Trump Declares 'Economic War' on Iran, Warns Backers of Heavy Cost

President Donald Trump said he would launch unprecedented economic isolation measures against Iran and warned that third countries supporting Tehran would also face harsh economic penalties.

On Aug. 19, Trump said he was announcing “the most powerful economic operation ever taken against any country.” He described it as an economic war and isolation campaign on an unprecedented scale.

He made clear the pressure would extend beyond sanctions on Iran itself. Any country that provides Iran with “any form of lifeline” through financial institutions, companies, airports or government agencies will pay an enormous economic price.

Trump specifically identified oil smuggling, currency swaps, cash transfers, exchange houses, ship registration and shell companies as targets for disruption. “All of it must stop immediately,” he said.

He also called on U.S. allies to join the economic blockade against Iran. Trump described the move as “Economic D-Day” and said all allies should work with the U.S. to isolate and repel the Iranian threat.

Trump said the measures were prompted by Iran’s refusal to accept a negotiating opportunity offered by the U.S. “No one gave Iran a greater chance to make a deal than I did,” he said. “Unfortunately, Iran failed to seize that opportunity.”

He added that Iran’s naval and air forces, as well as its military facilities, had already suffered major damage and that the country’s currency had plunged. The new economic measures, he said, would sharply limit Iran’s ability to carry out further military activity.

Trump ended by saying Iran “will never have a nuclear weapon.”