FEATURE | US-China summit focuses on Iran as Hormuz incidents increase again

"Iran has a significantly degraded threat, and they no longer threaten regional partners, or the United States, in ways that they were able to do before, across every domain," Admiral Brad Cooper said. "They've been significantly degraded."

But Cooper declined to directly address reports by Reuters and other news organisations that Iran, which stockpiled arms in underground facilities, had retained significant missile and drone capabilities.

Iran's rulers, who had to use force to put down anti-government protests at the start of the year, have faced no organised opposition since the war began. And their closure of the strait has given them additional leverage in negotiations.

Washington wants Tehran to hand over the uranium and forgo further enrichment. Iran is seeking the lifting of sanctions, reparations for war damage and acknowledgment of its control over the strait.

(Reporting by Reuters Newsrooms, Writing by Peter Graff and Timothy Heritage, Editing by Alexandra Hudson and Aidan Lewis)