Washington — Treasury Secretary Scott Bessent told reporters on Monday that the United States is launching a broad “economic onslaught” against Iran’s financial network. The new secondary sanctions will target foreign companies that help move Iranian oil, shipping services, cryptocurrency, gold and aviation goods, with the goal of cutting every economic lifeline the regime relies on.
Trump Calls on Allies to Join the Effort
Secretary Bessent said President Donald Trump is personally reaching out to foreign heads of state, making “specific requests” for them to cease trade with Tehran. The administration hopes that coordinated pressure will force Iran to stand alone, he added.
How the Sanctions Will Work
Any entity that facilitates money‑laundering or other financial services for Iran could be removed from the U.S. dollar system. Bessent described a “cure period” during which nations can end the targeted relationships before facing full penalties. While the Treasury outlined the categories of prohibited activity, it did not name specific companies or immediate enforcement dates.
International Reaction
Before the announcement, the United Arab Emirates, a close U.S. ally, said it was ending all trade with Iran. Analysts say the ultimate impact will depend on whether Iran’s largest trading partners—China, India and Russia—view the threats as credible. University of Leiden lecturer Andrew Gawthrope warned that countries with deep ties to Tehran may be reluctant to halt commerce, noting the limited leverage the United States has over them.
Background and Cost of the Conflict
The sanctions come six months after the United States and Israel began a military campaign aimed at preventing Iran from acquiring a nuclear weapon. Defense Secretary Pete Hegseth estimated the war has cost the United States $37.5 billion so far, with broader economic effects possibly reaching $150 billion. Moody’s chief economist Mark Zandi said the conflict has added roughly $1,200 to the average American household’s energy and grocery bills.
President Trump’s approval rating has slipped to its lowest point of his tenure, and the war’s financial burden is becoming a political liability as the midterm elections approach.
Iranian Response
Iran’s parliamentary speaker Mohammad Bagher Ghalibaf dismissed the U.S. threats on the social platform X, calling them “bombast” and saying the United States lacks the economic power to further restrict its relations. Deputy Foreign Minister Kazem Gharibabadi questioned whether Bessent’s plan was an admission of defeat, while Central Bank head Abdolnaser Hemmati claimed the new measures add no real pressure.
In Tehran’s Grand Bazaar, a historic commercial hub, police presence increased amid concerns that rising gas prices and long lines could spark protests. Police chief Ahmadreza Radan warned that U.S. actions might be intended to stir unrest over livelihood issues.
Looking Ahead
Bessent promised to publish an op‑ed in the Financial Times describing the sanctions as “the single greatest financial offensive ever” and reiterated that any country continuing to partner with Iran would face financial isolation. The effectiveness of the policy will hinge on diplomatic coordination and the willingness of key trading partners to comply.
Original reporting: Dallas TX News (HLL/CB) — read the source article.
