Iran threatens US with new ‘economic warfare’ and missiles as Houthis attack Saudi Arabia
Iran has threatened the United States with “economic warfare” and claimed to have fired an advanced Qassem Basir ballistic missile at U.S. warships near the critical Strait of Hormuz. While the U.S. military reported that its vessels successfully evaded the attack, Iranian officials warned they will soon establish a “maritime exclusion zone” in the Persian Gulf and place sanctions on any ship entering the area. Despite severe U.S. military strikes—including recent attacks on Iranian oil tankers—Iran continues to use its remaining missile and drone capabilities to disrupt global energy shipments moving through the strait, aiming to eventually force sanctions relief and collect transit fees from passing vessels.
The conflict is increasingly threatening to spill over across the broader region as diplomatic efforts remain stalled. In Saudi Arabia, an attack by Iran-backed Houthi rebels wounded 73 people, signaling heightened risks for neighboring countries that host U.S. military bases. Meanwhile, the ongoing shipping disruptions in the Strait of Hormuz, a key shipping route for one-fifth of the world’s oil and natural gas, have driven up global energy prices.
This rise in gas prices creates political pressure in the U.S. ahead of the November congressional elections. President Donald Trump, who launched “Operation Epic Fury” in February to dismantle Iran’s nuclear program and undermine its government, claimed on social media that oil prices will plummet once the war is won. However, despite U.S. strikes and harsh economic sanctions damaging Iran’s economy, Tehran’s clerical leadership remains in power and continues to resist American military and economic pressure.
