The US is preparing to unleash “financial violence” against Iran by rolling out new secondary sanctions every week, with banks first in line, Treasury Secretary Scott Bessent has said. Foreign banks dealing with Iranian funds could ultimately be cut off from the dollar-based financial system.

The renewed economic pressure comes as US and Iranian forces exchanged strikes for the first time since late July.

On Sunday, Washington struck two Iranian rocket launchers on Larak Island near the Strait of Hormuz, claiming the Islamic Republic’s forces were preparing to fire rockets carrying sea mines into the waterway, which handles around 20% of global crude oil trade. Tehran said several soldiers and civilians were killed. Iran retaliated early on Monday, with the Islamic Revolutionary Guard Corps (IRGC) claiming “significant damage” to two US military bases in Jordan.

Speaking to reporters on Sunday ahead of a G20 finance meeting in Asheville, North Carolina, Bessent said Washington plans to impose new secondary sanctions on Iran. “You’re going to see a lot more of these every week,” he said, adding that banks would be targeted first.

The Treasury chief said he would urge G20 officials to sever economic links with Iran or risk US secondary sanctions themselves. “There can be no leakage,” he said, warning: “You’re either with us or you’re with the Iranians.”

Bessent said Washington plans to target an unidentified bank this week as part of the pressure campaign, warning that the White House is prepared to use “financial violence if we have to.”

The push follows Treasury action on Friday targeting the UAE operations of Banque Misr, Egypt’s second-largest bank. US officials proposed cutting its Emirati branches off from correspondent accounts after claiming they processed around $1.8 billion for companies allegedly tied to Iran’s shadow-banking network between January 2024 and June 2026.

The move is part of Operation Economic Outcast, launched by the administration of US President Donald Trump earlier this month to isolate Iran financially and expand the threat of secondary sanctions against foreign companies doing business with Tehran.

The campaign could put particular pressure on China, Iran’s largest trading partner and leading oil buyer before the war. Beijing has opposed Washington’s secondary sanctions, insisting its trade with Iran is lawful and warning against US measures targeting Chinese entities.

Russia has also rejected the US pressure campaign. Foreign Ministry spokeswoman Maria Zakharova said last week Moscow “categorically” opposes unilateral sanctions and would coordinate with Tehran and other countries to counter Washington’s latest restrictions.