US announces new sanctions on Iran, threatens to punish countries, entities trading with it

The US has announced new sanctions against Iran, aiming to cut off its economic lifeline. US Treasury Secretary Scott Bessent described this as an "economic onslaught" to sever Iran's financial connections, saying the goal is to leave Tehran isolated. According to Bessent, countries and entities trading with Iran will need to sever their business ties or risk being cut out of the dollar-based financial system.

Bessent unveiled the expansion of sanctions on Monday, but declined to identify specific countries that would be targeted or reveal when the penalties would take effect. He gave them time to comply with the new directive. The Treasury Department announced new sanctions on 60 individuals, entities, and vessels. Iranian Economy Minister Ali Madanizadeh responded, saying Iran is "fully prepared" for the US sanctions and views them as an "economic terrorist attack".

The new sanctions are part of what Bessent called "Operation Economic Outcast" to "foreclose every other option available to the Iranian regime". He stated that Iran now faces a choice between "complete global isolation and a subsistence economy, or a path back to normalcy with an opportunity to rejoin the global economy". The impact of the sanctions on oil prices was noted, with Brent crude futures rising 27 cents to $92.44 a barrel and US West Texas Intermediate crude up 37 cents to $85.38 a barrel.

Brief written by urgent.news from Premium Times, New Straits Times, Middle East Eye, Investing.com — 4 reports on this story. Machine-written — may contain errors; check the original before relying on it.