US Treasury Secretary Scott Bessent announced on August 24 that the United States has imposed expanded sanctions on Iran, targeting 60 individuals, entities, and vessels in an effort to sever Iran’s economic lifeline [1, 2, 3]. The sanctions cover five key sectors including digital assets, technology, gold, aviation, and shipping, beyond the previously targeted oil revenues [3].
The US has maintained a naval blockade on Iranian ports since February 2026 to prevent oil exports as part of a broader campaign called "Operation Economic Fury" [4]. President Donald Trump warned on August 19 that any country doing business with Iran would face "tremendous economic consequences," calling the sanctions campaign an "ECONOMIC D-DAY" [4]. Treasury Secretary Bessent said, "It is a one-two punch. We have the blockade, and we are going to have the toughest sanctions in history. It is going to work in Iran, and we are going to collapse" [4].
However, the sanctions exclude Chinese financial institutions suspected of facilitating Iran’s oil trade [1, 2]. Neither Bessent nor the Treasury specified which countries might face penalties or when they will take effect, saying they want to allow time for compliance [1, 2].
Iran vowed retaliation against the sanctions with military and economic responses [1, 2]. Iranian Economy Minister Ali Madanizadeh said, "We are fully prepared for the US sanctions. Naturally, the enemies intend to launch an economic terrorist attack on us, but we also have our own tools and know how to play the game. Our defence is no longer so defensive; the enemies should wait for an attack" [1]. He added that China, Russia, and other countries have resisted US pressure and rejected the measures [2].
Brigadier-General Hossein Mohebbi of Iran's Revolutionary Guard Corps warned that Iran would deliver "retaliatory heavy blows to US vital interests and energy chokepoints" if its infrastructure were threatened [1, 2].
The next steps include enforcement of the sanctions and monitoring compliance from countries linked to Iran’s economy, although no specific timeline for penalties has been announced [1, 2].
