The Iranian government on Saturday vowed to stand firm against U.S. sanctions and what it described as U.S.-Israeli “conspiracies,” stressing that diplomacy and defense are “complementary, coordinated and inseparable” tools for protecting the country’s national interests, security and regional stability.
In a statement published by official media, the government said it would pursue both tracks simultaneously, while focusing on curbing inflation, creating jobs, supporting domestic production and gradually reducing reliance on the U.S. dollar.
The United States imposed new Iran-related sanctions on Friday against an individual and an entity, after U.S. Treasury Secretary Scott Bessent threatened further measures earlier this week as the war continued.
A notice published on the U.S. Treasury Department’s website said the sanctions target an individual linked to Bank Melli Iran and a Hong Kong-based entity.
The U.S. Treasury is also preparing to cut the UAE branches of Banque Misr off from the U.S. financial system. It has additionally imposed restrictions on an Egyptian bank over its dealings with Iran.
Iranian Foreign Minister Abbas Araghchi said Friday that restoring diplomacy to the right track was not impossible, but depended on the United States recognizing that pressure would not work.
Araghchi said on X that Washington should build trust, speak respectfully, recognize Iran’s rights and honor its commitments.
White House spokesperson Karoline Leavitt said Thursday that the United States and Iran were not currently holding talks to end the war, as Washington focuses on economic pressure against Tehran. She added that all options remained “on the table.”
Leavitt said U.S. President Donald Trump’s primary objective was to ensure that Iran could not obtain a nuclear weapon, adding that Washington had launched what she called “Operation Epic Fury” to destroy Iran’s military and was now pursuing an operation aimed at destroying its economy.
“There are no negotiations at the moment,” Leavitt said, adding that this would continue until Trump believed Iran was prepared to sit at the negotiating table with the aim of achieving results. She also said the U.S. naval blockade remained in place.
Bessent announced Monday an expansion of secondary sanctions that could be imposed on entities and countries maintaining commercial ties with Iran worldwide, as part of the U.S. “economic outcast” campaign against Tehran launched at Trump’s direction.
Bessent described the move as an “economic victory day,” intended to warn countries to sever their trade ties with Iran or risk having their major companies and entities cut off from the dollar-based financial system.
“We are launching an economic attack on Iranian financial links around the world,” he said, adding that the objective was to cut off the economic lifelines supporting the Iranian government.
Iran has been holding talks with Oman for several weeks, while insisting that the Strait of Hormuz will remain closed unless Washington fulfills its commitments under the memorandum of understanding signed in mid-June, particularly those concerning the lifting of the U.S. blockade and economic sanctions against Tehran.
Iran’s Islamic Revolutionary Guard Corps spokesperson Hossein Mahboub said that if the United States did not accept Iran’s conditions, the Strait of Hormuz would not be reopened under any circumstances. He added that the strait could be reopened if Washington stopped obstructing the process and returned to the memorandum of understanding.
On June 18, 2026, Washington and Tehran signed a memorandum of understanding on freedom of navigation through the Strait of Hormuz as a step toward a final agreement. Implementation later stalled over disagreements concerning the security of the strait.
Between July 8 and 24, the United States resumed attacks on Iran, while Tehran responded by targeting countries in the region, before talks resumed over safe shipping corridors through the Strait of Hormuz.
The United States subsequently reinstated its naval blockade of Iranian ports in the Strait of Hormuz after renewed clashes described as the most intense since the ceasefire that took effect between the two sides in April.
Iran warned that the renewed naval blockade of its ports undermined the memorandum of understanding with Washington.
The war began on February 28, when Israel and the United States attacked Iran, prompting Tehran to close the Strait of Hormuz, which before the war was the main maritime route for nearly one-fifth of global energy supplies.
The Strait of Hormuz remains one of the key flashpoints in the conflict, with Iran’s control over the waterway giving Tehran significant leverage and an important source of pressure.
Reuters
