The US Treasury Secretary has warned Iran of an unprecedented economic offensive, equating it with a decisive "economic D‑Day" that would sever all financial ties to the Tehran regime.
Scott Bessent said the United States would cut all economic connections with Iran, and any nation partnering with Iran financially would be isolated. The threat comes after several U‑turns and delayed deadlines from previous US administrations.
Iran dismissed the warning, saying it would shut down all oil exports from the region if the war continues, according to Reuters. The regime also warned shipping vessels not to pass through the Strait of Hormuz without its permission.
The Strait of Hormuz carries roughly one‑fifth of the world’s oil and gas, and its flow has effectively been blocked by Iran since the conflict began in February.
Bessent made the comments in an opinion piece for the Financial Times. The piece does not detail the exact sanctions but appears to be a foreshadowing of a forthcoming press conference on Monday.
The Treasury Secretary wrote: "The world should understand that our objective is to sever every economic lifeline that sustains the tyrannical regime until Tehran stands alone."
Over the past decade the U.S. has threatened Iran multiple times including a 2024 assertion that a "whole civilisation will die tonight" unless Iran agreed to end the war and unblock the Strait of Hormuz. The pledges were later tempered after diplomatic interventions.
Previously, a 2015 deal lifted many sanctions on Iran in exchange for limits on its nuclear programme. President Trump later withdrew from that deal in 2018, reimposing sanctions. President Biden’s administration attempted to reinstate those sanctions, but the effort failed. A series of sanctions in April targeted foreign banks and firms working with Tehran, as Iran’s military did not compel the regime to surrender.
