Iran says it will withstand US pressure as war and sanctions deepen economic strain

Tehran, Iran. Iranian leaders said the war with the United States and American sanctions had intensified economic hardship, while Tehran pledged to resist pressure, pursue diplomacy and retain control over the Strait of Hormuz.

Economic pressures

Iran’s supreme leader urged the government to address the hardship, while the president said foreign trade had fallen by one-third because of US sanctions and a blockade.

In a statement carried by state media, the government said tackling economic pressures caused by sanctions and war was a central priority. Its measures included curbing inflation, managing markets, creating jobs, directing investment towards domestic production and gradually reducing dependence on the dollar.

Stalled negotiations

Six months after the United States and Israel launched the war, negotiations remain at an impasse. President Donald Trump’s administration has increased efforts to impose financial pressure on Iran, describing the campaign as an “economic D-Day”.

Tehran said it would withstand US pressure while continuing diplomatic efforts and maintaining what it described as control over the Strait of Hormuz, a strategic waterway through which Iran can disrupt global energy markets.

US sanctions measures

Washington has warned countries to reduce business ties with Iran or face secondary sanctions. The US Treasury Department has not imposed penalties on major Iranian trade partners including China and India, a move that could have repercussions for the US and global economies.

The Treasury imposed sanctions on Egypt’s Banque Misr over business with Tehran and proposed a rule that would block the bank’s branches in the United Arab Emirates from US dollar transactions.

Egypt’s central bank said it and the foreign ministry were in contact with US officials, adding that the measure was limited to Banque Misr UAE’s US dollar transactions with correspondent banks.

Banque Misr said it was reviewing the Treasury notice and that its UAE branch continued to provide banking services in accordance with applicable rules and procedures.

The United States also sanctioned a Hong Kong-based entity and an individual linked to Iran’s Bank Melli, according to a notice published on the Treasury website.