US launches 'economic D-Day' against Iran, targeting trade partners

The United States has launched a new economic offensive against Iran, dubbed "Operation Economic Outcast," aiming to sever Tehran's remaining financial lifelines. Treasury Secretary Scott Bessent announced the plan on Monday, warning that countries continuing to trade with Iran would face secondary sanctions. The move marks a shift from military strikes to economic warfare after six months of conflict that has reached a stalemate. Source: AP News

The measures

The sanctions target nearly 60 entities across sectors including digital assets, technology, gold, aviation, and shipping, with a focus on networks supporting Iran's oil revenue and procurement. Source: SCMP Bessent described the campaign as "the single greatest financial offensive ever," but analysts noted the measures were softer than expected, largely expanding existing sanctions rather than imposing new major penalties. Source: CNN The US also continues a naval blockade that has nearly halted Iran's oil exports. Source: Foreign Policy

China's pivotal role

China, Iran's top trading partner and buyer of up to 90% of its oil, is central to the campaign's success. Beijing denounced the sanctions as "illegal unilateral sanctions" and vowed to safeguard its interests. Source: DW The US has so far avoided targeting major Chinese banks, likely to protect the upcoming Trump-Xi summit. Source: AP News Analysts say China will likely do the minimum to comply without openly confronting Washington. Source: AP News

Iran's response

Iran has threatened retaliation, including strikes on oil infrastructure beyond the Strait of Hormuz. "If the economic war continues, not a single drop of oil will be exported," warned Mohsen Rezaei of Iran's Supreme National Security Council. Source: CNN Tehran says it is "fully prepared" for the sanctions. Source: BBC Meanwhile, oil prices fell as traders judged the risk of military escalation had receded. Source: CNA