Trump declares ‘economic war’ on Iran, threatens countries aiding Tehran

US President Donald Trump has declared what he described as an unprecedented “economic war” against Iran, vowing to intensify efforts to isolate Tehran and warning countries and institutions that provide it with financial or commercial support of severe economic consequences.

In a post on Truth Social on Wednesday (August 19), Trump said the United States would launch an economic campaign against Iran on a scale “never seen before” against any country. Describing the move as an “economic D-Day”, he urged US allies to join Washington’s efforts to isolate Tehran.

Trump warned that countries could face “enormous economic consequences” if their financial institutions, businesses, airports or government agencies provide Iran with any means of sustaining its economy.

However, he did not specify what sanctions or other punitive measures would be imposed.

The US president called for immediate action to shut down channels that he said were helping Iran sustain its economy, including oil smuggling, money transfers, currency exchanges, cash transactions, vessel registrations and front companies.

Trump also claimed that Iran’s military capabilities had suffered extensive damage, saying its navy had been destroyed, its air force severely weakened and facilities producing military equipment reduced to rubble. He also claimed that Iran’s currency had lost significant value.

Reiterating Washington’s position on Iran’s nuclear programme, Trump said Iran must not be allowed to acquire nuclear weapons.

His announcement comes as tensions surrounding Iran remain high. The UAE has recently suspended trade and financial transactions with Iran, while tensions around the Strait of Hormuz continue. Diplomatic efforts to reach an understanding between Washington and Tehran have also remained deadlocked.