US warns China, all other nations to cut Iran ties or face sanctions

The United States has issued a stern warning to China and all other nations, stating that they risk facing secondary sanctions if they engage in business with Iran. Treasury Secretary Scott Bessent announced the commencement of Operation Economic Outcast, a campaign targeting five sectors - digital assets, technology, gold, aviation and shipping.

Countries that align with the United States will benefit from their partnership, while those tied to the Iranian regime will face isolation, Bessent stated during a press conference. He emphasized that no entity or country, including China, is beyond the reach of US sanctions. The warning comes amid President Trump's ongoing struggle to negotiate an end to the nearly six-month-long conflict with Iran and just one month before he plans to host Chinese President Xi Jinping at the White House.

Bessent stated that every country has a specific deadline to cease the identified activities, and if they fail to act, the Treasury will enforce sanctions unilaterally. The administration has not disclosed the details of this new initiative, but Bessent hinted that removing entities involved in money laundering for Iran from the US dollar system would be among the measures taken.

Iran's economy minister, Ali Madanizadeh, responded to the US threat by declaring that the country is "fully prepared" for the sanctions and that Tehran will not succumb to the US attempts to cut off its financial lifelines. In addition to potential secondary sanctions, the US has decided to sanction approximately 60 entities, individuals, and vessels worldwide for enabling Iran to acquire nuclear and missile technology, engage in cyber operations, and generate oil revenue.