US Launches "Operation Economic Outcast," Threatens Chinese Banks With Secondary Sanctions Over Iran

On August 24, 2026, the US Treasury launched "Operation Economic Outcast," which Treasury Secretary Scott Bessent called "the single greatest financial offensive ever" against Iran. Bessent warned that "no one was above the reach of US sanctions" when asked about Chinese banks — the first explicit threat of secondary sanctions against them. China, which buys over 80% of Iran's shipped oil, vowed "all necessary measures" to protect its rights.