Scott Bessent Urges US Partners to Back Plans to ‘Squash’ Iran Economy
US Treasury Secretary Scott Bessent urged US allies to "make a decision" on whether they will support Washington’s efforts to "squash" the Iranian economy. His remarks followed President Trump’s statement on Truth Social, where he warned countries providing any aid to Iran would face severe economic repercussions.
Bessent did not elaborate on potential measures but emphasized the clear message to allies: "You are either with us or against us."
"It is time for our allies and the rest of the world to make a decision," Bessent told CNBC. "We are going to squash the economy of this murderous regime." He described the upcoming penalties as part of "the greatest coordinated economic isolation in history."
The Treasury secretary warned, "If you insist on doing business with them… then the US Treasury and the US government will put [their] full might and force towards enforcing against you." Bessent also argued that the pressure campaign would minimize the need for a large-scale military escalation.
Further details about the plan are set to be announced at a press conference on August 24.
One Iranian businessman expressed concerns over the potential impact of new sanctions, stating: "I do business with different countries, and if every country that trades with Iran is at risk of sanctions, I have to think very carefully before making any deal, because I could end up losing money."
The Iranian economy has long struggled under international sanctions, and earlier this year, protests erupted due to soaring living costs and inflation. Official data shows basic necessity prices increased by an average 60% in the 12 months to February 2022, with food prices doubling during the same period.
