Trump Admin Threatens 'Harshest Ever' Sanctions on Iran; Tehran Warns of 'Devastating' Retaliation

The Trump administration is preparing unprecedented financial sanctions aimed at intensifying pressure on Iran's leadership, prompting Tehran to warn that any new U.S. threats will trigger a "devastating, punitive and destructive" response.

Iran Threatens 'Devastating' Retaliation

According to a Reuters report, Iranian military officials issued broad threats of retaliation on Friday.

Major General Ali Abdollahi, chief of staff of Iran's armed forces, said the country is prepared to respond across multiple domains.

"Iran's armed forces are prepared on land, sea, air, air defense and cyberspace to respond to new threats from the enemy with a devastating, punitive and destructive response," Abdollahi said, according to Iranian media reports.

Iran retains missile and drone capabilities that could threaten regional targets and disrupt shipping through the strategic Strait of Hormuz.

China and Oil Markets Face Shockwaves

The sanctions could also have consequences beyond Iran.

According to Kpler data, China purchases more than 80% of Iran's seaborne oil, making Beijing a key target of Washington's pressure campaign. China's embassy in Washington rejected sanctions as a solution, stating they cannot resolve issues and urging diplomatic negotiations.

Oil prices rose on Friday as markets assessed the possibility of tighter supply and further disruption around the Strait of Hormuz.

Iranian Parliament Speaker Mohammad Bagher Ghalibaf acknowledged the economic pressure, saying Iran cannot survive without financial activity, economic growth and domestic production.

The U.S. and Iran previously announced a ceasefire agreement aimed at restoring shipping through the Strait of Hormuz, but navigation remains severely disrupted.

U.S. Plans Harshest Sanctions on Iran

These remarks follow U.S. Treasury Secretary Scott Bessent's statement that Washington will impose "the harshest sanctions in history" on Iran, with more details expected to be announced on Monday.

Trump also warned that countries providing Iran with "any form of lifeline" could face economic consequences, as the administration seeks to financially isolate Tehran.

Bessent said the goal is to intensify economic pressure on Iran's leadership, telling CNBC, "We are going to topple this regime."

The new measures come as the U.S.-Iran conflict approaches its six-month mark.