Iran responded to US economic blockade and set conditions on Hormuz

Iranian President Masoud Pezeshkian said that the new US economic pressure campaign will not force Tehran to change its position. His statement came two days after Washington launched Operation Economic Outcast, which provides for the expansion of secondary sanctions and pressure on countries and companies that continue to cooperate with Iran.

Pezeshkian spoke after a meeting at the Central Bank of Iran with Minister of Economy Ali Madanizadeh, Central Bank Governor Abdolnaser Hemmati and a group of economists. The meeting discussed the country's monetary, currency and financial indicators in conditions of war, economic blockade and external pressure.

"Taking into account the measures provided for by the government's economic departments, America will achieve nothing at this stage through economic pressure, just as it could achieve nothing in the war," — said the Iranian president.

At the same time, Pezeshkian made it clear that Tehran is not giving up negotiations with Washington. According to him, Iran's principled position remains resolving problems through dialogue and negotiations, but at the same time the country intends to resist economic pressure.

The Iranian president also demanded that the government's economic bloc maintain stability and curb inflation expectations. The new US restrictions are being introduced at a time when the Iranian economy is already under serious pressure due to sanctions, war and problems with foreign trade.

US launched a new campaign against Iran's economy

On August 24, the US Treasury Department announced the start of Operation Economic Outcast. The Donald Trump administration calls it a comprehensive campaign aimed at maximally limiting Iran's access to the global financial system and sources of income.

US Treasury Secretary Scott Bessent said that Washington intends to cut off economic ties that allow Iranian authorities to receive funding. American agencies have begun negotiations with other governments, which must set specific deadlines for terminating operations identified by the US as related to Iran.

Washington warned: if states and companies do not comply with these requirements, the US Treasury intends to use sanctions powers unilaterally. Separately, Bessent said that organizations that help Iran launder money or circumvent restrictions risk losing access to the US financial system.

The new package significantly expands the possibility of applying secondary sanctions. The US has identified five sectors of the Iranian economy, work with which now may create additional sanctions risk:

• digital assets;
• technology;
• gold;
• aviation;
• shipping.

The US Treasury claims that Iran uses cryptocurrencies to circumvent sanctions, purchases advanced technologies for military programs, uses gold to support the financial system, and aviation and shipping companies for transporting weapons, technology, cash and oil.

Simultaneously, the US Office of Foreign Assets Control placed about 60 companies, individuals and vessels in various countries under restrictions. According to Washington, they participated in procurement of technologies for Iran's nuclear and missile programs, cyber operations, or ensured oil exports and receipt of relevant revenues.

Sanctions hit networks operating, among others, in the UAE, China, Hong Kong, Singapore, Switzerland and other countries. American authorities also suspended a number of general licenses that previously allowed certain operations and transfers related to Iran.

Dispute moved to the Strait of Hormuz

The economic confrontation between the US and Iran is closely linked to the situation in the Strait of Hormuz. Negotiations between Washington and Tehran have effectively reached an impasse amid a dispute over who and under what conditions will control shipping through one of the most important energy routes in the world.

Under normal conditions, about a fifth of the world's oil and liquefied natural gas supplies pass through the Strait of Hormuz. Currently, the movement of vessels remains significantly restricted, which continues to affect the global energy market.

In parallel, Iran is negotiating with Oman on a new scheme for the movement of commercial ships. Iranian Deputy Foreign Minister Kazem Gharibabadi said that the parties have reached a preliminary understanding regarding routes through the strait.

According to the discussed scheme, ships going from the Gulf of Oman to the Persian Gulf must pass through Iranian territorial waters. The reverse route is proposed to be partially laid through the waters of Iran and Oman.

Tehran simultaneously put forward another condition: if the agreement with Oman becomes mandatory, military ships will not be allowed passage through the strait.

"No military vessel will be allowed to pass through the Strait of Hormuz," — said Gharibabadi.

Washington opposes a number of provisions of the discussed scheme. The US is seeking a return to the previous regime of free navigation and at the same time warns companies about sanctions risks for payments and other actions that may be considered as compliance with Tehran's requirements for passage through the strait.

Tehran leaves the door open for negotiations

Despite the harsh public rhetoric of both sides, Pezeshkian's statement shows that Iran is not yet giving up the diplomatic option. The president directly called negotiations the preferred way to resolve differences, while declaring readiness to continue resisting American pressure.

Washington, for its part, offers Tehran a choice between further international economic isolation and a return to negotiations. At the same time, Operation Economic Outcast is designed not only for direct sanctions against Iranian structures: a key part of the strategy is pressure on foreign banks, carriers, technology companies and governments that continue to maintain economic ties with Iran.

Thus, the confrontation around Iran is developing simultaneously in two directions — through the US attempt to limit its access to the international economy and through the struggle over navigation rules in the Strait of Hormuz, on which global energy supplies directly depend.

Based on materials from: Euronews, US Treasury Department, Anadolu