US says sanctions will 'squash' Iran's economy and 'collapse' its regime
US Treasury Secretary Scott Bessent has announced plans for a severe economic pressure campaign against Iran to force regime collapse. The strategy aims to isolate Iran economically to avoid further large-scale military conflict.
Why it matters
This represents a significant escalation in US-Iran relations, potentially destabilizing global energy markets and the Strait of Hormuz.
Share Save Add as preferred on Google Rorey Bosotti EPA Bessent believes international sanctions will 'minimise the need' to return to war with Iran US Treasury Secretary Scott Bessent urged US allies to support Washington's efforts to "squash" the Iranian economy.
"We are going to collapse this regime. It is time for our allies and the rest of the world to make a decision," Bessent told broadcaster CNBC.
"You are either with us or against us," he said.
Bessent's remarks come after US President Donald Trump said that countries providing "any type of lifeline" to the Islamic Republic's regime will face "tremendous economic consequences" .
Bessent did not offer any insight on the measures Trump's team was looking to implement, but said the planned pressure campaign on the Iranian economy would minimise the need of a "large-scale kinetic restart" of the conflict.
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