WEST PALM BEACH (AFP)

US President Donald Trump said Saturday he will review a new Iranian peace proposal, but cast doubt over its prospects.

Negotiations between the two countries have been deadlocked since a ceasefire came into effect on April 8, with one round of peace talks to end the more than two-month war having failed in Pakistan.

The dour outlook came after Iran's Tasnim and Fars news agencies reported Tehran submitted a 14-point proposal to mediator Islamabad. Details included ending the conflict on all fronts and enacting a new framework for the crucial Strait of Hormuz, Tasnim said.

"I will soon be reviewing the plan that Iran has just sent to us, but can't imagine that it would be acceptable in that they have not yet paid a big enough price for what they have done to Humanity, and the World, over the last 47 years," Trump said on his Truth Social platform.

In a brief interview with reporters in West Palm Beach, Florida, he declined to specify if it could trigger new military action against Iran.

"If they misbehave, if they do something bad, but right now, we'll see," he said. "But it's a possibility that could happen, certainly."

US news site Axios reported earlier in the week that Trump's envoy Steve Witkoff had asked for Tehran's nuclear programme to be put back on the negotiating table.

Iran has maintained a stranglehold on the Strait of Hormuz since the war began, choking off major flows of oil, gas and fertiliser to the world economy, while the United States has imposed a counter-blockade on Iranian ports.

Oil prices are about 50 percent above pre-war levels.

In Iran, the war's economic toll is deepening, with oil exports crimped and inflation surging past 50 percent.