Iran Foreign Minister Abbas Araqchi Says U.S. Economic Pressure Not Working, Calls for Diplomacy

It has been six months since the United States and Israel launched their coordinated military campaign against Iran on February 28. The war is easily cast as the latest turn in the long antagonism between Washington and Tehran, but that frame misses its immediate context. Its real context is the aftermath of October 7, 2023: Israel’s genocidal war on Gaza that followed spread across the region, wore down Iran’s network of allies, and pulled Israel and Iran into increasing confrontation, culminating in the 12-day war of June 2025 and the US-Israel campaign launched this February. The bilateral track only sharpened this trajectory. Nearly eight years before the current war, Trump’s first administration launched “maximum pressure” aimed at driving Iran’s oil exports to zero. When it failed to force political change, economic coercion eventually gave way to military force. Six months on, the campaign has come full circle, back to economic pressure applied with greater force. Economics, then war, then economics again. At the 100-day mark, Tehran could plausibly present the outcome as a victory of survival: Its adversaries had failed to topple the system, and by its own measure that was what mattered. Six months on, that claim is harder to sustain because the pressure has shifted to the terrain on which Iran has always been weakest. The question is no longer whether Iran can survive military attack, but whether it can withstand an economic siege with no sign of lifting. A leadership hollowed out at the top The most visible change is at the summit. After the assassination of Supreme Leader Ali Khamenei in the opening strike, his son Mojtaba was appointed just more than a week later, a succession Tehran presented as proof of continuity and cohesion. But six months on, he has yet to make a verified public appearance. His portrait is carried through city squares and at mourning ceremonies, and decrees are issued in his name, while rumours about his condition persist. A leadership that once drew its authority from the visible presence of a single figure now rests, in part, on an absence. The state has also had to rebuild its command structure in the middle of the war. The opening strike killed IRGC commander Mohammad Pakpour and armed forces chief of staff Abdolrahim Mousavi, while other senior commanders were slain in the weeks that followed. On August 10, decrees issued in Mojtaba’s name formalised a new military leadership, including Ahmad Vahidi as IRGC chief and Ali Abdollahi as chief of staff. The appointments appear to favour loyalty and continuity over change and were widely read as a signal that Tehran did not intend to soften its posture. The deeper significance is simpler: A state still rebuilding its high command in the sixth month of a war is not doing so from a position of strength. From maximum pressure to ‘Economic Outcast’ The clearest sign that the war has returned to its economic origins is the campaign Washington has intensified since suspending strikes in early August. US officials had already branded the broader effort “Economic Fury”; on August 24, the Treasury launched Operation Economic Outcast, an expanded campaign aimed at severing Iran’s remaining financial links with the outside world. Its instruments are familiar from the pre-war “maximum pressure” era but are being applied more aggressively: Secondary sanctions on those moving Iranian oil, measures against its “shadow fleet” and financial networks, and greater enforcement of international sanctions. Iran’s oil exports, near 1.8 million barrels a day before the war, have fallen below half a million; inflation is approaching 90 percent, with food prices more than double what they were a year ago. Yet the siege lands on an economy whose troubles were never solely the work of sanctions. Iran had long failed to insulate itself from an architecture built over decades, from US sanctions dating to the 1980s to United Nations Security Council resolutions since 2006. Neither the 25-year, $400bn partnership with China nor the strategic treaty signed with Russia in early 2025 delivered the stability Tehran sought. Before the war, Ali Khamenei and Pezeshkian had acknowledged that sanctions alone could not account for the depth of the crisis and that governance bore its share. The economic weapon works in part because the state it targets was already structurally exposed. That pressure is now enforced at sea. Iran closed the Strait of Hormuz in retaliation on February 28 and, six months on, it has not reopened; the naval blockade that followed has fused with the closure into a single chokehold on Iran’s trade. Diverging narratives in Tehran That structural exposure is forcing a longstanding divergence into the open. For years, Iran’s leadership has explained its crises through two competing narratives: One, advanced by the political leadership, acknowledging failures of economic governance; the other, promoted by the security establishment, attributing unrest to external enemies. Under the pressure of the siege, that divergence has sharpened into a disagreement over the war itself. President Pezeshkian, who signed the June memorandum with Washington, has spoken with growing candour about an economy giving way, saying this month that Iran’s difficulties have “multiplied several times over” as revenue has fallen. On August 21, he argued that it would be “better to end [the war] today, while we are in a position of strength”, even as his government prepared Iranians for painful increases in fuel prices. Parliament speaker and chief negotiator Mohammad Bagher Ghalibaf has put the danger more bluntly: “No matter how much military power we have, if the people are hungry and there is no financial circulation, economic growth, or national production, we will not endure.” Yet he remains tied to the security establishment’s logic, insisting diplomacy carries weight only when backed by readiness for war and casting Washington’s economic turn as an admission of military failure. That Iran’s two most senior civilian figures now say publicly that hunger, not bombardment, is the greatest threat marks a shift from the confident rhetoric of the war’s first months. It has not settled the argument over who is responsible, only raised its stakes. Six months on, Iran’s leadership still measures the war by the standard it set at the outset: The system has not fallen, and everything else it considers recoverable. By that measure, survival remains a form of victory. But the pressure now falls on the household and the market, where it is harder to answer with the language of resistance. The divide between a president urging an end to the war and a security establishment determined to outlast it is no longer concealed. The war has also produced the terms of its own possible end. The closed strait and the blockade have become the centre of gravity for diplomacy. Reopening the strait and lifting the blockade are the levers each side holds over the other and the most plausible opening for negotiations that could bring the conflict to a close. This leaves Iran with a difficult choice. To negotiate a settlement on terms Washington would accept risks provoking the internal fracture the hardliners fear; to hold out risks a bleeding economy and a winter that will test the state’s capacity to provide. The war has also reinforced, within parts of the leadership, the conviction that only a nuclear capability could have deterred the initial attack, making any lasting settlement harder to reach. Beneath these immediate pressures lies a more enduring pattern. The confrontation between Washington and Tehran has always been, at its core, a contest shaped by what the political elites of the two countries believe about each other and about the risks of dealing with each other. On the Iranian side, US hostility has repeatedly deepened divisions within the political elite rather than compelling agreement, reinforcing its reluctance to make bold decisions about negotiating with the US. Pressure intended to force Tehran’s hand has instead hardened the hesitation it sought to break, compounding Iran’s political and economic strains. Six months into this war, that pattern is again on display: the campaign has come full circle to the economic weapon it began with, the Iranian elite is more divided, and the bold decision a settlement would require remains as distant as ever. There is little sign that this cycle will end soon. The views expressed in this article are the author’s own and do not necessarily reflect Al Jazeera’s editorial stance

Why Iran does not fear the US financial offensive and what else Washington may try against Tehran's economy - Author, Amir Azimi - Author's title, BBC News - Publication date - Reading time: 5 min The United States says it has launched an "economic offensive against Iran’s financial connections worldwide." Secretary of the Treasury Scott Bessent indicated at a press conference held this week that the sanctions cover digital assets, technology, gold, aviation, and sea transport. He added that any country that forms financial partnerships with Iran will be isolated. However, Bessent’s announcement, which he described as an "economic D-Day," may have sounded more dramatic in Washington than in Tehran. Shortly after the announcement, Iran’s economy minister, Ali Madanizadeh, described it as "the same old speech" and assured that Iran was prepared for "any scenario." He noted that Tehran was already expecting these measures and has plans to address them. His reaction points to the main question that Iranian leaders are likely asking themselves: what can the United States do now that it hasn’t already tried? New formula? Bessent has threatened to expand so-called secondary sanctions against countries, banks, and companies that continue to do business with Iran. But the underlying policy is not new. Iran has faced US sanctions for years, including penalties against foreign companies that trade with the country. What matters now for Tehran is whether Washington can apply sanctions more broadly and effectively than in the past. The US embargo has already had effects. It has reduced Iran’s ability to export both crude oil and other goods by sea, and has made it harder to import goods and equipment. Iran has extensive land borders with seven countries and has years of experience using them to circumvent sanctions. However, land routes cannot easily replace maritime trade, especially oil exports. Therefore, pressure could become much more serious if Washington manages to close the channels that survived earlier rounds of sanctions, particularly those involving China and Iran’s neighboring countries. Nevertheless, it is a difficult task. China’s Ministry of Foreign Affairs stated on Tuesday that it strongly opposes the sanctions, calling them illegal. If the sanctions fail, Bessent’s announcement could embolden those inside Iran who oppose a deal with the US. These sectors could argue that Washington has once again relied on economic pressure because its other options are limited. A new military campaign carries risks, while years of sanctions have not forced Iran to accept US demands. Washington has also left little room for diplomacy. Although Pakistan and other mediators continue trying to restart talks, the United States has not ruled out carrying out new attacks. Renewed threats could weaken Iranian officials who favor reaching an agreement. A country accustomed to sanctions Iran’s economy was already in serious trouble before the war, with high inflation and a rapidly depreciating currency, and the situation has worsened since fighting began after the February 28 US- and Israel-led airstrikes. The depreciation of the Iranian currency, the rial, is being felt acutely and broadly. Imports are more expensive, companies have difficulty planning, and ordinary people’s savings are losing value. Export restrictions on oil have also reduced the government’s access to foreign currency. Negin, a pseudonym, is a 34-year-old woman who says her monthly income is now about US$100. "I don’t go to the cinema, theater, or concerts. I don’t buy gifts for anyone. I don’t attend birthday parties. I can only buy meat with the government subsidy coupon; otherwise, I couldn’t afford it," she told the BBC. Mona, a housewife and mother of two, says her husband has been unemployed since the war began. "We are afraid, especially since the sanctions came into effect. Since the war began, my husband has not returned to work. He used to work on ships," she explains. And she adds: "We are trying to manage what we spend as best as we can, but we have certainly had to cut all extra expenses and small luxuries." Looking to November Iran could consider that time is working against US President Donald Trump. A greater disruption of traffic in the Strait of Hormuz could push up oil and gasoline prices, raise inflation in the United States, and become a political problem ahead of the midterm elections in November. This gives Tehran a key date to watch, though banking hopes on US elections are a risky bet. By then, the Iranian economy could be in a much weaker position. Beyond the midterms, there is another issue. Since Trump will not seek reelection in 2028, in the late stages of his term the government could feel freer to maintain the confrontation with Iran and bear its costs. Therefore, Iran has one eye on two clocks. One is political and in Washington. The other is economic and internal. Each month of falling oil exports, disrupted trade, and pressure on its currency makes waiting for a deal to end the conflict more costly. This leaves Iranian leaders facing a difficult decision. Concessions now could seem like surrender to the pressure and could strengthen the hardliners, who argue that Washington will only demand more concessions. Meanwhile, waiting could improve Iran’s position if Trump’s strategy encounters political or economic obstacles. But Tehran could also be forced to negotiate later with a weakened economy. Much now depends on what happens outside Iran. If Chinese banks, regional trading partners, and companies begin to pull out because they believe Washington will punish them, Bessent’s campaign could alter Tehran’s strategic calculations. It could also go the other way: Iranians who oppose any deal will argue that Washington has played another supposedly decisive card without shifting the balance of power, and that Iran should keep waiting or resisting. - Download the BBC World Service new app. Choose BBC News World and receive news alerts, documentaries, and analysis, all in one place. Important: the new app is not available in the United Kingdom or the United States.

Iranian crude oil exports have plunged in August as the U.S. relies on economic pressure through its naval blockade, rather than military strikes, to coerce Tehran into a deal to fully reopen the Strait of Hormuz. Tehran has loaded about 260,000 barrels per day for export at its ports so far this month, a decline of more than 80% compared with 1.7 million bpd in August 2025, according to data shared Thursday by the trade intelligence firm Kpler. President Donald Trump reimposed the blockade on July 14 in retaliation for Iran attacking oil tankers transiting the Hormuz Strait. Tehran's crude loadings are down about 70% in August from 893,000 bpd last month. Oil exports are a crucial source of revenue for Iran. The Trump administration believes Iran will eventually run out of money and have to capitulate, said Bob McNally, president of Rapidan Energy. The blockade has been "very effective," said Matt Smith, director of commodity research at Kpler. It has "walloped Iran's crude export loadings," he said. The crude that Tehran is able to load on tankers probably doesn't make it past the blockade, Smith added. Tehran has about 20 million barrels of crude oil on tankers in Asia waiting to discharge to China, the main recipient of Iranian oil, that is a source of revenue, Smith said. Iran can probably store another 20 million barrels onshore before it runs out of space and its production is affected, he said. The U.S. military has redirected 75 commercial ships, disabled three vessels and boarded two as of Thursday to enforce compliance with the blockade, Central Command said in a social media post. A campaign of economic warfare Trump has shifted to a campaign of economic warfare against Iran, after a dozen waves of airstrikes in July failed to force Tehran to abandon its claim to control Hormuz. Treasury Secretary Scott Bessent on Monday announced a plan to sever the Islamic Republic's financial connections around the world. "We have the blockade and we are going to have the toughest sanctions in history," Bessent told CNBC last Thursday. "It worked in Venezuela once we put up the blockade. It is working in Cuba right now and it is going to work in Iran, and we are going to collapse this regime." But the Treasury secretary's launch of "Operation Economic Outcast" against Iran on Monday was light on specifics. The campaign represents a major departure in U.S. policy, said Jeremy Paner, who worked on Iran sanctions at the Treasury's Office of Foreign Assets Control from 2007 to 2013. "Instead of saying we're going limit the revenue, they're saying we're going to completely economically isolate Iran," Paner said. "That had never been the goal of the U.S economic sanctions. Bessent saying that is a big deal." But Iran has remained defiant, rejecting U.S. demands and calling on the Trump administration to accept its conditions for Hormuz to reopen. Two tankers have come under attack this week in Hormuz and near Oman. Meanwhile, Tehran is negotiating with Oman to share control of the strait potentially with some type of fee, a system the U.S. and its allies reject. But Iran is losing some of its leverage as the U.S. military helps tankers from allied Gulf nations transit Hormuz through a southern corridor along Oman's coast, said Michelle Wiese Bockmann, senior maritime intelligence analyst at Windward. Trump said Wednesday that the strait is functioning with 10 million barrels of oil exiting the waterway on Tuesday. Independent firms are seeing volumes that are much lower than the U.S. government's figures. Kpler tracks between 5 million bpd and 6 million bpd of crude oil transiting the strait, Smith said. This is around a third of the 15 million bpd of crude that exited before the war started on Feb. 28. Windward estimates that exports through Hormuz rose to 5 million bpd in July compared with about 4 million bpd in June and 1.6 million bpd in May. "My assessment is that it's scaling and it's scaling quickly despite the fact that Iran is placing enormous pressure on maritime security," Bockmann said. "While this southern corridor scales, Iran loses its leverage," she said.

China has rejected what it described as “illegal unilateral sanctions” after the United States announced earlier this week new steps to cut off all possible sources of revenue for Iran. US Treasury Secretary Scott Bessent described the sanctions package as an economic D-Day against Tehran, and warned that any economic cooperation with the regime “would expose those responsible to the full reach” of US power. China is Iran’s main trading partner and a lifeline for Tehran, mainly through oil purchases but also with banking services, technology and dual-use goods that can be used for civilian or military purposes. When asked whether Chinese banks would be included in the new measures, Bessent warned that “no one is above the reach of US sanctions.” But given that US President Donald Trump is expected to meet his Chinese counterpart, Xi Jinping, in September, Washington will need to tread carefully with any move that could affect the China–Iran trade relationship. China’s big banks remain safe. The initial US sanctions package does not affect the major Chinese banks. Instead, it targets 60 entities, individuals and smaller ships in both mainland China and Hong Kong that are part of the ecosystem that supports illicit nuclear and missile technology acquisitions, cyber operations, and networks generating oil revenue. China buys up to 90% of Iran’s exported oil, some through independent refiners known as “tea refiners,” which end up changing the brand of the oil or using intermediaries to circumvent US sanctions. In May 2026, the Chinese Ministry of Commerce ordered domestic companies and larger oil refineries to ignore the US restrictions directed at several of those refineries. At that time, Bessent said that Chinese purchases of oil from Iran amounted to “financing the world’s largest state sponsor of terrorism.” Beijing maintains a balance between Iran and its rivals. A Foreign Ministry spokesperson, Lin Jian, stated that cooperation between China and Iran “has always been conducted within the framework of international law and should not be subject to interference or disruption.” China’s relationship with Iran is transactional, while it frames regional Middle East instability as a failure of US policy. At the same time, Beijing projects the image of a stable, responsible great power and avoids being associated with the rebel states that the United States accuses it of supporting. Beijing also values its commercial ties with Saudi Arabia and the United Arab Emirates, leading it to carefully balance its relations to avoid alienating Iran’s regional rivals. The ongoing conflict in the Middle East and the US sanctions package are likely to figure on the agenda when Iranian President Masoud Pezeshkian attends the Shanghai Cooperation Organization (SCO) summit in Kyrgyzstan, scheduled for August 31 to September 1, 2026. China has been “seeking to deepen its cooperation and broaden its reach with Gulf countries. From this perspective, Iran remains a useful and important partner for China, but not indispensable,” William Yang, senior analyst for Northeast Asia at the International Crisis Group, told DW. “In a sense, China benefits from Washington’s ongoing involvement in regional security and defense, and does not intend to replace the United States in that regard,” Yang adds. Is US power in the Middle East waning? However, US military setbacks during the war against Iran have changed the strategic landscape in the Middle East, Gu Xuewu, political scientist and director of the Bonn University Global Studies Center in Germany, tells DW. “In this context, Beijing will not yield to US pressure to cut economic and commercial ties with Iran or to help the United States maintain its presence in the Middle East,” Gu continues. The expert adds that China disapproves of US assertive behavior in the region and is not willing to accept it hindering cooperation among those Arab countries and China in economic, energy, military and scientific fields. According to Gu, Beijing has no interest in waging a “decisive battle” with the United States in the Middle East. “It’s enough to provoke the United States into making mistakes in the Middle East and let it continue making them without intervening.” Upcoming Trump–Xi Summit. Regarding the anticipated September 24 summit between Trump and Xi, William Yang does not believe Beijing or Washington will take drastic measures against Iran that could jeopardize the gathering. China will “maintain its basic level of commitment to Iran and be prepared to defend its economic interests if the US government begins to impose secondary sanctions on Chinese firms,” Yang says. However, he adds that Beijing will not “abandon the plans for the summit, which have been negotiated with great effort.” “We will see China and the United States on a collision course over Iran, even as they hold cordial talks during the Xi Jinping–Trump summit,” Gu concludes. Do not let the algorithm hide the news. If you trust this site for reliable information, please take a moment to select us as your preferred source on Google: click here and check the box or press the DW.com button to always see our verified news in your preferences. (cp/ms)

The U.S. Treasury has set its sights this Friday on Bank Misr, Egypt’s second-largest financial institution, by announcing it willblock its UAE subsidiary’s access to the U.S. financial system over its alleged dealings with Iran, in what would be the first substantial measure since President Donald Trump announced days ago a “economic war” against Tehran. In particular, the Financial Crimes Enforcement Network (FinCEN) of the Department has proposed a rule revoking the UAE-based Misr subsidiary’s access to “banking correspondent relationships with U.S. financial institutions.” The Treasury considers the financial entity to be “a central financial hub for the regime” in Iran, since, between January 2024 and June 2026, it “processed about $1.8 billion (1.55 billion euros) for 103 companies that could be part of Iranian shadow banking networks.” Shell companies as clients According to Washington, among the Misr UAE subsidiary’s clients are “shell companies used by Iran’s Defense Ministry and the Revolutionary Guards to circumvent U.S. sanctions, as well as to launder money on behalf of Iran’s Supreme Leader, Ayatollah Ali Khamenei.” Treasury Secretary Janet Yellen framed this proposal within her commitment to “cutting all economic ties” with Iran and recalled that U.S. authorities had already warned they would sanction all entities and countries that assist Tehran. “Misr Bank UAE chose to find out the hard way, and today we are taking the first step to make it hold itself accountable for its ongoing and atrocious support to the Iranian regime,” he stated. The measure would prevent any U.S. bank from facilitating or authorizing any financial transaction involving Misr UAE. Revolving doors for the Revolutionary Guards In this line, the Office of Foreign Assets Control (OFAC) has issued sanctions against Reza Mohamad Taeedi, director of the Melli Bank branch in Dubai, for facilitating transactions worth “tens of billions of dollars” through accounts of the Iranian Revolutionary Guards, enabling this arm of the military to operate both inside and outside the Central Asian country. OFAC has adopted the same measure against Kameng Trading Limited, a Hong Kong-based “shell” company accused of money laundering for an Iranian exchange house, already sanctioned by Washington.

The Iranian regime stated this Friday that countries “are obliged” not to apply or recognize the new sanctions imposed by the United States on Iran, a campaign of economic pressure that it called an “extension of the war.” “All countries are obliged to refrain from applying such sanctions,” the Iranian Foreign Ministry indicated, in its first official response to the so-called “Economic Pariah” operation announced by the U.S. on Monday. The Foreign Ministry said in a statement that the U.S. sanctions represent “a grave violation of the United Nations Charter,” “state terrorism,” a violation of national sovereignty, and an extension of the war that the U.S. and Israel began on February 28. ADVERTISEMENT “The declaration of economic war against Iran constitutes a continuation of the aggressive war that the United States and the Zionist regime have waged against Iran over the last year and a half under false and unfounded pretexts, putting regional and international peace and security at risk,” the Ministry stated. Iranian authorities claimed that the economic operation intends to “inflict pain and suffering on the Iranian people and deprive Iranian citizens of their fundamental human rights, hence it is considered an international crime and a crime against humanity.” Therefore, they called on the international community to take “the necessary measures to uphold the rule of law.” The United States announced on Monday the “Economic Pariah” operation to cut “all economic options” for Iran, with the aim of intensifying pressure with sanctions against the Islamic Republic. ADVERTISEMENT Iran had said before the sanctions announcement that it would consider any country that collaborates “in the economic war” waged by the United States as an “enemy.” The war launched by the United States and Israel against Iran marks six months today without a horizon of solution, with the Strait of Hormuz still blocked and with a continuous exchange of threats between the parties. ADVERTISEMENT ADVERTISEMENT

The Iranian Foreign Ministry condemned a new wave of US sanctions unveiled on Monday under the title “Operation Economic Outcast,” which came after Washington failed to reach its war objectives against Iran, a report of the foreign ministry's statement by the Press TV said. The ministry said Washington was abusing the dollar as a tool to intimidate other countries into following its interventionist policies toward Iran. It said such pressure violated the national sovereignty and right to self-determination of all UN member states. The ministry also said US sanctions against Iran, because of both their nature and consequences, constituted a serious violation of the UN Charter. It cited the principle of non-intervention in the internal affairs of states and the prohibition of obstructing cooperation between countries. It referred in this regard to UN General Assembly resolutions adopted in 1981 and 1970 on non-intervention, friendly relations and cooperation among states. The Foreign Ministry further described the declaration of economic war against Iran as a continuation of an aggressive war waged by the United States and Israel against Iran over the past year and a half, using “unfounded pretexts”. The ministry denounced the indifference and accommodation of the UN system and its member states toward serious violations of international law by the United States and Israel. “Unfortunately, the indifference and complacency of the United Nations system and its member states toward the flagrant violations of international law by the United States and the Zionist regime have led to the formation of a highly dangerous pattern of lawlessness and the commission of the most severe international crimes by them—the consequences of which have exposed the entirety of human civilization to an unprecedented threat,” added the ministry. The ministry said “Operation Economic Outcast” itself demonstrated “the criminal intent of those who designed and implemented it to inflict suffering on the Iranian people and deprive Iranian citizens of their fundamental human rights; therefore, it is tantamount to an international crime and a crime against humanity.” Iran further noted that US sanctions continued to violate the October 3, 2018 order of the International Court of Justice, which required the United States to remove obstacles and restrictions affecting the free flow of trade in food and agricultural products, medicines and medical equipment, and essential civil aviation safety equipment and services, as well as related funds. “The new US sanctions had created a new situation that requires the international community, including UN bodies, to take necessary measures to safeguard the rule of law and the principles of the UN Charter,” added the statement. Iran calls on states to reject implementation The Foreign Ministry said US economic sanctions against Iran were “completely illegal and unjustified,” regardless of the name or title given to them. “Accordingly, all countries are obliged to refrain from implementing such sanctions,” the ministry said. It added that all governments were also obliged to avoid recognizing or endorsing situations or effects resulting from the illegal measures. MNA

(NewsNation) — Six months after the United States and Israel launched their war in Iran, theIslamic Republichas survived weeks of bombing and the killing of senior leaders. Iranian Foreign Minister Abbas Araqchi said Friday diplomacy with Washington could still get back on track, but only if the U.S. recognizes economic pressure is not working. Araqchi said after talks with Qatar’s prime minister and foreign minister, Washington needs to build trust, speak respectfully, recognize Iran’s rights and honor its commitments. A U.S. official told Reuters Friday the Trump administration plans to impose limits on Egypt’s Banque Misr for doing business with Tehran by revoking U.S. financial access to its branches in the United Arab Emirates. The official said the proposed rule, if finalized, would withdraw Banque Misr UAE’s correspondent banking access to U.S. financial institutions. Treasury officials separately issued sanctions targeting one Hong Kong-based entity and one person linked to Iran’s Bank Melli, according to a notice posted on the department’s website. With the U.S. focused on its economic pressure campaign, others have sought to revive diplomatic efforts to end the war. Qatari Prime Minister Sheikh Mohammed bin Abdulrahman Al Thani said he had stressed during talks with Iranian leaders in Tehran on Thursday the importance of returning to the pre-war status of open shipping through the Strait of Hormuz. Iran’s foreign minister on Friday condemned the latestU.S. economic measuresas “state terrorism,” calling the sanctions illegal and saying they put the health and livelihoods of millions of civilians at risk. Iran also urged other countries not to implement the new U.S. sanctions, describing the campaign as a “ruthless tool” meant to inflict pain on Iranians. The comments come as the six-month war has reshaped regional security, strained U.S. relationships with Gulf allies and left shipping through theStrait of Hormuzseverely disrupted. In apost on social mediaThursday, Adm. Brad Cooper said the Strait of Hormuz has been wiped of all mines. “We have successfully cleared sea mines in the Strait’s international shipping lanes that were laid months ago by Iran’s Islamic Revolutionary Guard Corps,” Cooper said, adding the circumstances around the mission were “challenging and dangerous to say the least, but we got the job done.” The Associated Press contributed to this report. Reuters contributed to this story.

As Iran Threatens Radio Farda And Other Media, US Points To Tehran's Record Of Targeting Journalists WASHINGTON -- The United States said it was aware of threats by Iran's armed forces to put Persian-language media outlets including RFE/RL's Radio Farda on a list of potential military targets, and pointed to what it said was Tehran's record of harassment and attempted attacks against journalists and dissidents abroad. In an August 28 response to a query from RFE/RL, a State Department spokesperson said, "We are aware of these reports." "The Iranian regime has repeatedly harassed and attempted to kidnap and kill journalists and Iranian dissidents worldwide simply for exercising their freedoms. This is longstanding, despicable behavior from a regime that has propagated terror globally for decades," the spokesperson said. In a televised interview earlier this week, Iranian armed forces spokesman Brigadier General Abolfazl Shekarchi named Radio Farda, Iran International, BBC Persian, and Manoto, and said their employees could be included in Iran's "bank of military targets." He called them "soldiers of Zionism and criminal America" and claimed, without providing evidence, that the outlets were connected variously to the CIA, Mossad, and other foreign intelligence services. To read the full report, click here. Iranian Prices Of Food, Beverages More Than Doubled In A Year Iranian media reported on August 28, citing the Statistical Center of Iran, that the country's headline inflation rate reached 89 percent in August, while the average price of food and beverages rose more than 127 percent compared with August 2025. A headline inflation rate of 89 percent means Iranian households spent on average 89 percent more this August than a year ago to purchase the same selection of goods and services. According to the published data, the highest year-on-year inflation rate was recorded in the tobacco category, where prices increased nearly 161 percent. Food and beverages ranked second, with prices rising 127.5 percent over the same period. According to the Statistical Center of Iran, prices in the hotels and restaurants category were more than 107 percent higher, while transportation costs were up nearly 105 percent. The center also reported that the average consumer inflation rate over the 12 months ending in August stood at 69.9 percent, compared with the corresponding 12-month period a year earlier. Meanwhile, the monthly inflation rate for August was reported at 3.4 percent. On August 14, Iranian President Masud Pezeshkian, responding to criticism over the sharp rise in prices and its impact on citizens' livelihoods, described the situation as "natural" and said the economic blockade and US oil sanctions were among the contributing factors. US Targets UAE Bank Over Billions In Suspected Iran-Linked Transactions WASHINGTON -- The United States on August 28 moved to further restrict Iran's access to the global financial system, targeting a bank in the United Arab Emirates (UAE) over alleged ties to Iranian shadow banking networks and sanctioning a Bank Melli executive and a Hong Kong-based company. The Treasury Department's Financial Crimes Enforcement Network (FinCEN) proposed barring US financial institutions from maintaining correspondent accounts for Banque Misr UAE, which Washington described as a key channel for Iran's access to US dollars. The Treasury said the bank processed about $1.8 billion between January 2024 and June 2026 for 103 companies potentially linked to Iranian shadow banking networks. It said some customers were apparent front companies for Iran's Defense Ministry and the Islamic Revolutionary Guards Corps (IRGC) and alleged the bank's network was used to launder money and evade US sanctions. Separately, the Treasury's Office of Foreign Assets Control sanctioned Reza Mohammad Taeedi, manager of Bank Melli's Dubai branch, accusing the bank of facilitating billions of dollars in transactions for the IRGC's Quds Force and helping fund Iran-aligned groups. OFAC also sanctioned Hong Kong-based Kameng Trading Limited, which the Treasury said helped a sanctioned Iranian exchange house launder money and access the international financial system. "Today's action intensifies our pressure campaign against Iran," State Department spokesman Tommy Pigott said, adding that Washington would target individuals and entities involved in illicit financial activity on behalf of Tehran. Treasury Secretary Scott Bessent said the action against Banque Misr UAE was the "first step" in holding the bank accountable. The measures are part of Operation Economic Outcast, launched by the Trump administration on August 24 to intensify pressure on Iran's financial networks and expand sanctions risks for institutions doing business with the Iranian regime. Iran Urges Countries to Reject New US Sanctions Iran's Foreign Ministry has called on countries around the world to refrain from implementing new US sanctions against Tehran, describing Washington's economic measures as illegal and condemning them as "state terrorism" and a "crime against humanity." In a statement published on X on August 28, the ministry said that taking part in implementing US sanctions amounted to complicity in imposing the unlawful will of one state on independent countries and disrupting their legitimate economic and trade relations. The ministry called on the international community to uphold the rule of law and said Iran would use all available means to defend itself against what it described as a combined US-Israeli military and economic assault. The statement came days after US Treasury Secretary Scott Bessent announced Operation Economic Outcast, an expanded US campaign aimed at increasing economic pressure on Iran and its international financial and commercial connections. Bessent announced the initiative on August 24, describing it as an unprecedented campaign against Iran and its enablers. The measures expand the potential use of secondary sanctions against countries and entities that continue doing business with Tehran, including in sectors such as digital assets, gold, technology, aviation, and shipping. Iran-Linked Tanker Hijacked By Somali Pirates 'Not Registered In Eritrea' An Eritrean official said on August 28 that a US-sanctioned oil tanker which was diverted by pirates from the coast of Yemen to Somalia last week was not registered in Eritrea, despite flying the country's flag. Information Minister Yemane Gebremeskel said the oil tanker Sibu 1, which was sanctioned by the US Treasury Department last December on suspicion of being affiliated with Iran's "shadow fleet," has no connection to Eritrea. The vessel is listed on ship-tracking websites as being Eritrean-flagged, but the UN International Maritime Organization database shows its current flag status as "Eritrea False," indicating its registration is not recognized. According to ship-tracking data, the tanker was last seen on August 24, about 6 kilometers off the northeastern coast of Somalia. With reporting by Reuters IRGC Warns Against Possible New Protests In Iran The intelligence wing of Iran's Islamic Revolutionary Guards Corps (IRGC) issued a statement on August 27 warning of growing social discontent and the possibility of renewed street protests in Iran. It claimed that Iran's opponents, including the United States and Israel, were shifting toward exerting pressure from within after failing, in its view, to achieve regime change through military strikes. The IRGC said its perceived adversaries were using tactics including the activation of crisis centers, psychological warfare, turmoil in monetary and financial markets, and anti-security operations. It also accused them of exploiting domestic weaknesses and shortages and encouraging public dissatisfaction to spread into the streets. The statement said the IRGC was prioritizing efforts to confront actions it considered disruptive to public order, national solidarity, and cohesion. In recent days, concerns about possible renewed protests have grown amid a rising dollar exchange rate and gasoline shortages. Iranians Say SIM Card Cutoffs Have Become A Tool To Punish Critics Cutting off SIM cards has emerged as one of the more effective tools available to Iranian authorities seeking to punish critics and civil society activists, with consequences that go well beyond losing mobile phone service. Because access to banking, government, insurance, judicial, and even educational services in Iran is now tied to a verified mobile number and one-time SMS codes, cutting off a person's SIM effectively locks them out of a wide range of essential services and civil rights. One woman, Donya Rad, said she recently discovered she could not renew her car insurance because a new mandatory rule requires registering one's address through a state housing portal -- a process that requires an SMS verification code she could not receive. She wrote on X that SIM cutoffs have become so routine over the past two or three years that people talk about them the "way they complain about traffic or the weather." She described it as "a punishment that arrives before any legal charges are filed." To read the full report, click here. 6 Months Into The Iran War, These 4 Issues Could Shape What's Next WASHINGTON -- Six months since US and Israeli air strikes against Iran launched a conflict that has shaken energy markets and disrupted global shipping, there is still no clear end to the confrontation. While Iran's military capabilities have suffered major damage, it retains leverage in the Strait of Hormuz. Experts interviewed by RFE/RL from across Washington's policy spectrum see the next phase being shaped by four questions: how long Iran can withstand economic pressure, can diplomacy turn military gains into a durable settlement, what happens to Hormuz, and whether Russia and China help Tehran rebuild. Retired Vice Admiral Robert Harward, a former deputy commander of US Central Command, describes the situation as a "steady state." But he argues that the clock is ticking for Tehran. "Time is their biggest problem," HThis is how Washington is now presenting the conflict, with Treasury Secretary Scott Bessent announcing what he called an " economic onslaught" of measures to further isolate Iran on August 24. Bessent will press G20 finance ministers on this during meetings in Asheville, North Carolina, on August 31-September 1. arward told RFE/RL, saying sustained economic pressure could eventually become an internal threat to the Iranian government. Bread-and-butter issues sparked the mass demonstrations in December-January that were put only down with brutal force involving the killing of thousands of protesters. To read the full report, click here. Iran's Araqchi Says 'Creative Discussions' Held With Qatar's Prime Minister Iranian Foreign Minister Abbas Araqchi said he held “creative discussions” with Qatar’s Prime Minister and Foreign Minister Sheikh Mohammed bin Abdulrahman Al Thani amid a stalled diplomatic process. “Putting diplomacy back on track isn’t impossible,” Araqchi wrote on his X page on August 28, but added that diplomatic efforts “hinged on US understanding of one simple fact: pressure doesn’t work.” He also said Tehran wanted Washington to “build trust, speak respectfully, acknowledge our rights, and uphold commitments.” Araqchi’s comments come as negotiations between the United States and Iran have been effectively paused in recent months, with the two countries remaining far apart on key issues related to the conflict. Just a day earlier, Iran again insisted that it would not allow inspectors from the UN’s atomic watchdog to visit nuclear facilities damaged in military attacks since the beginning of the war until new inspection procedures are established. Strait Of Hormuz Traffic Falls Below Recent Average Only five commodity vessels transited the Strait of Hormuz on August 27, a figure three times below the recent daily average. According to data published on August 28 by ship-tracking service Kpler, the five vessels that transited the waterway included two medium-range tankers and one very large gas carrier. Over the past 10 days, an average of 15 ships per day transited the strait. The figures shown by monitoring sources could change, as some ships typically switch off their transponders during voyages. The safe passage of ships through the Strait of Hormuz, which once accounted for one-fifth of global oil trade, has become one of the central issues in the Middle East since the start of the war between the United States and Iran. The matter has also been a major obstacle to a negotiated settlement of the conflict, with Tehran and Washington remaining far apart over the terms of control of the strait.

DUBAI, Aug 28 (Reuters) - Iran condemned the United States' new economic sanctions on Friday as "state terrorism" and said other countries were legally obliged not to implement them, while the U.S. Treasury Department announced additional targeted Iran-related measures. The Iranian foreign ministry's statement came as mediators stepped up efforts to reopen the Strait of Hormuz, which handled 20% of world oil supplies before the war began six months ago and whose status remains the biggest obstacle to a peace deal. Sign up here. President Donald Trump's administration on Monday warned countries to cut their business ties with Iran or face secondary sanctions as part of what it billed as an "economic D-Day," though the Treasury Department stopped short of actually imposing penalties. Trump reiterated on Thursday that the U.S. was not talking with Iran, while the White House said Washington's economic campaign would continue until Tehran decided to "come to the table in a meaningful way". Iran’s Foreign Ministry said in a statement on Friday that all countries were obligated under international law to refrain from implementing U.S. sanctions against Tehran, adding that participation in them amounted to complicity in imposing one state’s unlawful will on independent states. It branded the new U.S. measures a "crime against humanity" that put the health and livelihood of millions of civilians at serious risk, and called on other nations and United Nations bodies to uphold the rule of law. NEW MEASURES TARGET EGYPTIAN BANK Later on Friday, a U.S. official told Reuters the Trump administration plans to impose limits on Egypt's Banque Misr for doing business with Tehran by revoking U.S. financial access to its branches in the United Arab Emirates. The official said the proposed rule, if finalised, would withdraw Banque Misr UAE's correspondent banking access to U.S. financial institutions. Treasury officials separately issued sanctions targeting one entity based in Hong Kong and one person linked to Iran's Bank Melli, according to a notice posted on the department's website. With the U.S. focused on its economic pressure campaign, others have sought to revive diplomatic efforts to end the war. Qatari Prime Minister Sheikh Mohammed bin Abdulrahman Al Thani said he had stressed during talks with Iranian leaders in Tehran on Thursday the importance of returning to the pre-war status of open shipping through the Strait of Hormuz. 'PRESSURE DOESN'T WORK,' IRAN TELLS US Iranian Foreign Minister Abbas Araqchi on Friday described the talks with Al Thani as "creative", and he renewed his appeal to the U.S. to stop putting military and economic pressure on his country and to resume negotiations. "Putting diplomacy back on track isn't impossible. It hinges on U.S. understanding of one simple fact: pressure doesn't work," Araqchi said on X. Qatar, a U.S. ally, and Pakistan helped broker a memorandum of understanding in June that led to a ceasefire but that quickly unravelled due to disagreements between Iran and the U.S. over the Strait of Hormuz. IRANIAN LEVERAGE After the U.S. and Israel launched the war on February 28, Iran threatened to strike any vessel transiting the strait without its authorisation, driving down traffic and sending up the price of oil, providing Tehran with leverage in the bargain. The U.S. insists that the strait remain an open international waterway. Mohsen Rezaei, secretary of Iran's Supreme National Security Council, said on Thursday Iran was preparing a list of conditions for reopening the strait. In the past Iran's conditions have included an end to the U.S. blockade on Iranian ports, compensation and removal of sanctions. It remained unclear whether Iran intended to amend those demands in a way that might be acceptable to Washington. CLEARING SEA MINES U.S. military commanders say American forces have cleared sea mines from the strait that had been laid months ago by Iran's Islamic Revolutionary Guard Corps. "Bottom line: today, international shipping lanes are open and momentum is building," Admiral Brad Cooper, commander of the U.S. military's Central Command, said in a video message posted on social media. Trump has repeatedly said the strait was open, but many vessels have opted against sailing through it because of Iranian threats, and ship tracking services have estimated activity at roughly 5% to 15% of normal volumes. Preliminary shipping data released on Friday showed that only seven commodity vessels had transited the Strait of Hormuz on Thursday, down from 17 a day earlier and below the 10-day average of 15. However, oil prices fell on Friday and were on track for a weekly drop, amid what analysts said were signs that more oil was flowing through the strait despite the diplomatic stalemate and that producers were increasingly adapting to the new realities in the Gulf region. Additional reporting by Ahmed Tolba and Enas Elashray in Cairo; Writing by Daniel Trotta and Gareth Jones; Editing by Kim Coghill and Sharon Singleton Our Standards: The Thomson Reuters Trust Principles.

Iranon Friday urged its international trading partners not to abide by newU.S.sanctions targeting Tehran, insisting that attempts to economically isolate the country are “illegal and unjustified.” In a social media post,Iran’sForeign Ministry said “all countries are obliged to refrain from implementing” the newly announced secondary sanctions under “Operation Economic Outcast” earlier this week. The ministry added that participating in the enforcement of the sanctions would only help Washington unilaterally impose its will on foreign countries by disrupting legal economic and trade relations. Treasury SecretaryScott Bessentannounced the new round of sanctions on Monday, hoping to add to the already suffocatingU.S.economic pressure campaign onIran. Under the new restrictions, entities and individuals that maintain direct economic ties toIrancould be removed from theU.S.dollar system, effectively cutting them off from the world economy. Mr. Bessent said Monday that theU.S.would give violating countries several days to comply with the new order, citing fears that immediately imposing restrictions would “blow up” the global financial system. SEE ALSO: CENTCOM chief says Strait of Hormuz cleared of Iranian-placed sea mines Since the announcement, Iranian officials have consistently said the new sanctions amount to “economic terrorism” and have called on the international community to reject the measures. Iranian Foreign MinisterAbbas Araghchisent a letter to theUnited Nationsearlier this week urging the body to reject the sanctions. Some ofIran’smajor trading partners have also appeared to buck theU.S.demand to cut off economic ties this week. Pakistan insisted this week that it would not obey a unilateral sanctions order from Washington and is only obliged to follow U.N. restrictions. China also said earlier this week it has no plans to modify its trade relationship withIranfollowing the announcement of new sanctions. China purchases the vast majority ofIran’soil exports and provides Tehran with key access to its banking system. Mr. Araghchi on Friday also suggested thatIran’srelationship with Qatar, a Gulf state that manages the South Pars/North Dome natural gas deposit with Tehran, would remain unchanged. “Putting diplomacy back on track isn’t impossible. It hinges onU.S.understanding of one simple fact: Pressure doesn’t work,” Mr. Araghchi wrote on X under a picture from his meeting with Qatari Prime Minister Sheikh Mohammed bin Abdulrahman Al-Thani this week. “TheU.S.should build trust, speak respectfully, acknowledge our rights and uphold commitments.” [email protected] View staff page Copyright © 2026 The Washington Times, LLC.Click here for reprint permission. [email protected] View staff page The indefatigable Dolly Parton Look to Wisconsin governor race for 2028 general election forecast Why Trump must pursue his promised North Korea meeting