Iranian President Masoud Pezeshkian said his country was facing “an all-out economic, military and security war”, as the US prepares to announce new sanctions.
US Treasury Secretary Scott Bessent is expected to unveil new measures on Monday to isolate Iran economically after months of inconclusive warfare. Officials in Tehran expect the sanctions to be aimed at Iran’s economic relations with third countries.
Mr Pezeshkian acknowledged that Iran faced a series of economic problems relating to water, energy, banking and sanctions. However, he added, Iranians have surprised the world with their “resilience and solidarity” after adversaries “expected mounting pressure to destabilise Iran”.
Mohsen Rezaei, Secretary of Iran’s Supreme National Security Council, urged countries in the region not to “join the US in its economic war”, days after the UAE last week suspended all commercial exchange with Tehran.
Mr Bessent has described the new sanctions as the toughest so far. The shift to economic warfare comes as Washington and Tehran show few signs of returning to negotiations, despite the efforts of mediators Pakistan and Qatar.
Hopes were raised of an end to the war when the US and Iran signed a framework agreement in June, opening a 60-day window for peace talks.
The ceasefire collapsed last month after Tehran resumed attacks on shipping in the Strait of Hormuz and Washington restarted air strikes on Iranian territory. The 60-day deadline for talks expired last week.
Pakistan’s army chief, Field Marshal Asim Munir, is expected to visit Tehran today, while Saudi Crown Prince Mohammed bin Salman arrived yesterday in Paris for talks with French President Emmanuel Macron.
With shipping traffic through the Strait of Hormuz at a standstill, talks in Paris today are expected to focus on plans to expand oil pipelines.
“There are options for bypassing the usual routes through alternative port networks,” an adviser to Mr Macron said. “There are also existing projects involving pipelines – whether new construction, capacity upgrades or twinning – in Saudi Arabia and elsewhere.
“A great many initiatives are at various stages of development. The goal, naturally, is to identify which ones are most strategic for the countries involved – and where we can position ourselves and our companies – so we can work together to secure financing and bring these projects to fruition.”
This month, Saudi Aramco said it was considering an expansion of its East-West pipeline as the conflict widened again to include Houthi attacks on Red Sea shipping.
US President Donald Trump restored a naval blockade of Iranian ports after the conflict resumed in July. US Central Command said on Sunday it had redirected 70 commercial vessels, boarded two and "disabled" three under the blockade.
