Washington, August 25: The United States has launched a major economic campaign aimed at severing Iran’s financial connections around the world and cutting off revenue streams supporting the Iranian regime, US Treasury Secretary Scott Bessent announced on Monday.
Dubbed “Operation Economic Outcast,” the campaign will target networks allegedly used by Iran to smuggle oil, evade sanctions and move funds through international financial channels.
Addressing a press conference, Bessent said the US Treasury had mapped the networks and facilitators involved in Iran’s sanctions-evasion activities. He said Washington’s objective was to block sources of revenue that support the Islamic Revolutionary Guard Corps (IRGC) and the Iranian government.
Bessent compared the campaign to the Allied effort during World War II, describing the move as an “economic onslaught” against Iran’s financial connections across the globe.
“Iran now faces a clear choice,” Bessent said, according to the reports. He said Tehran could face increasing global isolation and a subsistence economy, or pursue a path toward normalisation and re-entry into the international economy.
The announcement follows a warning by US President Donald Trump on August 20 that Washington would impose severe economic consequences on countries that provide financial, commercial, airport or government support to Iran.
Trump described the planned measures as an unprecedented campaign of “economic warfare and isolation”, targeting oil-smuggling networks, cash transfers, exchange houses, ship registries and front companies linked to Iran.
However, Bessent indicated that the United States would not immediately impose major sanctions on every country maintaining economic ties with Iran. He described the latest announcement as a “warning shot” intended to give governments and businesses an opportunity to change their conduct.
“We believe that a warning shot and a level-set of expectations is appropriate,” Bessent said, adding that imposing sanctions immediately could risk disrupting the global financial system.
He said the US would give countries a limited opportunity to comply with Washington’s demands, but warned that the process could move quickly. Bessent declined to specify a deadline or identify the countries that Washington has contacted.
According to Bessent, Trump has already been speaking with world leaders and making specific requests for cooperation in economically isolating Tehran. The US Treasury and State departments are expected to follow up through diplomatic contacts and visits.
The latest measures represent a significant expansion of Washington’s pressure campaign against Iran, with the United States seeking not only to target Iranian entities directly but also to pressure foreign governments and businesses that facilitate Tehran’s access to international markets.
The effectiveness of Operation Economic Outcast will now depend on how broadly the United States implements the threatened measures and whether its allies and other major economies cooperate with Washington’s efforts to restrict Iran’s financial and commercial lifelines.
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