Iran has strongly condemned the latest US economic offensive announced by President Donald Trump, describing Washington’s new measures as “economic terrorism” and accusing the United States of using economic pressure as another form of warfare. Trump has described the campaign as the “most crushing economic operation” ever directed against a country and warned nations and companies supporting Iran that they could face severe economic consequences.
The latest escalation comes as efforts to resolve the wider US-Iran conflict remain stalled. Washington is seeking to increase pressure on Tehran by targeting the financial and commercial networks that keep Iran’s economy functioning, including oil-smuggling operations, financial transfers, exchange houses, shipping networks and front companies. US Treasury Secretary Scott Bessent has separately promised what he called the “toughest sanctions in history.”
Iran, however, has rejected the pressure strategy. Its Foreign Ministry called the sanctions a continuation of decades of US hostility and argued that economic restrictions harm ordinary citizens rather than simply changing government policy. Iranian Foreign Minister Abbas Araghchi has also criticised Washington’s approach as ineffective and described it as a threat to global economic sovereignty.
From an analytical perspective, the latest confrontation represents a shift from primarily military pressure towards economic isolation. Washington appears to be betting that restricting Iran’s access to oil revenue, banking channels and international trade will increase the cost of continuing the conflict and eventually force Tehran back to negotiations.
The strategy, however, carries significant risks. Iran has lived under US sanctions for decades and has developed alternative trading networks and methods of moving money and oil. Tehran is already exploring alternative financial arrangements and new trade routes, including stronger economic links with countries outside the Western financial system.
The Strait of Hormuz adds another layer to the crisis. The waterway is crucial to global energy trade, and continuing disruption around it has already contributed to concerns about oil supplies and shipping costs. Any further escalation could therefore affect economies far beyond the United States and Iran.
For countries such as India, China and other major energy importers, the situation deserves close attention. If sanctions significantly reduce Iranian oil exports or disrupt shipping through the Gulf, international crude prices could rise, increasing transportation and import costs.
The central question is whether Trump’s economic pressure will force Iran to compromise or instead deepen Tehran’s resistance. History shows that sanctions can impose substantial economic damage, but they do not automatically produce political capitulation.
The latest US-Iran confrontation is therefore becoming a test of whether maximum economic pressure can achieve what years of sanctions and military confrontation have failed to accomplish. For now, Washington is increasing the pressure while Tehran is signalling that it will not surrender to it.
