US Treasury Secretary Scott Bessent unveiled a new wave of economic sanctions on Iran and entities that do business with Tehran during a press conference on August 24, 2026 [1, 2, 3]. He described the measures as "the single greatest financial offensive ever marshalled against an adversary" and called it an "economic D-Day," emphasizing the scale of the campaign [1, 3]. Bessent said about 60 entities were targeted in this round of sanctions, including foreign firms in China and Hong Kong, which maintain key trade ties with Iran [4, 2].

The sanctions aim to disrupt Iran's economy and financial system, seeking to sever critical revenue streams, especially from oil exports. The US urged countries such as China, which purchases over 80% of Iran's exported oil, to cut economic ties with Tehran [2, 3]. Bessent warned, "any entity that facilitates money laundering on behalf of Iran will be removed from the US dollar system. The clock just started ticking" [4]. The Treasury Secretary also announced a major sanction against a financial institution would be disclosed by the end of the week, signaling further tightening ahead [5, 4].

Iran rejected the sanctions, with Foreign Ministry spokesman Esmaeil Baghaei dismissing secondary sanctions as lacking international legal basis [2]. Mohsen Rezaei, Secretary of Iran's Supreme National Security Council, warned that continued economic attacks risked shutting down all Persian Gulf oil exports. He declared, "If the economic war continues, not a single drop of oil will be exported, neither through the Strait of Hormuz nor from anywhere in the Persian Gulf" [3]. Iranian Deputy Foreign Minister Kazem Gharibabadi questioned if US actions were a victory or "an admission of America's defeat" [6].

The Strait of Hormuz, a critical oil shipping route, has been effectively blocked by Iran since the conflict began in late February 2026, severely disrupting global energy supplies [1, 7]. While more than 20 million barrels per day previously passed through, US military efforts have only managed to move about 8 million barrels daily recently [2, 8].

The conflict began on February 28, 2026, when the US and Israel launched coordinated strikes against Iran, targeting its military and nuclear infrastructure [3, 9]. US officials claim the strikes dismantled Iran's military factories and buried its nuclear program, though Tehran denies these assertions and says its capabilities remain intact [6, 10].

Meanwhile, Pakistan's army chief arrived in Tehran on August 24 for talks aimed at promoting regional peace amid rising tensions [11].

The sanctions announcement is the latest significant escalation in the ongoing conflict, following hostile exchanges between the US and Iran in recent days and previous ceasefire attempts earlier this year [2, 6]. The situation remains tense with further US financial targets expected by the week's end.