'Economic asphyxiation': Bessent announces new sanctions to isolate Iran

Scott Bessent formally announced a new package of sanctions to ensure the "economic asphyxiation" of Iran. At a press conference, the Treasury secretary issued a final warning to countries to sever their commercial ties with the regime in strategic areas. According to his statements, those who support the United States "will reap the rewards of our partnership," while those who continue to do business with Iran "should expect to share in the isolation of a withering regime."

Previously, Bessent had anticipated that the announcement would mark an "economic D-Day" for the Trump administration against Iran. Donald Trump himself had spoken of "unprecedented" sanctions. As the Treasury secretary explained, the goal of the new sanctions is to "sever every economic lifeline that sustains this tyrannical regime until Tehran stands alone."

"Iran now faces a very clear choice, with only two paths before them: complete global isolation and a subsistence economy or a path back to normalcy with an opportunity to rejoin the global economy. Today, we are launching Operation Economic Outcast to foreclose every other option available to the Iranian regime," he continued.

While Bessent did not specify which countries were involved or the timeline for implementing the sanctions, he did say that they are being communicated through official channels: "We’re not going to name names. We’ve already seen some results, and I am confident the president, as you all know, is quite persuasive. I would expect that very quickly, if they do not respond, then you will see the ramifications of their actions."

Furthermore, Bessent asserted that the sanctions are possible due to the economic strength of the United States under President Trump: "President Trump has taken action that his predecessors have long deferred, and under his leadership, America is no longer managing the Iranian threat, we are ending it. The strength of America's economy under President Trump allows us to wage this sustained financial operation."

Once the press conference ended, the official was asked whether even China could be sanctioned if it maintains trade ties with Iran. He replied that no country will be "above the reach of U.S. sanctions."

Finally, Bessent explained that the expanded its authority to sanction any individual, regardless of location, for operating in specific sectors of the Iranian economy. Five specific sectors were mentioned: digital assets, technology, gold, aviation and maritime transport.