Iranian Parliament Speaker Mohammad Bagher Ghalibaf mocked US Treasury Secretary Scott Bessent’s "economic D-Day" warning, dismissing it as unscripted improvisation. The remarks follow Washington’s expansion of secondary sanctions targeting nearly 60 Iran-linked entities.

Ghalibaf criticized Bessent for contrasting the campaign’s aggressive label with claims that the US does not intend to disrupt global finance. He posted on X: "Sir this ain’t Normandy, this is improv night and you forgot your own script."

Bessent Defends Secondary Sanctions Strategy

Bessent described the campaign as an "economic D-Day" during a press conference on Monday. He explained that Washington was providing a "cure period" for countries to remedy bad behavior before imposing secondary sanctions.

He stated, "Why would I want to blow up the global financial system?" while calling secondary sanctions a "very powerful tool." Bessent warned that non-compliant entities could ultimately "leave the dollar system."

The initiative, dubbed Operation Economic Outcast, broadens US sanctions pressure across shipping, aviation, technology, gold, and digital assets.

Iran Hits Back at US Sanctions

Iranian Foreign Ministry spokesperson Esmaeil Baqaei condemned the campaign, accusing Washington of threatening businesses and undermining international law. He argued the US was promoting systemic bullying by forcing banks and governments to choose between obeying Washington or facing sanctions.

Economists Question Iran Sanctions

Economists raised concerns about the strategy’s effectiveness. Justin Wolfers compared the approach to US sanctions against Cuba, noting broad measures could hurt civilians without forcing regime change. Peter Schiff questioned whether delaying harsh secondary sanctions weakened the credibility of the threat.

Mohamed El-Erian observed that Bessent’s remarks confirmed secondary sanctions were central to the strategy, indicating no entity was beyond US reach.

US Treasury Secretary Scott Bessent issued a stern warning regarding the enforcement of secondary sanctions, stating that the measures should not be taken lightly.

He indicated that a new wave of sanctions is expected to follow immediately after the current meeting concludes.

Regulatory Stance

Bessent emphasized the seriousness of the US position on secondary sanctions during his address. The Treasury Department's stance suggests an aggressive approach to compliance in the near term.

Immediate Implications

The warning implies that entities operating outside the US but engaging with sanctioned parties may face immediate consequences. The timing of the announcement suggests a coordinated effort to tighten regulatory oversight.