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Iran Threatens Retaliation Against US Economic War Allies — AI-generated representative image of an oil tanker in the Strait of Hormuz region amid rising Middle East tensions over US sanctions and Iran's shipping blockad

Editorial Team

Tehran warns of seismic response as Washington prepares new sanctions and Egypt urges renewed diplomacy

Iran has threatened to retaliate against any country that joins the United States' "economic war" against it, as Egypt pressed Tehran and Washington to return to the diplomatic path and end their nearly six-month-old conflict. The warning from Iran's top security official came on Saturday as the US plans to announce new sanctions that could place further strain on Tehran's economy.

The escalating standoff carries broad regional and global implications, given Iran's blockade of the Strait of Hormuz, a vital shipping lane whose closure has already driven up prices for commodities including oil and fertiliser. The dispute now risks drawing in third countries, with Washington pledging consequences for any nation offering Iran an economic lifeline and Tehran warning of retaliation against those that cooperate.

Iran's Warning and US Sanctions Push

Mohsen Rezaei, secretary of Iran's Supreme National Security Council, told the IRIB state broadcaster that Iran was appealing to all countries, including its neighbours, not to join the US economic war. "Any country that takes part in imposing economic restrictions on us will be regarded as an enemy," he said, warning of a "seismic" retaliation.

Rezaei outlined a three-stage strategy beginning with talks to de-escalate tensions. "We will hold talks and tell them to step aside and distance themselves from the United States. But if they do not act, we will strike," he said.

The remarks came days after US President Donald Trump announced the "most crushing economic operation" yet against Iran and pledged "tremendous economic consequences" for any country providing Iran a lifeline. US Treasury Secretary Scott Bessent said, "You're either with us or against us," and urged cooperation from China, which buys more than 80 percent of Iran's shipped oil. Bessent is due to give details of the planned sanctions on Monday.

Background of the Conflict

The tensions stem from Iran's closure of the Strait of Hormuz shortly after the US and Israel launched joint strikes on February 28. The blockade has effectively halted traffic through the major shipping lane and sent commodity prices soaring. Diplomatic efforts to end the conflict remain stalled.

On Saturday, Iran's government news service, IRNA, announced that special permission had been issued for Iraqi oil tankers to transit the strait. However, the situation in the waterway "remains vague," according to reporting from the region, with Iran saying it will keep the strait closed until a US naval blockade on the country is lifted. Talks between Iran and Oman on managing shipping in the waterway are continuing, but no deal has been reached so far.

Official Statements and Diplomatic Contacts

Iran's Ministry of Foreign Affairs spokesperson Esmaeil Baghaei said earlier on Saturday that the imminent US announcement of new economic sanctions was an "assertion of extraterritorial sovereignty over every independent member state of the United Nations." He added that "such secondary sanctions find no foundation in international law."

Egypt's Ministry of Foreign Affairs announced that Foreign Minister Badr Abdelatty and his Iranian counterpart Abbas Araghchi spoke by phone and reviewed the regional situation as well as efforts "to create an environment conducive to de-escalation." The two discussed a return to the diplomatic path, including the Oman-Iran negotiation track and resumption of the US-Iran memorandum, with the goal of reaching a comprehensive and sustainable agreement. Araghchi also confirmed a separate call with Pakistan's army chief, Field Marshal Asim Munir, on strengthening peace and stability in the West Asian region.

What Lies Ahead

US Treasury Secretary Scott Bessent is expected to announce details of the new sanctions on Monday. Diplomatic talks between Iran and Oman over shipping in the Strait of Hormuz remain ongoing without a final agreement. Iran has indicated it will keep the strait closed until the US naval blockade is lifted, while the broader conflict between Tehran and Washington continues without a negotiated resolution.