Iran Vows ‘Devastating’ Response as US Threatens Toughest-Ever Economic Sanctions

Iran has warned the United States that it will face a “devastating” response if Washington follows through on its latest threats to intensify economic pressure on Tehran.

The warning comes as US President Donald Trump’s administration moves to impose what Treasury Secretary Scott Bessent described as the toughest sanctions in American history, with Washington seeking to cut off Iran’s remaining economic lifelines and pressure its leadership into submission.

Iranian officials on Friday rejected the US strategy, arguing that decades of sanctions had failed to force Tehran to abandon its policies.

According to Reuters, Iranian military and political officials have warned that any new US measures would trigger a severe response. Tehran has also dismissed Washington’s campaign as another attempt to weaken Iran economically and politically.

The latest escalation follows Trump’s announcement of a major economic campaign against Iran and countries that continue to trade with Tehran. The US president has threatened penalties against Iran’s trading partners as Washington seeks to further isolate the country financially.

The campaign could have significant consequences for countries that remain major buyers of Iranian commodities, particularly China.

The economic confrontation is unfolding alongside continuing tensions around the strategically important Strait of Hormuz, through which a substantial share of the world’s oil and liquefied natural gas shipments normally passes.

Shipping traffic through the waterway has fallen sharply amid the conflict. Reuters reported that only seven commodity ships crossed the Strait of Hormuz on Thursday, compared with 14 the previous day, with no large crude-oil carriers or LNG tankers among the recorded vessels.

The disruption has already contributed to higher oil prices. Brent crude rose to about $93.86 per barrel on Friday, while US West Texas Intermediate climbed to $86.99 as markets reacted to the possibility of further restrictions on Iranian exports and broader supply disruptions.

Iranian authorities have meanwhile acknowledged the growing economic pressure facing the country. Iranian Parliament Speaker Mohammad Baqer Qalibaf said Tehran must develop strategies to overcome what he called “unjust sanctions,” while other officials have stressed the need for economic resilience.

The pressure is also being felt by ordinary Iranians. Rising inflation, currency weakness, job losses and shortages have made basic necessities increasingly difficult for many households to afford. The Associated Press reported that inflation could approach 70% as the economic crisis deepens.

Despite the worsening economic situation, Tehran has signalled that it will not simply capitulate to Washington’s demands.

Iranian Foreign Minister Abbas Araghchi has dismissed Trump’s latest economic campaign as a continuation of previous pressure tactics, while Iranian officials have warned that further escalation could carry consequences beyond Iran’s borders.

The standoff has also raised fresh concerns about global energy supplies. Any further disruption to shipping through the Strait of Hormuz could put additional pressure on oil markets and increase costs for countries dependent on Middle Eastern energy supplies.

With Washington threatening unprecedented economic pressure and Tehran promising a “devastating” response, the latest confrontation risks opening another dangerous chapter in the already volatile US-Iran conflict.