’s capital, Beirut, on the day President Trump said a deal to end the US-Israel war with Iran could be signed. Israel needs a reality check. Not only this war of choice, but the objectives it chose to achieve were deeply flawed. What Israel was allowed to do in Gaza led to this.

The MOU reached through tireless efforts by Pakistan, Qatar, and the quiet backing of China is a landmark achievement. However, a parallel debate on who has won this war continues. Objective analysts believe hard power did not pay off; the war, in fact, revealed the limits of US dominance. Iran emerged as a winner on the perception front, the PR front, and the political front. In statecraft, it is the perception and political front that count for far more than military supremacy alone.

The deal leaves central issues unresolved. It postpones decisions on Iran’s nuclear program and ballistic missiles, and the regional network of allied groups. Knowing Iran, it can drag on these conversations indefinitely, especially when it is under no imminent threat and has dealt with demands for unconditional compliance with no real reward. It seems Iran is all set to make the most of the new dynamics. Moreover, due to Israel’s toxic aggression first in Gaza and then in Iran and Lebanon, coupled with unconditional U.S. support and complicity, a wave of insecurities and skepticism has been unleashed among Israel’s and America’s West Asian allies. This may alter the security, economic, and regional architecture of West Asia.

What Iran has secured for itself futuristically is far more profound. It is a new leverage point that has turned into a pivotal bargaining chip for Iran and will now remain on the table. Iran will play on its ability to close it even if it opens unconditionally after the deal. Moreover, a key sore point between Iran and the US is enriched uranium; discussions on it are pushed to a later date. All Iranian sensitivities are to be accommodated. Despite denials and the absence of any open acknowledgement, substantial economic relief appears to be on the cards, including access to assets and freedom to sell oil and no further sanctions. More importantly, the transitioning security infrastructure of West Asia is becoming less westward looking. In the scheme of things, the Abraham Accords and the Board of Peace are now buried under the rubble of this war. We have an American President and an Israeli Prime Minister facing political backlash in their respective countries.

Saudi Arabia is exploring alternative partnerships. It has institutionalized its security partnership with Pakistan, distancing itself from the U.S. security framework. The Gulf states were among the worst affected. The expansion of the theatre of war to include American bases exposed U.S. priorities in the region. The Gulf states realized that their security concerns were a distant second to Israeli priorities, and they are now increasingly pursuing functional relations with Iran. The talks of eliminating Axis of Resistance and eventually targeting Sunni-majority states, including Turkey, Egypt, Saudi Arabia, and Pakistan, where India lent its support to Israel have generated widespread insecurity about Israeli designs. It is also closing the fault lines between Shias and Sunnis.

The collapsing global order has seen the superpower status of the U.S. challenged. China is now being referred to as the “New Washington”, particularly because of its role in mediation efforts surrounding the war. The thrust is toward a new world that may revert to multilateralism, rule of law, and collective security. Iran’s foreign ministry has categorically said that it will seek ratification from the UN Security Council post-final deal, including its nuclear programme.

For now, however, the evolving order is increasingly described as “multiplexity” rather than simple multipolarity or hegemony. This is because multiplexity captures a more decentralized, diversified, and multidimensional global structure. The world has moved from post–Cold War unipolarity to a form of neo-unipolarity, where the U.S. now coexists with at least two major powers that challenge its economic dominance, political reach, and military strength. As Fareed Zakaria rightly observed, “A world not defined by the decline of America, but rather the rise of everyone else.” New power centers are emerging and reshaping global dynamics.

Iran has earned respect, while the U.S. role as a global leader stands diluted, and China is increasingly seen as a more mature power. Russia has maximized its gains, both on the war front in Ukraine and on the economic front. The strategic failure of Israel is the writing on the wall. Israel’s attempts to give a spin to it by declaring itself independent of U.S. deal-making amount to poor damage control. Its refusal to withdraw from Lebanon further reinforces this perception. All of this sounds like the desperate actions of a state that has failed on multiple fronts and pushed its soldiers, citizens, and allies into harm’s way. It has also fractured a partnership that was among the longest and strongest in modern history. President Trump’s birthday present from Iran has come at a huge cost to the United States.

In the end, the emerging world order is not defined by clarity, but by uncertainty. Old alliances are shifting, new power centers are rising, and the rules that once governed global politics are being tested. Whether this moment leads to greater stability or deeper fragmentation will depend not just on power, but on the willingness of states to choose restraint over confrontation, and livelihoods and humanity over hot war and short-term gains. To put it in a nutshell: the U.S. is frustrated, Israel desperate, Iran smug, Pakistan and China the adults in the room.

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