Investing.com -- US Treasury Secretary Scott Bessent stated that the US intends to reduce Iran's oil exports to less than 10% of its current volume. This move is part of President Donald Trump's renewed campaign of "maximum pressure" on Iran's nuclear program.
Bessent expressed the commitment to reduce Iran's oil exports to 100,000 barrels per day, a significant drop from the current 1.5 to 1.6 million barrels per day. This statement was made during an interview with Fox Business on Friday.
Bessent also indicated his readiness to increase sanctions on Russian energy, if directed by the president. Following his comments, oil futures experienced a rise, with Brent crude trading up to 1.1% higher at $75.85 per barrel.
Bessent pointed out that oil revenues are facilitating Iran to support "terrorist activities around the world". He expressed concern over countries like China and India purchasing the sanctioned Iranian oil, calling it "unacceptable".
According to Bessent, the reduction of exports to 100,000 barrels per day will put Iran under "severe economic distress". He also mentioned that Iran's economy is currently "quite fragile" due to "massive inflation" and a "gigantic budget deficit".
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