U.S. Treasury Secretary Scott Bessent pledged on Monday to crush Iran's economy as he gave a live address on a new pressure campaign against Tehran nearly six months into the war, suggesting "no one" should test Washington's resolve.
Bessent said that new U.S. sanctions aim to "block every potential source of revenue" for Iran and told nations to cut economic ties to Tehran or face retaliation. He termed the operation as the "Operation Economic Outcast."
"Around the globe, our objective is to sever every economic lifeline that sustains this tyrannical regime until Tehran stands alone," Bessent told a press conference, announcing secondary sanctions measures.
He said Tehran had two choices before them, either "complete global isolation" or the "path to normalcy."
Bessent made the announcement as Iran's currency hit a record low.
"We are going to hold everyone accountable, and this is economic asphyxiation of this regime."
He added that countries not joining U.S. sanctions would "share in the isolation" of Iran, and noted that President Donald Trump is making phone calls to world leaders with requests to stop their interactions with Tehran.
The Treasury Department said Monday that it has "issued determinations against five critical sectors – digital assets, technology, gold, aviation, and shipping – that the Iranian regime uses to try to prop up its failing economy."
Bessent, meanwhile, vowed that any entity "that facilitates money laundering on behalf of Iran will be removed from the U.S. dollar system."
Asked if Chinese banks dealing with Iran could be targeted, Bessent said that: "No one is above the reach of U.S. sanctions."
"Those who stand with the United States will reap the rewards of our partnership. Those who tether themselves to the Iranian regime should expect to share in the isolation," he also said.
The Treasury chief earlier declared that an "economic D-Day" had begun against Tehran, in a column for the Financial Times.
The U.S. and Israel triggered the Middle East war with a massive wave of bombing against Iran on Feb. 28, sparking Iranian retaliation across the region.
