Trump says ‘Iran is completely collapsing’ as Tehran dismisses new US sanctions threat

US President Donald Trump on Monday said Iran was completely collapsing as Washington prepared to announce what Treasury Secretary Scott Bessent has described as some of the toughest sanctions ever imposed on Tehran.

Trump made the remark in a post on his Truth Social platform, as Iran's economy remains under severe pressure from international sanctions and the country faces the prospect of further punitive measures from the United States.

Also Read: Iran says new sanctions threatened by 'desperate' US will fail


Bessent is due to hold a press conference at 2 p.m. EDT (1800 GMT) on Monday, where he is expected to announce new sanctions against Iran. He has threatened to impose “the toughest sanctions in history” on Tehran.

Iranian Foreign Minister Abbas Araqchi, however, dismissed the threat as a sign of desperation and said the measures would fail to force Tehran to capitulate.

Describing the US approach as a series of “repetitive scenarios”, Araqchi said in a video posted on Telegram: “The fact that they (U.S. leaders) have moved on from military operations ... to bring up the same old plans shows that they are desperate.”

He said Washington should engage with Tehran respectfully to reach “a solution based on justice and honour.”

“We have never been afraid. All of their actions - whether blockades or other military moves they have made - have failed, and this new issue of theirs will fail as well,” he said.

Iran's economy has already been battered by years of international sanctions, while its infrastructure has suffered repeated attacks and thousands of people have been killed in airstrikes since the United States and Israel launched attacks on the Islamic Republic on February 28.

Also Read: 'Entering the endgame': US Treasury Secy Bessent says "economic D-Day" begins against Iran

Despite the pressure, Tehran has remained defiant after nearly six months of war. Iran has also brought shipping through the Strait of Hormuz to a virtual standstill, refusing to allow unauthorised oil tankers to transit the strategic waterway, a key route for global oil shipments.

The disruption has pushed global oil prices higher and raised concerns over the wider economic impact of the conflict.

Trump has also warned of economic consequences for any country that provides “any type of lifeline to Iran”. Bessent has called for cooperation from China, which buys more than 80% of Iran's shipped oil, according to 2025 data from analytics firm Kpler.

China has called for diplomacy as Washington prepares to tighten economic pressure on Tehran.