Treasury Secretary Scott Bessent has a blunt message for Iran: your economy is on the brink, but there's still time to change course. Speaking Monday at the Group of 20 finance ministers' meeting in Asheville, North Carolina, Bessent said Iran's economy could collapse "within weeks or months" as Washington intensifies its sanctions campaign.
But he was quick to clarify the administration's intent. "I think it could be within weeks or months — and the economy doesn't have to collapse, we just have to have the regime come to their senses," Bessent told reporters.
Sanctions Push Iran Deeper Into Crisis
Bessent's comments build on Operation Economic Outcast, the "economic D-Day" campaign Treasury launched Aug. 24 to sever Iran's financial, oil, shipping and trade links. The Treasury chief, who has warned Washington is prepared to use "financial violence if we have to," told Reuters that new secondary sanctions are expected roughly every week, beginning with banks.
Iran is already feeling the squeeze. Reuters reported Saturday that President Masoud Pezeshkian said foreign trade had fallen 35% because of sanctions and the U.S. naval blockade, while annual inflation reached 66%. Treasury also moved to cut Banque Misr's UAE branches off from U.S. correspondent banking, saying the operation processed suspected billions of dollars for Tehran over 2.5 years.
China's Iranian Oil Trade Faces Scrutiny
The campaign also puts China in the crosshairs. According to 2025 data from analytics firm Kpler, China accounted for more than 80% of Iran's shipped oil, making Beijing central to Tehran's remaining export revenues. Bessent has said "all options are on the table" regarding sanctions tied to those purchases, while rejecting claims Washington is reluctant to confront China.
Oil Risks Complicate Bessent's G20 Push
The tougher line carries global risks. Renewed U.S.-Iran strikes pushed Brent crude above $90 a barrel Monday, while traffic through the Strait of Hormuz remains severely disrupted. The waterway handled about one-fifth of global oil trade before the conflict.
Bessent is using the G20 gathering to rally partners behind the sanctions push even as U.S. tariffs and the Iran war strain relations with allies. He said the European Union had offered "fulsome support."
