Source : Perth Now news
The United States is set to warn countries to cut ties with Iran or risk their businesses being cut off from the US dollar-based financial system when it unveils the “greatest financial offensive ever,” a source says.
US Treasury Secretary Scott Bessent will outline measures at 1pm in Washington DC on Monday (3am AEST on Tuesday) to broaden the scope of potential secondary sanctions on entities and countries that maintain economic ties with Iran, said the source, who was familiar with the plans but not authorised to speak publicly.
Bessent previously urged co-operation from China, the biggest buyer of Iranian oil for several years, although the US blockade of Iran’s ports, renewed in mid-July, has already cut Iranian oil flows to China.
The US Treasury has imposed secondary sanctions on smaller China and Hong Kong-based entities accused of processing billions of dollars in Iranian oil and helping to fund arms purchases and warned two larger banks against handling Iranian funds.
But experts say the US is wary of Chinese retaliation ahead of expected talks next month between US President Donald Trump and Chinese President Xi Jinping, with any curbs on China’s exports of critical minerals a particularly sensitive issue.
The Chinese foreign ministry said sanctions and pressure tactics do not help and that the government would do what was necessary to protect China’s interests.
Bessent could also sharpen enforcement against oil shippers, purchasers and currency exchangers who help Iran pay for its imports.
He could also target aviation.
Trump has threatened tariffs on goods from countries that do business with Iran, although the Supreme Court struck down the legal basis for such taxes.
Iran has dismissed the US threat, with officials vowing to shut down all oil exports from the Gulf “if the economic war continues”.
Iranian authorities issued a new warning to shipping not to pass through the Strait of Hormuz without its permission, listing 45 ships they said had violated its rules and threatening retaliation for any ship-to-ship transfers with them.
Bessent wrote in an opinion piece in the Financial Times that Monday would mark “an economic D-Day – the single greatest financial offensive ever marshalled against an adversary”.
Pakistan’s army chief Asim Munir, who has built a personal rapport with Trump, arrived in Iran on Monday for talks, Iranian media said.
Pakistan said the visit was part of its efforts “to promote regional peace and stability” and a Pakistani source said Munir was expected to meet people close to Iran’s supreme leader.
Two Pakistani sources said Trump had called Munir last week, with another saying the main request was to bring Iran back to negotiations.
