Trump’s ‘Economic Fury’ Against Iran: What Can The US Still Do?

The US is preparing to squeeze Iran with unprecedented economic pressure under Treasury Secretary Scott Bessent's 'Economic Fury' campaign, according to Bloomberg. The move comes after the US initiated a war against Iran in late February 2026.

Critics remain sceptical of this new pressure strategy, given the country is already subject to a naval blockade and thousands of existing sanctions.

While the Trump administration has not detailed its exact plans, targeting the remaining options risks blowback on the US economy.

"Unless the president decides to prioritize addressing the Iran threat over all other issues, and namely China, it’s unlikely any action they take is going to materially change Iran’s calculus," Bloomberg Economics analyst Chris Kennedy told Bloomberg.

Targeting China's Oil Trade

China purchases upwards of 90% of Iranian petroleum exports. Since the conflict began in late February, the US has penalised various Chinese teapot refineries and businesses.

However, it has refrained from penalising the primary Chinese financial institutions financing the trade.

Sanctioning these large banks could exacerbate friction with Beijing, which is particularly sensitive before an anticipated summit between President Donald Trump and Chinese leader Xi Jinping.

Earlier in May, Beijing instructed local firms to ignore American penalties against five refining entities, leaving its largest banks caught between domestic directives and the threat of losing access to the US financial system.

Restricting Iranian oil presents economic trade-offs, potentially withdrawing cheaper crude from international markets and driving up already high fuel costs.

Choking Financial Repatriation Channels

US officials have already penalised certain Iranian exchange businesses located in the United Arab Emirates.

This action, part of Bessent’s 'Economic Fury' initiative, targets alleged laundering of billions in foreign currency.

Tehran depends on these middlemen to exchange oil revenues—frequently paid in Chinese yuan—into accessible money.

However, isolating specific firms may just drive financial activities towards novel brokers, different currencies or crypto assets, as Tehran has spent years developing shadow networks.

Washington might also move beyond freezing funds to actively seizing Iranian state wealth within its legal reach, mirroring actions by the Bush administration following the 2003 Iraq invasion. 

The pool of Iranian state assets actually within US reach may be limited. Yet, actually confiscating these funds presents severe legal and diplomatic hurdles, given that a significant portion of Tehran's overseas capital resides in third-party nations that would need to cooperate.

Secondary Sanctions and Blockades

Another option involves threatening secondary penalties against any group conducting even minimal trade with Iran, echoing Trump’s 2017 North Korea playbook.

This would compel international banks and corporations to pick between Iranian commerce and US financial access.

Such measures could squeeze Russia, China and neighbouring nations, including US allies like Turkey.

While Trump previously suggested imposing 25% tariffs on nations trading with Tehran, he has yet to execute that threat.

Finally, US officials might broaden the existing naval blockade. An expanded operation could pursue not only individual shadow fleet ships but also the underlying corporations, port terminals and logistical infrastructure facilitating the trade. 

The US has already sanctioned vessels and some entities involved in this shadow fleet.