The fragile US-Iran ceasefire is on the verge of collapse due to escalating tensions following the US seizure of the Iranian cargo ship Touska near the Strait of Hormuz. The US claims the ship was attempting to breach a naval blockade, while Iran has labeled the action as piracy and threatened retaliation. This incident has severely impacted diplomatic efforts, with Iran withdrawing from planned talks in Pakistan. US President Donald Trump has warned that Iran's civilian infrastructure could be targeted if negotiations fail, a claim Iran dismisses as part of a pressure tactic. The Islamic Revolutionary Guard Corps (IRGC) has indicated that Iran is prepared for a prolonged conflict, rejecting US demands and asserting that negotiations cannot proceed under current conditions. The situation is evolving towards direct military engagement, with significant implications for global energy markets and the potential for wider conflict in the crowded waters of the Strait of Hormuz. With both sides unwilling to compromise, the ceasefire is increasingly at risk of total breakdown.