Middle East Conflict News
LAST UPDATE: June 18, 2025
Iran accuses G7 of siding with Israel with de-escalation call
Iran’s foreign ministry blasted the G7’s call for “de-escalation” as biased, urging the group to address “Israel’s aggression.” Spokesperson Esmaeil Baqaei said only Israel was responsible for the escalation and that Tehran was forced into defense.
Insight
The backlash reveals Iran’s deep mistrust of Western diplomatic framing and its sensitivity to tone—suggesting de-escalation rhetoric may inflame rather than soothe tensions.
Israel-Iran war ramping up uncertainty, ECB’s Villeroy says
ECB Governor Villeroy warned that the Israel–Iran conflict could spill over into broader regional instability, impacting oil prices and overall economic outlook. He emphasized that the ECB is monitoring developments for shifts in risk premium and inflation pressures.
Insight
Central banks globally may now reassess economic forecasts and policy paths given emerging geopolitical risk—underlining that conflict can have real-time macroeconomic ripple effects.
EU Top Envoy Warns of Larger Conflict If US Involved in Iran
EU foreign policy chief Josep Borrell cautioned that US direct involvement in the Israel–Iran war could escalate the conflict beyond the region, with unpredictable consequences. He urged restraint and diplomacy, warning that broader confrontation could emerge if Washington crosses a “red line.”
Insight
The EU’s voice illustrates its strategic role in mediating de-escalation—positioning itself as a stabilising actor, and signalling concern about potential wider confrontation involving major powers.
British PM says saw no sign Trump plans to enter Iran conflict
UK PM Keir Starmer said at the G7 in Kananaskis on June 17 that President Trump gave “no sign” of U.S. military involvement in the Israel-Iran conflict, emphasizing that the summit’s statement focused on de‑escalation (nampa.org).
Insight
Starmer’s remarks help alleviate fears of immediate U.S. intervention, clarifying that despite Trump’s tough rhetoric, there is no operational move toward involvement.
JD Vance: Trump “May Decide” to Take Action to End Iranian Enrichment
VP JD Vance stated on June 17 that President Trump “may decide he needs to take further action to end Iranian enrichment,” underscoring presidential discretion amid rising nuclear tensions .
Insight
Vance’s comment reflects a shift toward reinforcing executive authority in nuclear policy and signals a possible hardening of stance if diplomatic efforts stall.
Israel-Iran war ramping up uncertainty, ECB’s Villeroy says
ECB Governor François Villeroy warned that the Israel‑Iran war is fueling regional instability, which could spike oil prices and inflate risk premia—impacting EU growth and inflation outlooks .
Insight
Central bank vigilance is rising—the ECB may adjust policy if geopolitical turmoil triggers persistent inflation, complicating its post-pandemic recovery strategy.
Xi says China ‘deeply worried’ about Israel-Iran conflict, urges de-escalation
President Xi Jinping expressed deep worry over Israel-Iran violence and urged both parties to de-escalate, emphasizing China’s role in stabilizing the Middle East .
Insight
Xi’s statement reaffirms China’s cautious but proactive diplomacy, signalling Beijing may position itself as a mediator amid U.S.-aligned diplomatic backlash.
Kremlin says it sees that Israel does not want mediation efforts with Iran amid ‘galloping escalation’
The Kremlin stated it believes Israel is not genuinely interested in mediation with Iran, warning that the “galloping escalation” points to deepening hostilities .
Insight
Moscow’s remarks reflect skepticism toward Israel’s motives, possibly justifying Russia’s own diplomatic initiative and positioning as an interlocutor independent from U.S. and EU agendas.
EU Top Envoy Warns of Larger Conflict If US Involved in Iran
EU foreign policy chief Josep Borrell cautioned on June 17 that U.S. direct military involvement in the Israel–Iran conflict risks dragging the situation into a wider war. He stressed that crossing “a red line” could provoke major escalation and urged diplomatic restraint.
Insight
Borrell’s warning underscores the EU’s role as a stabilizer, wary of major power escalation. The statement reflects unified concern within Europe about preventing a broader conflict involving the U.S. into the Middle East crisis.
US pulls out of two more bases in Syria, worrying Kurdish forces
On June 17, the U.S. military withdrew from two additional bases—Al-Wazir and Tel Baydar—in Syria’s Hasakah province, reducing presence from eight to one base. Kurdish-led Syrian Democratic Forces voiced concerns that this could enable a resurgence of ISIS.
Insight
The drawdown is part of a strategic shift by Washington, but it raises security concerns among Kurdish allies. It could create power vacuums and embolden extremist groups, complicating long-term regional stability.