Iran threatens response ahead of US sanctions announcement
Iran’s Foreign Ministry spokesperson on Monday warned that Tehran would respond harshly to expanded U.S. sanctions, including measures against countries it sees as cooperating with Washington.
“Any escalation of this situation will undoubtedly bring about consequences,” Esmail Baghaei said. “Our hands are not tied.”
The prospect of expanded sanctions and Iran’s threat to respond come after weeks of impasse, with the United States having not yet dislodged Iran’s grip on shipping through the Strait of Hormuz. Iranian attacks and threats have severely hampered traffic through the waterway, through which a fifth of the world’s traded oil passed before the war started nearly six months ago.
Iran has maintained its demands for reopening the strait — including lifting the U.S. naval blockade, withdrawing U.S. forces from the region and reparations for damages it sustained throughout the war. It has held separate talks with neighboring Oman on jointly managing the waterway regardless of whether a new deal is brokered with the U.S.
Sanctions have historically raised the prices of basic goods in Iran, but after years withstanding them, Iran’s economy has adapted through finding new trading partners and building domestic industries.
Ahead of the expected announcement, the country's currency hit a record low on Monday, with traders anticipating higher prices if tighter sanctions further restrict Iran’s export capacity.
Source: Associated Press
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