Trump expands economic warfare against Iran

US President Donald Trump has declared an "economic D-Day" against Iran amid a ceasefire deadlock, threatening countries that provide a lifeline to Tehran with "tremendous consequences".

Trump's threats came just as the United Arab Emirates suspended all trade with Iran on Wednesday after the UAE came under renewed attack, triggering nationwide warnings, a day earlier.

In a social media post on Wednesday, Trump boasted that no one has given Iran "a greater opportunity to make a deal than me", adding that Tehran failed to take it as he announced "the most crushing economic operation ever taken against any country".

Trump said it would be "economic warfare and isolation on an unprecedented scale" and claimed that Iran "is hanging by a thread".

"Today, I am also announcing that any country that allows its financial institutions, businesses, airports or government entities to provide any type of lifeline to Iran will itself face tremendous economic consequences," he said.

"This will be an Economic D-Day," he added, reiterating Iran "will never have a nuclear weapon".

Iranian Foreign Minister Abbas Araghchi pushed back on Thursday, saying the "so-called Economic D-Day is a diversion from America's own crisis", citing debt and surging interest costs.

"Doubling down on failed policies will only bring further defeat — and enmity of Iranians. US economic terrorism threatens global economy and sovereignty worldwide," he said.

Iran has been under international sanctions for decades, especially since the US imposed sanctions following the 1979 Islamic Revolution.

Since the current war broke out on Feb 28, the US has targeted Iranian energy exports, disrupting Tehran's primary revenue stream. Washington has also targeted entities allegedly smuggling Iranian-origin liquefied petroleum gas disguised as Omani LPG to South and East Asia.

The US Treasury Department has also imposed sanctions against Iran's banking and foreign exchange networks, and weapons procurement.

Chinese Foreign Ministry spokesman Lin Jian said on Thursday that imposing sanctions and exerting pressure will not be useful in solving the Iran issue.

China calls on relevant parties to take responsible steps and resolve the issue through political and diplomatic means, he said.

Without interference

At a meeting with Iraqi President Nizar Amidi, Iranian Parliament Speaker Mohammad Bagher Ghalibaf warned that the US is seeking to plunder the resources of the Gulf states, the Tasnim News Agency reported.

Regional countries can establish security and stability through unity and without foreign interference, Ghalibaf said.

The US is the main cause of the region's problems, he said, adding that Washington's hegemonic approach has fueled recent conflicts, inflicting losses on Iran and Iraq.

Rasha Al Joundy, a senior researcher at the Dubai Public Policy Research Centre, told China Daily that by imposing more economic pressure on Iran at this stage, the US "seeks to inflict more internal pressure on the government".

However, Iran's Islamic Revolutionary Guard Corps is the one making decisions and therefore, this will inflict political pressure on the government because of economic pressure on the people who are the most affected and vulnerable, she said.

The pressure will not have much impact militarily on the IRGC's decisions, she added.

"Strategically I don't believe that the US would accomplish short-term political gains with new sanctions, but it could push for a new round of military confrontation in the region," she said.

"If the US administration would adopt this as a long-term strategy, then the outcome would depend on whether it is supported and implemented for a long timeframe, without suspensions or side exemptions."