Every country backing Iran should brace for US sanctions, warns Bessent

US Treasury Secretary ​Scott Bessent laid out a fresh ‌United States ⁠sanctions ⁠campaign against ​Iran on Monday, warning that ​every country has a ​defined ⁠timeline to shut ‌down ​activities ​identified ⁠by Washington or face action from ​Treasury.

Bessent revealed that ​US President Donald Trump was making phone ‌calls to world leaders with ​specific ​requests ⁠to cease their interactions with Iran.

He announced what he called an “unprecedented” campaign to sever Iran from the global economy. “We are launching an economic onslaught against Iran’s financial connections around the globe,” Bessent said. “Our objective is to sever every economic lifeline that sustains this tyrannical regime until Tehran stands alone.”


Also read: From D-Day to economic war: US invokes World War II in Iran sanctions push

He added that Washington would give countries a defined period to wind down activities it has identified as supporting Iran, but warned that the Treasury would act unilaterally if they failed to comply. Bessent, however, declined to specify a fixed deadline, saying the administration did not have “infinite patience”.

“No one, including China is above the reach of US sanctions,” Bessent said, as quoted by Reuters. He said any form of economic engagement with Iran could expose those involved to the “full reach of American power”.

The Treasury secretary said the US would pursue a “zero leakage” approach to enforcing sanctions against Iran, signalling a broader crackdown on countries, companies and entities that continue to support or conduct business with Tehran.

The new sectoral sanctions determinations issued today target five of Iran's most vital lifelines that it exploits in other countries, Bessent said, further naming digital assets, technology, gold, aviation, and shipping.

Also read: $20 million: The cost of shipping oil through Strait of Hormuz

'Major financial institution to be sanctioned'

Bessent hinted that the US would soon sanction a major financial institution by the end of this week over Iran.

The move is part of Trump's efforts to put pressure on Iran to end the attacks on ships in the Gulf and, more recently via its allies, in the Red Sea, that Tehran launched after the US and Israel began air strikes against it in February.

Bessent had previously urged ⁠cooperation from ⁠China, the biggest buyer of Iranian oil for several years, although the US blockade of Iranian ports, renewed in mid-July, has already cut Iranian oil flows to China.

Also read: India's exports to Iran set to fall further due to Dubai halt, US sanctions

India-Iran trade ties

According to a recent Reuters report, India has been among Iran's five largest trading partners, though bilateral trade has fallen by more than 90% from its 2018/19 highs of $17 billion, with exports ‌now limited mostly ⁠to goods ⁠exempted on humanitarian grounds.

In the first six months of 2026, India exported $383.11 million of rice to ​Iran - the second-largest ​overseas market for premium rice, including long-grained basmati.

Indian tea exports to Iran stood at $14.34 million during the same period.

Iran's exports to India were dominated by crude oil, valued at about $707 million, with far smaller shipments of liquefied petroleum gas (LPG), apples, dates, almonds and kiwi fruit in the first six months of 2026.