New Escalation Between US and Iran Amid Threats of 'Strangling' Sanctions on Tehran

A US official said American forces struck two missile launch sites on Iran’s Larak Island on Sunday, marking the first known US airstrikes on Iran since late July.

This small Iranian island, located in the Strait of Hormuz near the strategic port of Bandar Abbas, overlooks maritime shipping lanes at the mouth of the Gulf, giving it a key role in tensions related to Iran, maritime security, and global energy supplies.

Iranian media reported that Iran responded by launching attacks on two US bases in Jordan.

The renewed fighting comes weeks after President Donald Trump’s administration intensified efforts to punish Tehran and its trading partners through costly economic sanctions, avoiding military options.

US Treasury Secretary Scott Bessent told Reuters on Sunday that additional secondary sanctions are likely to be announced weekly as part of efforts to pressure Iran, initially focusing on banks.

Bessent said in an interview: "We start with banks, and we tell them it is unacceptable to hold Iranian funds or to assist the Iranian regime."

After imposing sanctions on branches of Egypt’s Bank Misr in the UAE over alleged financial ties to Iran, Bessent said the next step could involve completely isolating a financial institution from the dollar-based global financial system.

Bessent told Reuters before a meeting of finance ministers and central bank governors from the G20 nations: "You will see more of these measures every week."

First strikes in weeks

In describing the first known US military strikes since late July, a US official said forces targeted two Iranian missile launch sites on Larak Island.

The source added: "Islamic Revolutionary Guard Corps forces were seen preparing to launch sea mines-laden missiles toward the Strait of Hormuz."

In response, Iran launched ballistic missiles at Jordan, targeting two US bases. The state television reported that Jordan’s armed forces intercepted eight missiles entering their airspace.

Official Iranian media reported that the Revolutionary Guard stated the attack resulted in the deaths and injuries of several soldiers and civilians, and vowed "retribution and punishment" from Tehran.

In a statement, US Central Command said it took "limited and precise" actions against Iranian Revolutionary Guard mine-laying forces that posed an "imminent threat" in the Strait of Hormuz. No further details were provided.

Fast retaliation

Following the US strikes, a Fox News correspondent reported on Sunday, citing a US source, that Iran attacked a US military base in Jordan.

The reporter said on his X account that nearly all incoming missiles "have been intercepted up to this point," noting there was no significant impact.

Amid threats to maritime navigation, shipping data showed the number of commodity vessels observed passing through the Strait of Hormuz dropped to just five per day early this week.

The actual number may be higher, as some ships have disabled their automatic identification systems to avoid attacks.

Last week, President Donald Trump said all mines had been detonated or removed from international waters of the strait, and warned Iran that any ship placing new mines would be destroyed.

While Trump repeatedly affirmed the Strait of Hormuz remains open, the Islamic Revolutionary Guard Navy described those statements as "a blatant lie," reiterating that the strait remains closed to ships without Iranian authorization.

This waterway previously carried nearly one-fifth of global crude oil and liquefied natural gas shipments before being closed during the ongoing regional conflict for the past six months.