Iran vows to withstand sweeping new US sanctions
TEHRAN: Iran has said it is fully prepared to deal with the latest expansion of US economic sanctions, as Washington launches what it describes as a major campaign to cut Tehran off from international financial and trade networks.
Iranian Economy Minister Ali Madanizadeh said the government had anticipated the new measures and prepared a long-term strategy to limit their impact. He said Tehran had its own economic tools and expected to continue commercial relations with countries willing to trade with Iran.
The remarks came after US Treasury Secretary Scott Bessent announced a broad package of sanctions targeting Iran’s financial connections and revenue sources. Washington said the measures were designed to put further pressure on Tehran and force it to choose between greater international isolation and a return to normal economic relations.
Bessent described the campaign as an unprecedented financial offensive against Iran. He said the United States would target networks and channels allegedly used by Tehran to generate revenue and bypass existing sanctions.
The new measures cover several sectors, including digital assets, technology, gold, aviation and shipping. The US Treasury also announced sanctions against dozens of entities, individuals and vessels allegedly connected to Iran’s economic activities.
Washington warned governments, banks and businesses that continue dealing with Iran that they could also face consequences. Bessent said the administration would move quickly against entities that continued to support Tehran’s financial networks.
Iran, however, rejected the pressure campaign and said it expected to maintain economic relations with key trading partners.
China has also criticised the latest US measures, describing unilateral sanctions as illegitimate. Beijing said economic pressure would not resolve disputes and stressed that it would protect its own economic interests.
China is particularly important to Iran because it remains a major buyer of Iranian oil. Analysts say the effectiveness of the latest sanctions will depend heavily on whether countries such as China enforce Washington’s restrictions.
Experts have also questioned how much additional pressure the new measures can place on Iran’s energy sector. Some analysts argue that existing restrictions and disruptions to oil exports have already significantly affected Tehran’s energy revenues.
The confrontation is also affecting global energy markets. Oil prices have risen sharply since the conflict began, raising concerns about inflation and fuel costs in several countries.
Iran has warned that it could take further action against regional oil exports if the conflict continues. Tehran has also issued warnings to vessels seeking to pass through the Strait of Hormuz, a strategically important waterway through which a significant share of global oil and gas shipments normally travels.
The latest sanctions come after months of escalating pressure between Washington and Tehran. The United States has repeatedly sought to use economic measures to force Iran to change its policies, while Tehran has continued to reject what it calls unilateral American pressure.
The economic consequences are also being felt in the United States. Higher oil prices have pushed gasoline costs above $4 per gallon in parts of the country, adding to concerns over household expenses ahead of the November midterm elections.
For Iran, the latest US campaign presents another major economic challenge. However, Tehran’s response indicates that it intends to rely on existing trade relationships, particularly with countries that oppose unilateral US sanctions, to keep its economy functioning.
