Iran has vowed to retaliate against expanded United States economic sanctions, which Washington said would cut off Tehran’s economic lifeline. However, Iran expressed confidence that key trading partners would resist the U.S. pressure campaign.

U.S. Treasury Secretary Scott Bessent announced the measures on Monday but stopped short of imposing the most severe sanctions.

He warned that countries continuing to trade with Iran could risk losing access to the dollar-based global financial system.

Bessent did not disclose which countries could face penalties or when the measures would take effect, saying they would be given time to comply with the new directive.

The Treasury Department, however, announced sanctions against 60 individuals, entities and vessels. The measures did not target any of the Chinese financial institutions suspected of helping facilitate Iran’s oil exports.

Ahead of the announcement, Iran had threatened a possible military response and warned that it could further reduce oil shipments from the Gulf if Washington imposed additional economic measures.

Nearly six months have elapsed since the United States and Israel launched military strikes against Iran.

Although the conflict has weakened much of Iran’s conventional military capabilities, deepened economic pressures and killed then-Supreme Leader Ayatollah Ali Khamenei, Tehran still retains sufficient missile and drone capabilities to strike Gulf neighbours and threaten oil tankers transiting the Strait of Hormuz.

The current status of Iran’s nuclear programme, which the United States and Israel have sought to destroy, remains unclear.