WASHINGTON — The United States is preparing what Treasury Secretary Scott Bessent calls an “economic D-Day” against Iran—and Tehran is answering with a threat that could shake energy markets worldwide.
Washington is expected to unveil a new sanctions package Monday aimed not only at Iran, but also at countries and companies that continue trading with it. Iran’s response: if the economic campaign continues, oil exports from across the Persian Gulf could be stopped.
The specific American measures had not yet been announced early Monday, making the confrontation a high-stakes warning rather than a completed policy action. But the rhetoric alone has focused attention on the Strait of Hormuz, the narrow waterway that once carried roughly one-fifth of the world’s traded oil and natural gas.
What Washington is preparing
In an opinion article for the Financial Times, Bessent described the coming campaign as the largest financial offensive ever assembled against an adversary. He indicated that countries maintaining economic and financial ties with Iran could face consequences from Washington.
Reuters reported that the sanctions are expected to target Iran’s trading partners, potentially expanding the pressure beyond Iranian banks, oil companies and shipping networks already subject to restrictions.
The Treasury Department has repeatedly used sanctions against vessels, intermediaries, refineries and buyers accused of supporting Iranian petroleum exports. An earlier Treasury action warned that anyone facilitating those flows could face exposure to U.S. penalties.
Iran’s threat reaches far beyond its own exports
Mohsen Rezaei, secretary of Iran’s Supreme National Security Council, warned that continued economic warfare could stop oil exports not only from Iran but throughout the Persian Gulf. He also said Tehran would regard support for Washington’s campaign as an act of war.
The Associated Press independently reported Rezaei’s warning while noting that Iranian President Masoud Pezeshkian continued advocating a diplomatic path out of the conflict.
That split matters. Iran’s political leadership is publicly balancing two messages: a willingness to negotiate and a threat of broad economic retaliation if new sanctions further isolate the country.
Why the Strait of Hormuz matters
The Strait of Hormuz connects Gulf oil producers with international markets. Disruptions can influence gasoline, diesel, aviation fuel, shipping costs and inflation well beyond the Middle East.
Traffic is already severely constrained. A separate Reuters market report said fewer than 20 commodity vessels crossed the strait during the weekend as Iranian and American blockades restricted movement.
Oil prices eased early Monday as traders took profits and waited for the sanctions details. Brent crude was trading around $93 a barrel, while U.S. West Texas Intermediate stood near $85. Both benchmarks had gained more than 5% the previous week as diplomatic efforts stalled and Middle Eastern supplies tightened.
A threat is not the same as a shutdown
Iran has not demonstrated that it has halted every Gulf oil shipment. Its statement was conditional, tied to what Rezaei called continued economic warfare. The United States also had not disclosed the final targets, exemptions or enforcement plan for its new sanctions when this article was published.
Those uncertainties are crucial. Secondary sanctions can affect companies far outside the targeted country, but their real impact depends on enforcement, international compliance and whether major importers are willing to risk losing access to the American financial system.
China has opposed coercive sanctions and called for diplomacy. Pakistan’s army chief, Asim Munir, was expected in Tehran as regional governments continued trying to revive negotiations.
What happens next
The immediate question is what Bessent’s announcement actually contains. Markets will be watching for penalties against foreign oil buyers, banks, insurers, ports, shipping firms or governments doing business with Iran.
The larger question is whether pressure produces negotiations—or prompts Tehran to act on its oil threat. Until the sanctions package is public and shipping data show a measurable change, both sides’ most dramatic claims should be treated as warnings, not accomplished facts.
Featured image is a fictional editorial illustration and does not depict a real official, trader or participant.
