US Treasury Announces New Sanctions on Iran but Holds Back Major Measures Citing Global Financial Risks

On August 24, 2026, US Treasury Secretary Scott Bessent unveiled new sanctions targeting around 60 Iranian entities, vessels, and individuals as part of a broader strategy to isolate Iran economically. The announcement followed days of heightened expectations fueled by President Donald Trump and senior officials promising an unprecedented economic campaign aimed at toppling the Iranian regime. However, the most severe threat, secondary sanctions against countries continuing economic ties with Iran, has not yet been implemented. Bessent explained that immediate enforcement could destabilize the global financial system, so the US is instead issuing a phased warning to pressure Iran’s partners to sever ties or face eventual penalties.

Bessent emphasized that the US is providing a "chance to correct bad behavior" before escalating sanctions, describing the secondary sanctions as a "very powerful tool" and a "warning shot" to those aiding Iran’s commercial activities. He did not specify which countries are targeted, nor did he confirm whether China, a major Iranian trade partner, is included. Reports indicate Chinese financial institutions previously helping Iran evade sanctions were not among those newly sanctioned, reflecting Washington’s caution to avoid triggering a trade war with Beijing. Bessent hinted at a significant upcoming announcement involving a major financial institution but withheld details.

Iranian officials dismissed the US measures as ineffective, with Parliament Speaker Mohammad Baqer Qalibaf calling the American threats exaggerated and Iranian Treasury Minister Ali Madani Zadeh asserting that the sanctions will fail as they have in the past. Despite ongoing economic pressure and a weakening Iranian rial, Tehran remains focused on strengthening its military capabilities. The US sanctions campaign continues a decades-long effort to curb Iran’s economy since the 1979 Islamic Revolution, but the current approach balances aggressive rhetoric with measured implementation to avoid global financial disruption.