Iran Threatens Retaliation as U.S. Expands Sanctions Regime

Iran vowed retaliation on August 25, 2026, threatening military action and reduced Gulf oil exports, after the U.S. launched "Operation Economic Outcast" — broadening sanctions (trade restrictions meant to pressure a government) on Iran's military, weapons procurement, and petroleum trade. The operation extends a 2026 campaign targeting Iran's shadow banking network, 100-plus oil vessels, and proxy financing channels.