Updated January 16, 2026 — 7:08am
Washington: In a strategic move to intensify pressure on Tehran, President Donald Trump has announced sanctions targeting 18 Iranian officials and entities accused of laundering oil revenues. This decision comes as Trump refrains from military intervention despite ongoing widespread protests in Iran.
The sanctions notably include Ali Larijani, secretary of Iran’s Supreme Council for National Security, whom the US accuses of advocating violence to suppress the protests. This development follows intense diplomatic efforts by Arab states, including Saudi Arabia, Qatar, Egypt, and Oman, urging the US to avoid military strikes.
Diplomatic Efforts and Regional Reactions
The decision to impose sanctions rather than military action comes amid reports of Arab states engaging in diplomatic negotiations with the US. A Gulf official, cited by Reuters, noted, “Things have de-escalated for now. The US is giving time for talks with Iran and to see where they go from here.”
Meanwhile, Canada’s Foreign Minister Anita Anand reported the death of a Canadian citizen at the hands of Iranian authorities during the protests, though details remain scarce.
Economic Pressure and Humanitarian Concerns
US Treasury Secretary Scott Bessent emphasized the effectiveness of the sanctions, stating, “Our sanctions efforts have been effective in slashing oil exports and cutting revenue. The currency and living conditions [in Iran] are in freefall.”
“The central bank is broke and printing money. Hyperinflation is next … The regime has chosen to squander what remains of the nation’s oil revenues on nuclear weapons development, missiles, and terrorist proxies around the world.”
Bessent reiterated Trump’s support for Iranian protesters, highlighting the administration’s commitment to their cause. Human Rights Activists in Iran report that the death toll from the protests has surpassed 2,600.
Military Posture and Strategic Calculations
Despite expectations of US military strikes, the situation shifted when Iran closed its airspace to most international flights, and the US evacuated some military personnel from regional bases. Trump softened his stance, citing reports that Iran had ceased executions of political prisoners.
White House press secretary Karoline Leavitt confirmed that planned executions were halted, but did not comment on the influence of Arab states or Israeli Prime Minister Benjamin Netanyahu, who reportedly urged Trump to delay military action.
“There’s been a lot of speculation about what the president is going to do,” Leavitt said. “Only President Trump knows what he’s going to do – and a very, very small team of advisers are read into his thinking.”
Protests and International Observations
Reports from Iran suggest a decline in protest activities, though verification is challenging due to communication blackouts. The Associated Press noted quieter streets in Tehran, with fewer signs of recent unrest.
Some US officials, including interventionist Senator Lindsey Graham, remain confident in potential military action, suggesting it’s a matter of timing and scale. Eurasia Group president Ian Bremmer pointed to Gulf states’ interventions as pivotal in Trump’s decision-making process.
“The Turks were also very sceptical and opposed, and they sent those messages to Trump,” Bremmer said, highlighting the complex geopolitical landscape influencing US strategy.
Future Implications and Diplomatic Opportunities
In a video message, Bessent extended an olive branch to Iranian leaders, suggesting there is still time for cooperation. “Stop the violence and stand with the people of Iran,” he urged.
The situation remains fluid as the international community watches closely, with potential diplomatic breakthroughs or escalations on the horizon.
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With AP, Reuters