U.S. Vows “Toughest Sanctions In History” Against Iran, Urges China To Help Reopen Hormuz

The United States is preparing a new round of sanctions against Iran that Treasury Secretary Scott Bessent said would be the “toughest sanctions in history.”

Bessent said the new measures would work alongside the existing US blockade and could help avoid a return to large-scale military action.

“It is a one-two punch. We have the blockade, and we are going to have the toughest sanctions in history,” Bessent told CNBC on Thursday.

“It is going to work in Iran and we are going to collapse this regime,” he said, adding that he would hold a news conference on Monday to explain the measures.

The dispute has also pushed oil prices to more than three-week highs.

US presses China over Hormuz

Bessent called on China to cooperate with Washington’s efforts to reopen the Strait of Hormuz and bring down energy prices.

“We are confident that everyone wants the Strait reopened, and for energy prices to come back down,” he said.

He pointed to China’s dependence on energy from the Gulf, saying about 50% of the country’s energy comes from the region.

China is also the main buyer of Iranian crude. It accounted for more than 80% of Iran’s shipped oil in 2025, according to data from analytics firm Kpler.

When asked whether the United States could target China for continuing to do business with Iran, Bessent did not give details, saying some discussions were better held privately.

Further US action against Chinese companies dealing with Iran could have wider economic consequences, as China is also a major supplier to the United States, including of critical rare-earth minerals.

China rejected the US approach. A spokesperson for the Chinese embassy in Washington said sanctions and pressure would not help solve the problem and urged all sides to act responsibly and pursue political and diplomatic solutions.

Trump warns countries against supporting Iran

Bessent’s comments came a day after President Donald Trump warned countries against providing Iran with any type of “lifeline”.

Trump said the US campaign would target Iran’s economic networks, including oil-smuggling operations, financial transfers, exchange houses, ship registries and front companies.

He called the effort an “ECONOMIC D-DAY” and warned that countries providing financial, commercial or government support to Tehran could face “tremendous economic consequences”.

Trump has repeatedly said Iran must not be allowed to acquire a nuclear weapon. Iran has rejected Washington’s pressure campaign.

Iranian Foreign Minister Abbas Araghchi criticised Trump’s latest comments and accused him of trying to divert attention from economic problems in the United States, including rising debt and interest costs.

Araghchi said Trump’s so-called “Economic D-Day” would bring further “defeat” and “enmity of Iranians” if Washington continued to increase sanctions.

Iran calls US sanctions ‘economic terrorism’

Iran’s foreign ministry accused the United States on Thursday of using sanctions that affect the rights of Iranian citizens.

The ministry said in a statement carried by state media that the US economic sanctions amounted to “economic terrorism” and “crimes against humanity”. It said those responsible for the sanctions should face trial and punishment.

Iran has faced extensive US-led sanctions for decades, dating back to the 1979 Islamic Revolution.

Bessent said Washington’s strategy of maximum economic pressure could reduce the possibility of another large-scale military campaign.

References: Firstpost, TOI