US President Donald Trump has threatened Iran with what he called an unprecedented economic assault, warning that countries, businesses and financial institutions that help Tehran maintain access to global markets could also face severe economic penalties.
In a statement posted on social media on Wednesday evening, Trump accused Iran of rejecting opportunities to reach a deal with his administration and announced what he described as “Economic Warfare and Isolation on an unprecedented scale”.
“No one has given the Islamic Republic of Iran a greater opportunity to make a Deal than me. tragically, for them, they have failed to take it,” he said.
Trump said the planned measures would focus on cutting Iran off from the financial and commercial channels it uses to support its military and extend its influence.
He claimed Iran’s navy had been destroyed, its air force was gone and its military factories had been reduced to rubble. He also described the Iranian currency as “worthless” and said the country was “hanging by a thread”.
The US president warned that the economic pressure would not be limited to Iran, saying any country or entity that helped Tehran maintain access to international networks would face consequences.
“Any country that allows its financial institutions, businesses, airports, or government entities to provide any type of lifeline to Iran will itself face tremendous Economic Consequences,” he said.
Trump said Washington would target activities including oil smuggling, swap lines, cash transfers, exchange houses, ship registries and front companies that help Iran conduct international trade.
He also urged US allies to back the campaign to isolate Tehran, describing the planned measures as an “Economic D-day”.
“These historic measures will cripple them and their ability to project terror worldwide,” he said, adding: “Iran will never have a nuclear weapon.”
The warning comes as the wider conflict has killed thousands of people and disrupted shipping through the Strait of Hormuz, a key global oil route through which about a fifth of the world’s traded oil passed before February.
The US and Iran have announced ceasefire agreements twice, in April and June, with both deals aimed at restoring shipping through the strait and creating a path towards ending the conflict.
Both agreements, however, collapsed soon after they were announced, while Israel has largely pulled back from the fighting.
Iran has continued to indicate that it is willing to engage Washington in talks. Mohammad Mokhber, an adviser to Iran’s supreme leader, said Tehran did not view negotiations as surrender and maintained that military pressure and sanctions would not force it to abandon its position.
Trump’s latest threat also comes as Washington pushes for tighter restrictions on Iran’s nuclear programme. The US president wants Iran’s stockpile of highly enriched uranium seized and seeks to replace the nuclear agreement that he withdrew the United States from in 2018.
Iran, which is a signatory to the Nuclear Non-Proliferation Treaty, has maintained for decades that its nuclear programme is intended for peaceful purposes.