Trump's Economic War: Can Sanctions Force Iran to Back Down?
The Trump administration believes that its economic pressure campaign against Iran could ultimately hurt the regime more than military strikes. Senior officials claim that Iran's leadership is prioritizing financial relief over stopping US bombing raids.
Iran is currently facing an economic crisis, including acute gasoline shortages, despite having a large oil reserve worth $23 billion earned in the first half of this year.
The Trump administration is expanding its sanctions against Iran, targeting more than 1,000 individuals and entities linked to its oil trade, financial networks, and shipping operations. Vice President Mohammadreza Aref warned that sanctions should not be used to frighten the Iranian people, who are resilient and can endure costs.
The US is pausing strikes against Iran after a weekend of attacks, and both sides are talking to mediators led by Oman, Qatar, and Pakistan. The proposed deal would give Iran and Oman greater control over shipping through the Strait of Hormuz in exchange for financial relief and an end to US sanctions.