Trump’s threat of new sanctions deepens fears of unrest in Iran

Iran’s leadership is increasingly concerned that Donald Trump’s threat of tougher economic pressure could intensify hardship, revive nationwide unrest and further weaken the Islamic Republic’s legitimacy, even as Tehran projects resilience after months of war with the United States. Trump said on Friday that he would hit Iran hard economically, after Treasury Secretary Scott Bessent said a day earlier that Washington could impose measures on Tehran that have “never been seen” as early as next week, though U.S. officials have not detailed what those steps would include. The concern comes as Iran faces war-related damage on top of long-standing economic strain from sanctions, inflation, a weakening currency, energy shortages and structural weaknesses. Iranian officials cited by Reuters said domestic pressure is mounting after infrastructure damage, disrupted trade, lost production and rebuilding costs. Inflation data underline the strain: Iran’s annual inflation rate reached 66% in July, consumer prices were 87.9% higher than a year earlier, and food inflation hit 128%. Officials and former insiders said the greater risk for the authorities may be that worsening living conditions trigger another wave of protests. The appointment of Hossein Taeb to lead the Basij (paramilitary volunteer militia) was described by a former reformist official as a sign of concern over renewed unrest. Residents described cancelled projects, layoffs, shrinking wages and cuts to basic food consumption, while President Masoud Pezeshkian said last week that Iran’s problems had multiplied and income had fallen. Trade has become more expensive as goods move through longer routes, and lawmaker Reza Sepahvand said the blockade had effectively cut off gasoline imports while daily output stood at about 130 million litres against consumption of 137 million litres.

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Trump’s threat of new sanctions deepens fears of unrest in Iran - CoinPost Terminal