Iran Vows Devastating Response as US Prepares New Sanctions
Iran's military chief of staff, Major General Ali Abdollahi, warned that his country would respond 'with crushing, punishing and devastating responses' to any new US threats. This comes as the US prepares to announce tougher sanctions on Tehran, which could further disrupt shipping through the Strait of Hormuz.
The Strait of Hormuz carried about one-fifth of all traded oil before February, and any continued disruption remains important for global oil markets. Only seven commodity ships passed through the waterway on August 20, compared to half that number the previous day and more than 130 a day before the war.
U.S. Treasury Secretary Scott Bessent said details of the new sanctions would be announced on Aug. 24, calling them a 'one-two punch' aimed at collapsing Iran's regime. He also stated that the economic pressure was not expected to lead automatically to a major military escalation.