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diplomacyAug 17, 2026

US Navy blockade has caused Iran’s oil exports to crater — and could finally destablile regime: expert

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US Navy blockade has caused Iran’s oil exports to crater — and could finally destablile regime: expert By Published Aug. 17, 2026, 5:32 p.m. ET See more of our coverage in your search results.Add The New York Post on Google Iran’s oil exports have dropped to nearly zero under the renewed US naval blockade, according to analysis from a former senior US Treasury official — who predicts that the economic impacts could hit the elite and destabilize the regime within two to three months. Iran’s ability to ship oil out of the Strait of Hormuz to offset its current economic woes has hit a wall under the new blockade, with little to no activity seen at its Kharg Island hub, according to recent satellite images. As Iran and the US attempt to use economic pressures to see who will blink first, Miad Maleki, who served in the Treasury under President Trump and Joe Biden, said Tehran’s regime will finally run out of room to maneuver this fall. “The blockade has exposed Iran’s biggest economic vulnerability,” said Maleki, who now works at the Foundation for Defense of Democracies think tank. “Iran’s oil clock is running down and the real fiscal shock is going to hit in the fall when all their payments come due,” he added. Iran notably pays its troops, government employees, security forces and industrial workers in cycles, with about 60% of the money coming from its oil exports, Maleki said. If its exports continue to be hamstrung in the next cycle, the regime will have few options to shield its soldiers and elites from the economic shock. While the regime has proven that it can endure economic pains suffered by everyday citizens, its attitude will likely change once members of the Islamic Revolutionary Guard Corps and the wealthy elite start complaining, Maleki said. Trump, who has previously boasted that Iran has no money to pay its troops, signaled that he would maintain full economic pressures on Iran. Treasury Secretary Scott Bessent has also threatened more penalties to come for the Islamic republic. Bessent warned that the so-called Operation Economic Fury would roll out additional measures after already taking increasingly aggressive actions to sanction money-changers, cryptocurrency and other sources of revenue for Iran. The goal is be to hit Iran with “economic isolation like the world has never seen before,” he told Newsmax’s Rob Schmitt last week. Iran, meanwhile, believes it can outlast the US in a game of economic chicken as the war has also taken its toll on America’s economy and created some backlash against the president. Oil prices have remained stubbornly high as the Strait of Hormuz remains closed, with Brent crude, the international benchmark, hitting about $90 per barrel on Monday. The average price of gas has also remained above $4 per gallon in the US in recent weeks, according to AAA.

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  • Ronny ReyesBy Ronny Reyes

    US Navy blockade has caused Iran’s oil exports to crater — and could finally destablile regime: expert By Published Aug. 17, 2026, 5:32 p.m. ET See more of our coverage in your search results.Add The New York Post on Google Iran’s oil exports have dropped to nearly zero under the

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Trump says no talks underway with Iran, Hormuz blockade remains in place US president says no discussions are taking place or planned with Tehran and reiterates that the naval blockade of the Strait of Hormuz remains fully operational Washington: US President Donald Trump said on Tuesday that no talks are taking place with Iran and that no discussions are currently scheduled between the two countries.

In a post on his Truth Social platform, Trump also said the naval blockade of the Strait of Hormuz remains "in full force and effect." The president did not provide further details regarding US policy towards Iran or any potential future diplomatic engagement.

Trump's comments come amid continued tensions between Washington and Tehran and renewed focus on security and navigation through the Strait of Hormuz, one of the world's most important oil shipping routes.

Location: Tehran
diplomacyUnverifiedUSIran
1 source

Iranian Foreign Minister Abbas Araghchi said Tuesday that Iran had “won both the war and diplomacy,” claiming those who initially sought Tehran’s “unconditional surrender” later sought negotiations. Speaking at an event, Araghchi said Iran resisted for days against what he described as “the world’s largest apparent military,” alongside another army claiming military power and with the support of nearly all Western countries and some other states inside and outside the region, according to the Tasnim news agency.

“Those who were seeking unconditional surrender, shortly after the war began, begged for negotiations,” Araghchi said. He claimed Tehran initially rejected a ceasefire and continued fighting until reaching a point where the other side accepted a ceasefire and negotiations “on Iran’s terms.

” “We fought with strength, and we negotiated with strength,” he said, adding that many foreign ministers had told him: “You won both the war and diplomacy.” Araghchi’s remarks came after US President Donald Trump called on Iran on Monday to give up and “raise the white flag.

Location: Tehran
diplomacyUnverifiedUSIran
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- Iran demands US lift sanctions and return frozen assets to reopen Strait of Hormuz - Iran's Parliament Speaker warns closure of Strait continues until US ends military threats - Around 20% of global oil supply passes through the Strait, impacting energy security Iran has warned that the Strait of Hormuz will remain closed until the US meets a set of conditions, including the release of frozen Iranian assets, an end to oil sanctions and what Tehran describes as a US blockade and military threats.

Al-Arabiya English reported that Iran's Parliament Speaker and top negotiator Mohammad Bagher Ghalibaf said the Trump administration must meet the conditions before Tehran considers reopening the strategic waterway. “Until the Trump regime removes the blockade, ends the wars across the region, returns Iran's stolen assets, lifts the oil sanctions, and ceases its military threats, the Strait of Hormuz will remain closed,” Ghalibaf said.

Until the Trump regime removes the blockade, ends the wars across the region, returns Iran's stolen assets, lifts the oil sanctions, and ceases its military threats, the Strait of Hormuz will remain closed. pic.twitter.com/fl2RrKnT1R— Seyed Mohammad Marandi (@s_m_marandi) August 18, 2026 Ghalibaf also warned that Iran was prepared to respond more forcefully depending on the actions of its adversaries.

ALSO READ: 'We Control Hormuz': Trump To Declare Strait As US Territory? Here's What President Says The comments add a new condition to an already fragile diplomatic environment, with the Strait of Hormuz at the centre of concerns over global energy supplies.

Around one-fifth of global oil supply typically passes through the waterway, making any prolonged disruption a major risk for crude markets, shipping and energy security. Earlier, Press TV reported that Ghalibaf is scheduled to travel to Baghdad on Wednesday at the head of a high-level Iranian delegation for discussions with Iraqi leaders.

The talks are expected to cover regional developments and bilateral cooperation, including border security, counterterrorism, economic ties and implementation of existing agreements. Iraqi media have also reported that the agenda could include a proposal concerning Iraqi oil exports through the Strait of Hormuz.

The visit comes as regional governments grapple with the implications of continued disruption in one of the world's most important energy corridors. ALSO READ: Hormuz Tensions: Another Ship Hit By Unknown Projectile, Says UKMTO Centre The security situation in the waterway has also remained tense.

The UK's Maritime Trade Operations agency, or UKMTO, said a vessel reported being struck by an unknown projectile while conducting an outbound transit of the Strait of Hormuz. “The Company Security Officer has reported that the vessel was struck by an unknown projectile while conducting an outbound transit of the Strait of Hormuz,” UKMTO said.

The impact damaged the vessel's engine room and resulted in a crew casualty, the agency said. The remaining crew was being assisted by the Omani coastguard. Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.

Location: Tehran
diplomacyUnverifiedUSIran
1 source

Iranian Foreign Minister Abbas Araghchi said Tuesday that Iran had “won both the war and diplomacy,” claiming those who initially sought Tehran’s “unconditional surrender” later sought negotiations, Anadolu reports. Speaking at an event, Araghchi said Iran resisted for days against what he described as “the world’s largest apparent military,” alongside another army claiming military power and with the support of nearly all Western countries and some other states inside and outside the region, according to the Tasnim news agency.

“Those who were seeking unconditional surrender, shortly after the war began, begged for negotiations,” Araghchi said. READ: Iran’s IRGC dismisses Trump’s claim of backchannel talks as ‘lies’ He claimed Tehran initially rejected a ceasefire and continued fighting until reaching a point where the other side accepted a ceasefire and negotiations “on Iran’s terms.

” “We fought with strength, and we negotiated with strength,” he said, adding that many foreign ministers had told him: “You won both the war and diplomacy.” Araghchi’s remarks came after US President Donald Trump called on Iran on Monday to give up and “raise the white flag.

Location: Tehran