Iran braces for new US sanctions as Tehran weighs options

The US is expected to announce new sanctions against Iran on Monday, with Treasury Secretary Scott Bessent unveiling measures designed to "squash" the Iranian economy and "collapse" the government, following President Donald Trump's warning of an "economic D-Day." The new measures could expose banks, oil buyers, shipping companies, and governments facilitating Iranian trade to secondary sanctions, though analysts say they are unlikely to change Iran's behavior. Iran has developed a complex sanctions-evasion system including a shadow tanker fleet, ship-to-ship oil transfers, and alternative payment mechanisms, while the Iranian rial hit a new all-time low of 2.03 million against the US dollar on Monday. Iranian officials have responded defiantly, with military commanders warning of aggressive action in the Strait of Hormuz if the economic war continues. Iran has increased trade with China, Russia, and regional partners to mitigate the impact, but analysts note that even China has limits due to its banks' exposure to the US financial system.