U.S. Treasury Secretary Scott Bessent vowed Tuesday to cut every economic lifeline of Iran through expanded secondary sanctions [1, 2].
The move signals a dramatic escalation in financial warfare intended to force Iran to halt its war actions and relinquish control over the Strait of Hormuz. By targeting third-party countries that continue to trade with Tehran, the U.S. aims to isolate the Iranian economy entirely.
Bessent announced the strategy from the Department of the Treasury in Washington, warning that the administration will target any nation that refuses to join the pressure campaign [1, 4]. He described the goal as a state of "economic asphyxiation" for the Iranian government [2, 3].
"We will cut every economic lifeline of Iran," Bessent said [3].
The announcement comes as the current conflict has lasted approximately six months [1]. Washington is using the financial leverage to address stalled peace talks, and the ongoing disruption of maritime traffic in the region [2, 3].
Bessent noted that the U.S. would not exempt partners or trade allies who facilitate Iranian financial flows. "Washington will hold everyone accountable," he said [4].
Iranian officials responded to the threat. An unnamed official said that Iran vows a devastating response to the U.S. effort to sever its economic ties [5].
The U.S. Treasury plans to expand secondary sanctions, which penalize non-U.S. entities for doing business with sanctioned targets. This approach forces foreign banks and companies to choose between the Iranian market and access to the U.S. financial system [1, 2].
“"We will cut every economic lifeline of Iran."”
The shift toward aggressive secondary sanctions indicates that the U.S. is prioritizing total economic isolation over diplomatic negotiations. By threatening third-party nations, the Treasury is attempting to create a global blockade that extends beyond U.S. borders, potentially straining relations with trade partners who rely on Middle Eastern stability or maintain independent ties with Tehran.
