US Treasury Secretary Scott Bessent announced the start of "Operation Economic Outcast" on Iran in remarks at a press conference on Monday following earlier threats of an "economic D-Day" against the regime.
"Our objective is to sever every economic lifeline that sustains this tyrannical regime until Tehran stands alone," said Bessent.
Bessent described the operation as "a sustained campaign to collapse every last option for Iran," saying that those involved in "any" economic cooperation with Tehran would expose themselves to "the full reach of American power."
He noted the kinetic and prior economic actions of US President Donald Trump against the Islamic regime, which Bessent said signaled a different approach to Tehran than previous administrations.
"We are no longer managing the Iranian threat," he emphasized. "We are ending it."
He added that Iran faces a "very clear choice," saying the regime can either accept "complete global isolation" or a path to normalcy.
Bessent described the operation's methods as actions that will "tighten the noose" around Iran's funding sources, leaving it "no breathing space."
He listed five Iranian "vital lifelines" that the operation would initially target: digital assets, technology, gold, aviation, and shipping.
Bessent: 'Grey areas' used to evade sanctions 'no longer' acceptable
Bessent further stressed that the "grey areas" some countries use to evade sanctions on Iran would "no longer" be acceptable, warning of "secondary sanctions."
"Countries cannot claim they are blind to enabling this activity," he added. "The president is making phone calls to world leaders with specific requests to cease their interactions with the regime."
The operation's announcement comes after claims by Trump in a Truth Social post earlier on Monday that Iran is completely collapsing, with Bessent noting that countries that choose to continue cooperating with Tehran's "withering" regime would face economic consequences, describing those who do as "foolish."
"Any entity that facilitates money laundering on behalf of Iran will be removed from the US Dollar system," he emphasized. "the clock just started ticking."
He further warned against any nation "testing" the resolve of the US government.
"It is now a time for world leaders to make a decision between prosperity and isolation, peace and terror, America and Iran," he declared.
Bessent concluded his remarks by noting that Operation Economic Outcast would continue until Iran "stands alone."
Netanyahu praises, Iranian officials denounce operation's announcement
Prime Minister Benjamin Netanyahu congratulated Trump and Bessent on the announcement of Operation Economic Outcast in an X/Twitter post later on Monday, describing it as exacting "a steep price from that cruel dictatorship and from those who assist its continued aggression."
Also on Monday, Iranian Parliament Speaker Mohammad Bagher Ghalibaf reacted to Bessent's announcement in an X post, saying that "no one" will take the threat seriously.
"The United States is not in an economic position to further restrict its relations with other countries," Ghalibaf wrote. "Iran's trading partners, both in the media and through messages sent to us, have made it clear that they don't take these statements into account anywhere."
Iranian lawmaker Ebrahim Rezaei also commented on Operation Economic Outcast in an X post, calling it an "admission of defeat in military operations."
"This time too, the yellow dog will certainly face defeat," he added.
Jerusalem Post Staff contributed to this report.