Iran has sharply criticized the United States’ plan to impose a new and tougher round of economic sanctions, accusing Washington of attempting to extend its authority beyond its own borders.
The latest exchange comes as tensions between Tehran and Washington remain high despite a recent pause in direct attacks on each other’s targets. The United States is preparing to announce details of its new economic measures on Monday, with Treasury Secretary Scott Bessent saying the campaign could reduce the need for renewed large-scale military action against Iran.
Tehran Pushes Back Against Washington’s Sanctions Strategy
Iranian Foreign Ministry spokesman Esmaeil Baqaei condemned the planned sanctions in a post on X on Saturday. He argued that the measures go beyond what Tehran considers unlawful economic pressure against Iran and instead represent an attempt to impose what he described as “extraterritorial sovereignty” on other independent countries.
Baqaei also argued that foreign banks, companies and airports should remain under the jurisdiction of their own governments and cannot legally be forced to end lawful commercial relations with a third country.
His comments came shortly before Washington is expected to provide more details about its planned economic campaign.
Bessent Signals a Major Economic Offensive
Bessent said the United States intends to launch what he described as the “greatest coordinated economic isolation in the history of the world” against Iran.
Speaking to CNBC on Thursday, he said Washington would approach its allies with a clear choice over whether they support the American campaign. He also warned that countries continuing to conduct business with Iran could face enforcement action from the U.S. Treasury and government.
Bessent is scheduled to hold a news conference on Monday to explain the administration’s planned measures in greater detail. He has also indicated that the intensified economic pressure could make a return to large-scale U.S. military operations against Iran less likely.
Trump Calls for Unprecedented Economic Pressure
The planned sanctions follow President Donald Trump’s announcement of a major escalation in economic pressure against Iran.
Trump said the United States would pursue what he called the most crushing economic operation against a country and warned that nations helping Iran evade sanctions could face severe financial consequences.
The administration’s approach therefore extends beyond direct measures against Tehran. Washington is also seeking to discourage other governments and businesses from maintaining economic ties with Iran.
Strait of Hormuz Remains Under Pressure
The economic confrontation is unfolding alongside continued disruption around the Strait of Hormuz, a critical route for global energy shipments.
Although direct attacks between the United States and Iran have paused in recent days, shipping through the strait remains far below levels seen before the conflict began on February 28. Ship-tracking data cited in the original report showed only 10 crossings on Monday and two on Sunday.
Negotiations over reopening the waterway have also stalled, keeping uncertainty high for energy markets and international shipping.
Oil Prices Rise as Markets Watch the Conflict
Oil prices ended Friday slightly higher. Brent crude futures rose 61 cents to close at $94.39 a barrel, while U.S. West Texas Intermediate futures gained 23 cents to finish at $87.06.
Oil prices ended the week more than 5% higher following Bessent’s comments about the expanded economic campaign against Iran.
Iranian President Masoud Pezeshkian has meanwhile indicated that Tehran wants the conflict to end. He described the memorandum of understanding signed with the United States on June 17 as a victory for Iran and said it would be better to end the war while the country remained in what he called a position of power and dignity.
Questions Grow Over the Impact of More Sanctions
The effectiveness of another round of sanctions remains a key question because Iran already faces extensive economic restrictions.
Helima Croft, head of global commodity strategy at RBC Capital Markets, has questioned whether additional penalties would significantly alter Tehran’s behavior. She also noted uncertainty over whether Washington would target China and Russia, which maintain ties with Iran.
The central issue now is whether intensified economic pressure can achieve the U.S. administration’s objectives without triggering a return to large-scale military conflict. With Washington preparing to outline the next phase of its sanctions campaign on Monday, both Tehran and the international community are watching closely for the details.
Also Read: Abhishek Bachchan Moves From Team Ownership to Building a European Cricket League
