U.S. Treasury Secretary Scott Bessent announced on August 31 and September 2, 2026, that the Trump administration is expanding its economic pressure campaign against Iran, targeting airlines, maritime industries, and digital assets as part of Operation Economic Outcast. The measures aim to further isolate Iran’s economy following discussions at the G20 finance ministers’ meeting in Asheville, North Carolina.
Operation Economic Outcast gains momentum
Bessent stated that allies of the U.S. have pledged support for the effort to economically isolate Iran, describing the country as being in ‘economic death throes’ and nearing a point where it may seek a deal. He emphasized that the operation seeks to ‘asphyxiate’ Iran’s economy by severing its economic ties with the outside world. While Bessent did not specify the nature of allied support, he noted that ‘many’ partners agreed to take necessary actions during the G20 talks.
New targets: Airlines, digital assets, and maritime sectors
In a September 2 interview with Fox News, Bessent detailed additional sectors under scrutiny, including airline leasing companies, maritime firms, and digital asset platforms. He warned that the administration would ‘systemically’ target financial institutions and entities supporting Iran, citing recent sanctions against an Egyptian bank’s Dubai branches for providing $1.8 billion to Iran since 2025. Bessent also reiterated that the U.S. does not require Chinese cooperation to succeed, as it can block Iran from converting Chinese yuan into USD.
Warnings to Iran’s backers
Bessent issued a stark warning to Iran’s global supporters, stating that the U.S. would ‘put out of business’ any entity aiding Tehran. He specifically called out Russian President Vladimir Putin for pledging support to Iran, describing such actions as prolonging conflict. The Treasury Secretary also criticized U.S. media coverage of the conflict, alleging that it inadvertently aids Iran by skewing public perception.
Economic distress in Iran cited as key factor
Bessent highlighted signs of Iran’s economic collapse, including hour-long gas lines, a collapsing currency, inflation exceeding 100%, and unpaid military salaries. He asserted that the U.S. controls the Strait of Hormuz, contradicting claims of Iranian dominance, and noted that recent strikes targeted radar systems along the strait. While Bessent acknowledged that regime collapse is not the explicit goal, he stated that the administration is determined to ensure Iran ‘will not survive in situ’ as it currently exists.
China’s role and U.S. strategy
Bessent described discussions with Chinese officials as ‘productive’, noting mutual agreement on preventing Iran from obtaining a nuclear weapon. However, he clarified that no specific agreement on the Strait of Hormuz had been reached. The U.S. maintains that it can proceed with Operation Economic Outcast without Chinese support, relying on its ability to block financial transactions involving Iran.
Media criticism and strategic messaging
During a G20 press conference, Bessent accused the U.S. media of being ‘the best allies that the Iranians have’ due to skewed reporting. He countered claims about Iran’s control of the Strait of Hormuz, stating that recent strikes had degraded Iranian radar capabilities and disrupted oil flows. Bessent also reiterated that the administration’s goal is to force Iran to the negotiating table, not necessarily to trigger regime change.
Broader implications and next steps
The Treasury Secretary framed the campaign as a ‘final move’ against Iran after 47 years of the current regime, suggesting that economic pressure could lead to internal unrest or a shift in leadership. While Bessent acknowledged that some observers doubt Iran will capitulate, he maintained that the administration is committed to ensuring the regime ‘does not survive in its current form’. The U.S. has deployed teams from the Treasury, State Department, and Department of Defense to engage with global partners and enforce sanctions.