Treasury chief warns of unprecedented economic isolation measures against Iran

Treasury Secretary Scott Bessent said the United States plans to step up economic sanctions against Iran as early as next week, describing the forthcoming measures as an unprecedented combination of isolation. Speaking on a journalist at one outlet, he linked the new sanctions to the existing naval blockade of the Strait of Hormuz, which he said will prevent any traffic in or out of Iranian ports. The comments echo President Donald Trump’s recent call to rely more on economic pressure than military action in the six-month-old conflict.

The blockade has already deprived Iran of about $5 billion in oil earnings, and Iranian-Chinese trade officials estimate an annual loss of $18 billion if it continues. War Secretary Pete Hegseth indicated the U.S. could maintain the blockade indefinitely, while Majidreza Hariri of the Iran-China Joint Chamber warned that past attempts to circumvent sanctions only deepened Iran’s economic woes and corruption.