The proposal follows Trump’s remarks that he is considering a larger military operation against Iran if the conflict intensifies.
U.S. President Donald Trump stated Thursday that any damage caused to ships, cargo, or other related property will be compensated for with Iranian funds under U.S. control, in a new warning directed at Tehran as tensions between the two countries continue to escalate.
“From now on, all damages caused to ships, cargo, or any other related property will be paid with Iranian funds held and controlled by the United States,” Trump stated in a post on his Truth Social account, in which he justified the measure as “fair and equitable” although he acknowledged that the damages could be substantial.
President Trump did not specify which Iranian assets would be used to cover any damages, nor did he outline the legal mechanism that would authorize such action.
As part of its sanctions policy, the United States continues to freeze assets and funds linked to the Iranian government as part of its sanctions regime against Tehran, although no official figure has been released for the total amount currently under U.S. control.
According to the Treasury Department, while most funds are held outside of the United States, the restrictions have also limited Iran’s access to tens of billions of dollars in revenue. Access to said funds is a key element of the memorandum of understanding between Tehran and Washington to end the war. The eventual release of the funds would provide significant relief to an economy strained by years of sanctions and internal isolation.
Previously, Trump stated that he is considering the possibility of launching what he described as a “massive attack” against Iran, potentially surpassing the military operation that began on February 28 and triggered the current war.
In a brief phone interview with the online news outlet Axios, the U.S. president said he has nt reached a final decision.
“I am considering a massive attack—the largest ever. I am close to making a decision. We are all prepared,” said the president.
The United States and Iran have been engaged in 13 days of fighting since the ceasefire broke down, renewing concerns over maritime security and commercial shipping through the Strait Hormuz.
