US Secretary of the Treasury Scott Bessent speaks during a press conference in Washington, DC.
Day 182 | US to ramp up economic war against Iran
Treasury Secretary Scott Bessent will step up efforts to isolate Iran economically as he hosts G20 counterparts next week, a US official said Thursday, in a gathering clouded by war and trade tensions.
Finance ministers and central bank governors from the Group of 20 major economies are due to convene in mountainous Asheville, North Carolina, next Monday and Tuesday.
Their talks are the first of several key ministerial meetings this year, setting the stage for a G20 leaders' summit President Donald Trump will host in December in Florida.
In Asheville, US officials will stress to G20 members the importance of complying with its sanctions on Iran, as it ramps up pressure on Tehran amid war in the Middle East, a Treasury official told reporters.
The official signaled Bessent will make direct appeals to counterparts in bilateral meetings. But they stopped short of sharing who he had scheduled talks with and whether they include China.
The G20 comprises 19 nations plus the European Union and the African Union. It was established in the wake of the 1997-1998 Asian financial crisis to boost global economic and financial stability.
But South Africa has been excluded from the G20 under the US presidency this year, while Washington invited Poland to a seat at the table.
Next week, US officials will also push to address concerns like excess industrial capacity, promoting stronger economic growth and building reliable supply chains for critical resources like energy.
Although G20 talks broadened to cover issues like climate change and global health over time, analysts expect Washington to advocate a "back-to-basics" approach this year.
This means a renewed focus on debt, trade, financial stability and banking regulation, Josh Lipsky, chair of international economics at the Atlantic Council think tank, told AFP.
The upcoming gathering, however, comes as US global leadership faces a test.
Worries about US debt levels are growing, while Trump's sweeping tariffs targeting competitors -- and longtime allies like Canada -- have strained ties.
Countries are also grappling with economic fallout after US-‘Israel’ strikes on Iran from February plunged the Middle East into war, causing energy costs to surge.
Bessent has laid out plans to isolate Iran economically, widening secondary sanctions threats and warning of dire consequences for countries that fail to join the campaign.
But doing so will likely require taking on China, the main buyer of Iranian oil -- a difficult task ahead of Trump's expected September summit with Chinese leader Xi Jinping.
With a US-Canada trade war and Bessent warning of sanctions hitting other members around the table, "it just creates the broader feeling of, could this group fracture?" Lipsky said.
"I think that's really the challenge for this meeting," he said.
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Read more: Day 183 | Tehran pledges defense, diplomacy as US blockade persists
IRGC Navy calls US claims on Strait of Hormuz "lie"
- IRGC Navy says Strait of Hormuz remains closed.
- Iran rejects US claims that Hormuz is open.
- IRGC demands authorization for all commercial vessels.
- Iran links Hormuz reopening to US commitments.
- IRGC accuses US of lying over Hormuz status.
The Islamic Revolutionary Guard Corps (IRGC) Navy issued a sharp statement dismissing recent US assertions regarding free navigation in the Strait of Hormuz, labeling American declarations that the strategic waterway is open as an attempt to manipulate international energy markets.
The Iranian military statement comes amid ongoing disputes between Tehran and Washington over maritime control, sanctions, and traffic permissions through the Persian Gulf's most critical choke point.
"US statements regarding the Strait of Hormuz remaining open are a lie designed to control oil prices," the IRGC Navy said in its statement.
Strict transit controls
The IRGC Navy emphasized that the Strait of Hormuz is strictly closed to all commercial and military ships attempting to navigate through the passage without direct, prior coordination with Iranian authorities.
Iranian naval officials reiterated that security and traffic management across the passage fall under Iranian jurisdiction, warning maritime operators against relying on external assurances provided by Washington.
Restrictions tied to US compliance
The naval command affirmed that Iran's current enforcement measures along the waterway will remain in place until the US government ends what Tehran described as "hostile actions" and completely implements its political and economic obligations.
The statement highlights continuing friction over maritime navigation, with Tehran tying full access through the strait directly to the fulfillment of signed agreements and the lifting of economic pressure.
Pezeshkian says Iran-Oman reached deal on Hormuz transit
- Iran links Hormuz reopening to US demands.
- Tehran demands sanctions lifted, assets released for reopening.
- Iran demands US pressure 'Israel' to halt Lebanon attacks.
Iranian President Masoud Pezeshkian announced that Iran has reached an agreement with the Sultanate of Oman establishing a regulated transit route for commercial vessels navigating the Strait of Hormuz, confirming that Iran's Supreme Leader has been briefed on the details.
Speaking on diplomatic efforts to resolve ongoing regional maritime disruptions, Pezeshkian stated that Tehran remains prepared to fully reopen the strategic waterway if Washington upholds its end of the bilateral Memorandum of Understanding (MOU).
"We have informed the Supreme Leader regarding the agreed path with the Sultanate of Oman for vessel transit in the Strait of Hormuz," President Masoud Pezeshkian stated. "If the United States fulfills its commitments under the Memorandum of Understanding, we will open the strait."
Tehran lays out strict conditions for Washington
The Iranian president outlined four key requirements that the United States must meet before the Strait of Hormuz is completely opened to unrestricted maritime traffic.
Pezeshkian stated that Washington must lift its naval blockade, eliminate economic sanctions, release frozen Iranian assets held in international banks, and compel 'Israel' to cease its military operations against Lebanon.
The statements come amid ongoing discussions mediated through regional partners to de-escalate maritime standoff measures in the Persian Gulf.
Emphasis on joint regional security with neighboring states
Concluding his remarks, President Pezeshkian reiterated Iran's commitment to diplomatic engagement with surrounding nations, calling for shared responsibility in safeguarding regional stability.
"It is essential to build good relations with neighboring countries and jointly guarantee security with them," Pezeshkian emphasized, asserting that Middle Eastern security must be managed internally by regional governments rather than foreign military powers.
Khamenei bans rhetoric deepening Iran’s social divisions
- Khamenei urges Iran to highlight national strength.
- Iran’s Khamenei calls for unity amid economic pressure.
- Iran leader prioritizes inflation, jobs, local production.
- Khamenei urges reduced reliance on US dollar.
Iran's Supreme Leader, Mojtaba Khamenei, issued a official message to mark Government Week, praising the efforts of the country's 14th administration under President Masoud Pezeshkian while outlining strategic economic and political directives.
In the address, the Iranian leader acknowledged the government's performance in managing energy distribution, restoring damaged infrastructure, and delivering essential goods despite foreign pressure.
The message explicitly referenced external pressures, framing the administration's performance against what it described as "sanctions, blockades, and various plots of the American-Zionist enemy".
Banning political polarizations
A central theme of the message was the requirement to highlight "Iran's strength and power" while avoiding public discourse that could lead to demoralization.
The statement noted that while weaknesses should be addressed through planning and policy, publicizing shortcomings—particularly during times of external tension—serves the interests of external adversaries.
The leadership issued a direct decree prohibiting rhetoric or actions that destabilize internal unity or create political divisions.
"I decisively declare: committing anything that harms social cohesion is forbidden," the statement read, criticizing past political frameworks such as "war or negotiation" and "compromise or hawkishness" as harmful fabrications.
Economic roadmap
Addressing domestic challenges, the message called for immediate attention to economic pressures facing Iranian citizens, including inflation, unemployment, and market price management.
The economic outline urged government bodies to rely on domestic production, guide investment toward essential industries, and implement a "gradual phase-out of the dollar" in national economic operations.
Importation, the statement added, should be utilized judiciously only when domestic output falls short of meeting demand.
Strategic emphasis on culture, education
The message concluded by framing culture and education as "meta-strategic" priorities that must guide all other national strategies.
It highlighted the social roles of educators, non-private healthcare workers, and homemakers as vital contributors to national stability and cultural development.
War on Iran failed to achieve US goals: US media
A New York Times analysis says the US war on Iran has failed to achieve Washington’s objectives, with Iran’s government still in power six months into the war.
According to the analysis, President Donald Trump’s shift from military action to escalating economic pressure is unlikely to force Tehran to change its strategy. Instead, it could further obscure US objectives and undermine Washington’s credibility.
The experts said maintaining the current approach could lead to a strategic defeat for the United States, as Washington has failed to achieve its goals through military action and faces uncertainty over whether economic pressure can deliver the desired results.
Iranian official calls Trump schizophrenic after US territory claim on Strait of Hormuz
Iranian Deputy Foreign Minister Kazem Gharibabadi suggested that US President Donald Trump suffers from schizophrenia after Trump claimed on Truth Social that the Strait of Hormuz was US territory.
“[Its] most common symptom is also hallucinations and delusions,” Gharibabadi wrote on X, adding that psychologists recommend such patients receive treatment and remain under 24-hour supervision.
Gharibabadi’s remarks came after Trump’s post about the strategic waterway, through which a significant share of global oil supplies passes.
Reuters: Mojtaba Khamenei runs Iran from behind the scenes
Iran’s Supreme Leader Mojtaba Khamenei continues to hold the reins of power and run the country from behind the scenes while recovering from injuries, Reuters reported, citing Iranian officials and senior sources.
According to the sources, Khamenei has avoided public appearances due to security concerns but continues to hold frequent meetings with senior officials, receive key reports and make final decisions on major issues.
Reuters reported that the Islamic Revolutionary Guard Corps has expanded its influence since the start of the war and remains central to strategic planning within Iran’s leadership.
A senior Iranian official said only a small number of officials maintain direct communication channels with Khamenei. Authorities have not disclosed his location or movements over fears that leaked information could enable the US to target him.
A person close to the Supreme Leader’s inner circle said his health is “improving significantly” and that he remains actively involved in decision-making.
Iran: New US sanctions are ‘economic terrorism, crime against humanity’
Iran’s Foreign Ministry has described the latest US sanctions against Tehran as “economic terrorism” and a “crime against humanity.”
Three family members killed in 'Israeli' attack near southern Gaza’s Khan Younis
Three members of the same family were killed in an ‘Israeli’ drone strike north of Khan Younis in southern Gaza, Nasser Medical Complex said.
Shipping traffic via Strait of Hormuz slips below 10-day average, data shows
Shipping traffic through the Strait of Hormuz fell sharply on Thursday, with seven commodity vessels recorded transiting the strategic waterway, according to preliminary data from shiptracker Kpler.
The figure was down from 17 vessels on Wednesday and below the 10-day average of 15. The data was released Friday at 03:15 GMT.
The seven vessels included two medium-range tankers, one very large gas carrier (VLGC), one Ultramax vessel, one intermediate tanker and two chemical tankers.
Four vessels were exiting the strait, including both chemical tankers, the intermediate tanker and one medium-range tanker. Three vessels were entering.
CENTCOM says helped 1,500 vessels carrying 750 million barrels of oil cross Hormuz
The United States Central Command (CENCTOM) commander Admiral Brad Cooper said Friday that US forces helped 1,500 commercial forces in transiting the Strait of Hormuz over the past several months.
Cooper did not specify the timeframe of his claim.
He also added the ships were carrying “nearly 750 million barrels of crude oil destined for global energy markets,” according to a video statement released on CENTCOM’s social media.
“Iran has exported zero oil from its shores since we resumed the naval blockade in mid-July,” he added.
Update from CENTCOM Commander: pic.twitter.com/osPbltjJ1C
— U.S. Central Command (@CENTCOM) August 28, 2026
Cooper also reiterated Trump’s claims that the Strait of Hormuz has been cleared of Iranian mines, a claim which US allies have doubted according to US media reports.
“We have successfully cleared sea mines in the strait's international shipping lanes that were laid months ago by Iran's Islamic Revolutionary Guard Corps,” he said.
“Internationally recognized transit routes in the strait are free of Iranian sea mines, thanks to the incredible work of the US military.”
“Bottom line, today, international shipping lanes are open, and momentum is building”
Trump says won’t meet Iran who’s “begging to make a deal”
US President Donald Trump said Friday that Iran is “begging to make a deal”, as the Mideast war enters its seventh month.
“Jonathan Hunt of FoxNews did a particularly inaccurate report on the Failing Islamic Republic of Iran. I don’t want to meet, they do. In fact, they are begging to make a deal. Bret Baier should straighten out his flunkies, for a change!” Trump said on Truth Social.
Iran, Qatar hold Hormuz talks as US blockade chokes Iran oil imports
Iran's top diplomat met his Qatari counterpart on Thursday in Tehran for talks on the strategic Strait of Hormuz, as a US naval blockade squeezes oil supplies to Iran amid a domestic shortfall.
The visit by Qatar's Foreign Minister Sheikh Mohammed bin Abdulrahman Al Thani follows a week of intense diplomacy in Iran involving separate meetings with Oman's top diplomat and senior Pakistani officials seeking ways to end the Middle East war and reopen Hormuz.
It also comes as Washington threatens wider secondary sanctions against countries, banks and companies that continue doing business with Iran, part of a broader campaign it has called "economic asphyxiation".
Iranian state television said Al Thani, who is also Qatar's prime minister, had met with Iranian Foreign Minister Abbas Araghchi, without providing details.
In a statement after the talks, Al Thani said they focused on efforts to de-escalate tensions and boost security in the region.
"Qatar believes that dialogue and diplomacy remain the best way to overcome crises," he wrote on X.
Qatar's foreign ministry said they discussed the proposed framework for Hormuz between Iran and Oman.
"Talks stressed the importance of respecting freedom of navigation in the Strait of Hormuz in accordance with international law," Al Thani added.
Alongside mediator Pakistan, Qatar had played a key role in securing an April ceasefire and June deal between Iran and the United States, but those deals have since collapsed.
Fuel shortage
Since war with the United States broke out on February 28, Iran has maintained tight control over Hormuz, a vital global energy conduit, with Washington imposing a naval counter-blockade on Iranian ports.
On Wednesday, Iran's Vice President Mohammad Jafar Ghaempanah said the blockade had prevented his country from importing enough petrol to cover a shortfall in domestic production.
"Petrol production is insufficient, and because of the US naval blockade, we cannot import it," he was quoted by the official IRNA news agency as saying.
In recent days, many Iranians have been seen queueing outside petrol stations. Presidential chief of staff Mohsen Haji-Mirzaei said petrol quotas would be reviewed, without elaborating.
Iran, a major oil producer with some of the world's cheapest fuel, has for years heavily subsidised petrol, making changes to pricing politically sensitive.
As the US seeks to strangle Iran's economy, Iranian officials have dismissed the measures as "failed policies" that will not force Tehran to change course.
"The country is in an all-out economic war," said Iran's top negotiator Mohammad Bagher Ghalibaf in a statement carried by local media.
"We will see that the government... will defeat the enemy on this ground as well," he added.
Even before the war, Iran's economy was battered by decades of international sanctions, and has long suffered from chronic inflation and a weakening currency.
Talks on Hormuz
Iran has for weeks been in talks with Oman, which also overlooks the Hormuz strait, over a framework agreement that would establish a "temporary corridor" for shipping and provide for clearing mines Tehran says were laid during the war.
Iran's Revolutionary Guards on Wednesday said the two countries had agreed on each country's share of the waters and any revenues collected from managing the waterway.
Tehran has nonetheless insisted that the strait will not be reopened unless Washington meets its demands, including lifting its naval blockade, unfreezing Iranian assets abroad and removing oil sanctions.
Since the war broke out, Iranian forces have required vessels to obtain permission to transit the waterway and struck ships that failed to comply.
Tehran has also sought to impose service fees on ships using the strait -- a move strongly opposed by Washington and regional countries.
On Thursday, the United Kingdom Maritime Trade Operations said an "unknown projectile" had struck a tanker in Hormuz this week, causing a fire that was later extinguished.
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Read more: Day 181 | Iran says US sanctions will achieve nothing
