US warns allies, China to back economic war on Iran

Washington: The United States issued a stern warning on Thursday to both its allies and China to join its campaign aimed at isolating Iran's economy and ultimately collapsing the government in Tehran. Treasury Secretary Scott Bessent's remarks highlighted how President Donald Trump is now prioritizing economic pressure over military action against Tehran, as this strategy faces increasing domestic criticism and precedes the upcoming midterm elections.

Trump had previously pledged during a Wednesday address to launch the "most crushing" economic operation ever against Iran. The USS George Washington arrived in the Middle East, while the USS Abraham Lincoln is preparing to return home. Bessent assured CNBC that the United States expects cooperation from allies and rivals in this intensified economic campaign against Iran.

He emphasized that this could be the largest coordinated economic isolation in world history, stating, "And we are going to them and saying you are either with us or against us." When asked about the possibility of pressuring China, Bessent acknowledged that many discussions would ideally take place privately, but he urged Beijing to participate in the program.

The White House expects a visit from Chinese President Xi Jinping on September 24, making the Iran issue a likely topic of conversation. Bessent added that the economic plan would reduce the likelihood of heavy military operations against Iran. If the maximum economic pressure is successful, large-scale kinetic operations may not be necessary.

However, he stressed that this assessment is for now, and further details of the economic measures will be revealed during a press conference on Monday.