Iran’s Parliament Speaker Mohammad Bagher Ghalibaf gives a press conference at an event marking 40 days since the burial of the late Iranian supreme leader Ayatollah Ali Khamenei, at Imam Hassan al-Mujtaba Mosque in Iraq’s central holy shrine city of Karbala on August 20, 2026. (Karar Jabbar/AFP)
Reported by:
Cherry Meigh Timbol
News Content Editor
Published August 22, 2026
TEHRAN, Iran — Iran has vowed a “devastating” military response if the United States follows through with what President Donald Trump’s administration calls the toughest economic sanctions in history, dramatically escalating tensions between the two adversaries as their conflict enters its sixth month.
The warning came after U.S. Treasury Secretary Scott Bessent announced that Washington will unveil a sweeping sanctions package on Monday targeting Iran’s financial system, oil revenues, shipping networks, and foreign entities that continue doing business with Tehran. President Trump has also threatened economic consequences for any nation that provides what he described as “any type of lifeline” to the Iranian regime.
United States Secretary of the Treasury Scott Bessent walks outside the West Wing of the White House in Washington, DC, on Thursday, August 20, 2026.MediaPunch / BACKGRID
Tehran warns of overwhelming retaliation
Iranian Armed Forces Chief of Staff Maj. Gen. Ali Abdollahi declared that any new American threat would be met with a “crushing, punishing, and devastating” response across land, sea, air, and missile operations. Iranian officials insisted the country would not surrender under economic pressure and accused Washington of combining military confrontation with psychological and economic warfare.
Parliament Speaker Mohammad Baqer Qalibaf acknowledged that sanctions are placing enormous strain on Iran’s economy but argued that the nation must prepare to overcome what he called unjust restrictions rather than yield to U.S. demands.
Trump administration shifts to economic warfare
The White House has increasingly framed sanctions as its primary weapon against Tehran following months of military confrontation in the Persian Gulf and around the Strait of Hormuz. Bessent said the objective is to isolate Iran financially while avoiding a prolonged direct military campaign, describing the upcoming measures as unprecedented in scope.
The sanctions are expected to target:
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Iran’s oil exports and shipping infrastructure
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International banks facilitating Iranian transactions
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Foreign companies purchasing Iranian crude
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Financial networks allegedly supporting the Islamic Revolutionary Guard Corps
Trump has warned that countries continuing commercial ties with Iran could also face secondary sanctions, potentially placing additional pressure on major buyers such as China.
Iranian Parliament Speaker Mohammad Baqer Qalibaf visits the Imam Ali Shrine in Najaf, Iraq, Friday, August 21, 2026.REUTERS
Strait of Hormuz remains a global flashpoint
The renewed confrontation has intensified concerns over the Strait of Hormuz, one of the world’s most strategically important oil corridors. Shipping traffic through the waterway has fallen sharply during the conflict, disrupting global energy supplies and increasing volatility in oil markets.
Trade analysts say reduced Iranian exports and tighter maritime controls have already forced Asian refiners to seek alternative crude supplies as available Iranian shipments become increasingly scarce.
🧩 Bottom Line:
The United States and Iran appear headed toward a high-stakes showdown as Washington prepares to impose what officials describe as the toughest sanctions ever levied against Tehran. While the Trump administration is betting that severe economic pressure will weaken Iran’s ability to fund its government and military activities, Iranian leaders are signaling that additional pressure could provoke a powerful military response. With tensions rising around the Strait of Hormuz and global energy markets watching closely, the coming weeks may determine whether the crisis moves toward negotiations or a broader regional confrontation.
SOURCES: BREITBART NEWS – Iran Vows ‘Devastating’ Military Response: U.S. Readies to Unleash Toughest Sanctions to ‘Collapse’ Regime
THE NEW YORK POST – Iran vows ‘devastating’ response as US threatens crushing sanctions designed to ‘collapse’ regime
THE TIMES OF ISRAEL – Iran vows ‘devastating’ response after US threatens toughest-ever economic hit
