Iran's foreign minister Abbas Araghchi has dismissed the threat of fresh US economic sanctions as a “desperate” move.
US President Donald Trump last week announced a new campaign to increase pressure on Iran's economy, describing it as “the most crushing economic operation ever taken against any country”. US Treasury Secretary Scott Bessent is expected to announce further measures on Monday, which he has described as “the toughest sanctions in history”.
Araghchi said Iran remained unbowed and urged Washington to engage with Tehran respectfully to find what he called a solution based on “justice and honour”.
“The fact that [US leaders] have moved on from military operations … to bringing up the same old plans shows that they are desperate,” Araghchi said in a video posted on Telegram on Sunday.
Iranian President Masoud Pezeshkian, however, acknowledged the economic difficulties facing the country. He said Iran was dealing with inflation, livelihood problems and unemployment while describing the situation as a “full-scale economic, military and security war”.
Iran has experienced several waves of protests linked to economic hardship in recent years. Authorities reported more than 3,000 deaths during unrest that began with protests over the cost of living at the end of December last year, while foreign-based NGOs accused Iranian authorities of carrying out a widespread crackdown.
Meanwhile, Mohsen Rezaei, the new leader of Iran's Supreme National Security Council, warned neighbouring countries against cooperating with US efforts to pressure Tehran. He said countries joining the “economic war” would be considered enemies and warned that Iranian forces could target their interests.
Rezaei also threatened US economic interests, saying Iran had so far targeted only American military bases and had not attacked US economic interests.
The threats come as tensions remain high over the Strait of Hormuz, through which about one-fifth of global oil supplies passed before the conflict. Washington has sought international support for its efforts to isolate Iran, while China has criticised the sanctions campaign.
The UAE, one of Iran's major trading partners, announced last week that it was suspending trade and financial transactions with Tehran until further notice.
France and Saudi Arabia are also examining alternative trade and energy routes that could reduce reliance on the Strait of Hormuz, including expanded pipelines, Omani ports and new rail links.