Iran vows to retaliate after US widens sanctions

Iran promised to retaliate against expanded U.S. sanctions that the Americans said would cut Iran's economic lifeline, with Tehran expressing confidence that major trading partners would resist Washington's pressure campaign.



U.S. Treasury Secretary Scott Bessent unveiled the measures on Monday but stopped short of the most punishing sanctions, saying countries that continued trading with Iran risked being forced out of the dollar-based financial system.



Bessent declined to identify the countries that would be targeted or reveal when the penalties would take effect, saying he would instead give them time to comply with the new directive.



The Treasury Department did announce new sanctions on 60 individuals, entities and vessels, but the list did not feature any of the Chinese financial institutions suspected of facilitating Iran's oil trade.



Before the news, Iran threatened both a possible military response and further reduction in oil exports from the Gulf in retaliation for any U.S. economic measures.



After they were unveiled, Iranian Economy Minister Ali Madanizadeh said, "We are fully prepared for the U.S. sanctions."