Iranian President Admits US Sanctions Severely Impacting Economy

Iranian President Masoud Pezeshkian acknowledged on Friday that U.S. sanctions and a naval blockade are severely impacting Iran's economy, marking a significant shift from his defiant stance just days earlier. In a state television interview, Pezeshkian stated, "We are in a war situation, and we must accept these wartime conditions," directly countering hardline officials who have claimed sanctions have no effect. The admission comes six months into a conflict initiated by the United States and Israel, and follows the unveiling of what the U.S. administration has termed an "economic D-Day" campaign. U.S. Treasury Secretary Scott Bessent announced the intensified pressure earlier in the week, describing a sustained economic warfare effort now in full effect. Pezeshkian revealed that Iran's imports and exports have fallen by 25 to 35 percent due to the ongoing U.S. naval blockade of Iranian ports. As evidence of the strain, Pezeshkian pointed to growing lines at gas stations and proposed a politically sensitive measure to address a domestic fuel shortage. He suggested doubling the price of the third-tier gasoline quota from 5,000 tomans to 10,000 tomans per liter.