The outbreak of the Covid-19 pandemic has had a significant impact on some of the most sensitive questions surrounding international security. One of these is the US-Iran crisis, where the two countries have been on the brink of a full military confrontation since January. To date, both countries continue a zero-sum game, exploiting the pandemic as an opportunity to mount pressure on the adversary. Will the common threat caused by Covid-19 be able to divert Iran and the US from the collision course and push them towards more cooperative behaviour? This policy brief focuses on the cost that current confrontational strategies could have for both sides amid the Covid-19 outbreak, highlighting the threats and the political and strategic limitations that have emerged as a result of the pandemic. It also shows the potential gains at both the regional and the global levels that could arise for both actors if they were to adopt a new approach, based on health diplomacy and cooperation in health security.