US Prepares Major Sanctions on Iran Amid Tehran's Threat to Halt Gulf Oil Exports

The United States is preparing to launch what it described as the "greatest financial offensive ever marshalled" against Iran, with a new round of economic sanctions set to be announced Monday. In response, Tehran has threatened to halt all oil exports from the Persian Gulf, escalating the six-month-old conflict between the two nations.

Escalating Economic Warfare

U.S. Treasury Secretary Scott Bessent is scheduled to detail the new measures at a press conference on Monday. In an opinion piece for the Financial Times, Bessent framed the initiative as an "economic D-Day," signaling a major intensification of pressure on Tehran's already strained economy.

The sanctions will reportedly target not only Iran but also its international trade partners. Bessent warned that nations practicing "appeasement" by engaging with Iran's financial system should "consider the consequences." Iran's Supreme National Security Council Secretary, Mohsen Rezaei, countered via social media, stating that if the "economic war continues, not a single drop of oil will be exported" from the Persian Gulf.

Market and Geopolitical Implications

Iran's threat directly targets the Strait of Hormuz, a critical chokepoint for global energy supplies. Any disruption to shipping in this waterway could put significant upward pressure on world fuel prices. Iran has previously demonstrated its ability to attack oil tankers in the region, bringing shipping to a near standstill.

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The U.S. has urged China, which receives half its oil imports from the Gulf, to cooperate with its efforts. However, a spokesperson for the Chinese embassy in Washington stated that "sanctions and pressure do not help resolve the problem" and called for a diplomatic solution.

Conflict Background

The latest tensions follow a six-month conflict initiated by U.S. and Israeli strikes aimed at degrading Iran's military and nuclear capabilities. While Iran's conventional forces have been damaged, it retains significant missile and drone capacity.

Iran's economy was already facing severe challenges before the military conflict, including high inflation, a weakening currency, and existing international sanctions. The conflict has added the costs of damaged infrastructure, disrupted trade, and lost production, increasing the risk of domestic unrest. Diplomatic efforts by nations including Qatar, Pakistan, and Turkey have so far failed to de-escalate the situation.