The US has increased pressure on Iran through new sanctions.
The US announced the expansion of secondary sanctions against Iran and warned countries of the consequences of maintaining business ties with Tehran.
On August 24, the Trump administration announced expanded secondary sanctions against Iran, warning countries and companies of the potential consequences of continuing business ties with Tehran. US Treasury Secretary Scott Bessent called the new measures "economic D-Day" and announced his intention to cut off financial sources supporting the Iranian economy, Reuters reports.
According to Bessent, Washington is launching a major crackdown on Iran's financial ties worldwide. However, the secretary did not specify which countries would be subject to the new restrictions or when they would be implemented.
The US Treasury Department also announced sanctions against 60 individuals, organizations, and vessels. The new list does not include major Chinese financial institutions believed to facilitate trade in Iranian oil.
Bessent stated that Washington does not want to threaten the global financial system, but warned that the period for compliance would be limited. He also called on countries to cease business ties with Iran or face restrictions that could deprive companies of access to the dollar-denominated financial system. China remains the largest buyer of Iranian oil. The US is increasing pressure on supplies to China, but has so far avoided sanctions against major Chinese banks. One reason for this caution is the expected talks between Trump and Chinese President Xi Jinping next month.
The new measures affect companies in China, the United Arab Emirates, Singapore, and other countries. The US Treasury also stated that the Iranian government is using five industries to support the economy and evade sanctions: digital assets, gold, technology, aviation, and shipping.
Washington views the new sanctions as part of a pressure campaign against Tehran amid the nearly six-month-long conflict between the US, Israel, and Iran. The fighting has disrupted shipping in the region, reduced oil flows, and had a negative impact on the US and global economies.
Iran rejected the US threats and warned of a possible retaliation. Tehran also issued a new warning to shipping, stating that vessels must obtain permission to transit the Strait of Hormuz. Amid increasing US pressure, Iran continues to seek diplomatic avenues to resolve the conflict. On Monday, Pakistani Chief of Army Staff Asim Munir was in Tehran for talks. Pakistan stated that the visit was aimed at promoting regional peace and stability.
According to Reuters sources, Munir had previously spoken with Trump. One source said the US president's main request was for Iran to return to the negotiating table. The White House confirmed the conversation but did not disclose its content.
Meanwhile, shipping tensions in the region persist. On Monday, a shell struck a tanker west of the Saudi Arabian port city of Yanbu in the Red Sea, causing a fire. The incident was reported by the British service Maritime Trade Operations. The Saudi Arabian National Shipping Company confirmed the attack on one of its vessels.
The new economic measures are a continuation of the Trump administration's policy of increasing pressure on Iran. However, the American president has yet to achieve the goals he stated at the start of the war, including dismantling Iran's nuclear program and creating the conditions for a change in the country's leadership.
The conflict has also led to rising fuel prices and negatively impacted Trump's approval ratings. According to a Reuters/Ipsos poll published this week, the president's popularity has fallen to the lowest level of his current term.