US president threatens “TREMENDOUS Economic Consequences” for countries and entities supporting Tehran, escalating pressure amid stalled diplomacy and tensions over the Strait of Hormuz
US President Donald Trump has announced what he described as the “most crushing economic operation” against Iran, warning countries and entities that provide financial or commercial support to Tehran of “TREMENDOUS Economic Consequences.”
In a Truth Social post on Thursday, August 20, Trump accused Iran of repeatedly failing to take opportunities for a deal with Washington. He said the US would pursue “Economic Warfare and Isolation on an unprecedented scale.”
Trump warned that countries whose financial institutions, businesses, airports or government bodies provide Iran with economic support could face penalties. He called for an end to activities including oil smuggling, swap arrangements, cash transfers, exchange-house transactions, ship registrations and the use of front companies linked to Tehran.
“This will be an ECONOMIC D-DAY,” Trump said, urging US allies to join Washington in isolating Iran. He also claimed the measures would significantly weaken Iran’s ability to project power beyond its borders.
However, Trump did not outline specific new measures or name the countries and entities that could be targeted. He again stressed that the US would not allow Iran to acquire a nuclear weapon, stating that “IRAN WILL NEVER HAVE A NUCLEAR WEAPON.”
The announcement comes as uncertainty surrounds diplomatic efforts between Washington and Tehran. Trump said on August 18 that there were no ongoing or scheduled talks with Iran. A day earlier, however, his son-in-law and special envoy Jared Kushner said negotiations were continuing and described them as “probably more robust” than ever.
The conflicting statements followed the expiration on August 17 of a 60-day ceasefire arrangement established under a June 17 memorandum of understanding. The agreement was aimed at stopping military operations while creating a framework for negotiations over Iran’s nuclear programme and US sanctions.
The Strait of Hormuz has also emerged as a major point of contention. The strategic waterway remains restricted amid the conflict, creating further complications for diplomatic efforts. Trump has insisted that the strait is open and that the US naval blockade has been effective, while Iranian officials have tied its reopening to Washington meeting commitments under the June agreement.
The conflict began on February 28, when US and Israeli forces launched joint strikes against Iran. The attacks killed several senior Iranian leaders, including Supreme Leader Ali Khamenei. Iran subsequently retaliated by targeting US and Israeli interests across the Middle East.
