U.S. unlikely to restart major military action in Iran as economic pressure intensifies, says Treasury Secretary Bessent
Bessent stated that the U.S. is unlikely to re-engage in large-scale military actions against Iran, as it intensifies economic pressures.Treasury Secretary Scott Bessent discussed this during an interview with CNBC, stressing that maximum economic pressure may eliminate the need for significant military operations.
U.S. strategy ongoing
Bessent’s remarks followed President Trump’s announcement of a plan to heavily penalise any nation supporting Iran’s economy.
Trump emphasised the need for allies to join in isolating Iran, referring to the economic assault as “ECONOMIC D-DAY.”
Oil prices increased in reaction to Bessent’s interview, where he pledged a historic coordinated economic isolation against Iran.
He announced that he will hold a press conference on upcoming strategies.
Bessent warned that countries engaging in business with Iran could face severe consequences from the U.S. government.
“We are going to squash the economy of this murderous regime,” he stated emphatically.
He mentioned a concurrent U.S. naval blockade impacting Iranian ports, creating a dual strategy alongside sanctions.
We were left with a mess. The Biden administration had the highest deficit-to-GDP in history when we weren’t at war or weren’t in a recession. For 2025, we brought it down by more than a percent. pic.twitter.com/dQDPzC3vkD
— Treasury Secretary Scott Bessent (@SecScottBessent) August 20, 2026
Iran under pressure
Trump claimed Iran is facing destruction of its military and economy, asserting that they are “on the ropes.”
While Iran’s economy appears to be contracting, some analysts caution against assuming an immediate collapse.
Tensions persist in the Strait of Hormuz, crucial for global oil trade, even with increased U.S. military pressure.
Following recent attacks, the UAE announced it would cease all trade with Iran.
Iran’s Foreign Minister condemned U.S. policies, warning against further escalation and asserting the need for a different approach.
