Iran rejects Trump's economic threat as Middle East tensions widen

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The developments underscored how tensions over Israel, Syria and key sea routes are colliding with diplomatic efforts.Advertisement.pagenode__2684512 #comment_box{display:none}.section__education .description.paywall .elec_stripe_iFrame {display: none;}.dark-mode .livetv__sticky svg path{stroke: #fff;} .dark-mode .livetv__sticky svg text{fill:#fff}.tbl-read-more-box {z-index:991 !important}.airtel_5g{width:0px !important;height:0px !important;}table .shopping__widget {display:none}table .inline_ad2 {display: none;}.trinity__container{display: none;} .autiostory a{display: none !important}.description table{max-width:100%;border: 0;margin-bottom: var(--widgetgap);} table tr td #teads-ad{display:none}table tr td .ads__container{display:none}ul>li div#shoppingWidgetLSH{display:none}ul>li div#shoppingWidget_mobile{display:none}.Story_story__content__body__qCd5E .Story_description__fq_4S>ul>li:has(.inline-story-add) div { display: none; }.pagetype__story ul li #checktheseout2{display: none}.newspress_rhs_widget .mframe { background: url(https://akm-img-a-in.tosshub.com/sites/misc/img/iphone-frame.png); }.ads_container .top_ad>* * { text-align: center; margin: 0 auto; }.ite_mg_banner:nth-of-type(2) { display: none; } .pagenode__2672529 .inline_ad2{display:none}Representative imageIndia Today World DeskDubai,UPDATED: Aug 20, 2026 17:51 IST .ai_assist_bar2 { top:30px } Iran on Thursday rejected US President Donald Trump's threat of tougher economic action, as a series of developments across the wider Middle East kept regional tensions in focus. The day also saw fresh criticism of Israel over a settlement project in the West Bank, while Syria's foreign minister travelled to Pakistan for talks expected to centre on regional issues. Turkey, meanwhile, denied that one of its military delegations had visited a Syrian air base before it was hit by Israeli strikes. Pakistan said the bodies of two of its nationals killed in a Houthi attack had been brought home, and Oman stressed that safe passage through the Strait of Hormuz depends on peace and restraint in the region. Iranian Foreign Minister Abbas Araghchi dismissed what he called Washington's "failed policies" after Trump threatened "crushing economic measures" against Tehran and promised "Economic Warfare and Isolation on an unprecedented scale" without giving many details. In a social media post, Araghchi said such threats would stir more hostility among Iranians and "bring more failures". He also said the threats were meant to divert the attention of the US public from domestic financial problems, adding that US "economic terrorism threatens the global economy and the national sovereignty of countries around the world". In another development, several countries criticised a new Israeli step in a long-running settlement project near Jerusalem that critics say would effectively split the occupied West Bank in two and prevent a contiguous Palestinian state. Israel's Ministry of Construction and Housing issued a tender for several compounds with more than 1,200 homes on open land east of Jerusalem. British Foreign Secretary Ed Miliband called the tender's publication "an unacceptable and destructive act" and also condemned "settler violence and terrorism". He said Britain had "demanded an immediate reversal" and had summoned the Israeli Charge d'Affaires. Egypt and Jordan also condemned the move, with Cairo saying it would isolate east Jerusalem from its Palestinian surroundings. Israeli Foreign Minister Gideon Saar defended "the historic right of the Jewish people to reestablish their national home in the Land of Israel -- including in the area in question" and accused Britain of "blaming only Israel while ignoring Palestinian extremism". Turkey denied Syrian statements that a Turkish delegation had visited the Abu Duhur air base in northern Syria before it was struck by Israel early on Tuesday. The Israeli attack caused damage but no casualties. Prime Minister Benjamin Netanyahu's office said the strike was carried out because Syria was "on the verge of breaching" an agreed "status quo in security matters" by allowing Turkish troops to deploy there. Turkey's defence ministry said, "We state that no Turkish military delegation was present at the base before or during Israel's strike on the Abu al-Zuhur air base," and added that Ankara would continue to support Syria's infrastructure and military capacity-building efforts. The strike was condemned by Turkey, Syria and a number of Arab countries. Syria's Foreign Minister Assad al-Shibani arrived in Islamabad for talks that Pakistan's foreign ministry said were expected to focus on regional issues. The visit came days after the Israeli strikes on the northern Syrian air base. Pakistani officials have said the country's political and military leadership remains in contact with both Iran and the United States as part of efforts to reduce tensions and restart talks after a 60-day deadline under a June memorandum of understanding expired. The agreement had been brokered by Pakistan with help from regional countries. Pakistan also said the bodies of two Pakistani crew members killed in last week's Houthi attack on a Tanzanian-flagged commercial vessel in the Bab el-Mandeb Strait had been repatriated. Foreign Minister Ishaq Dar said six injured Pakistani sailors had also returned safely. He thanked Saudi Arabia's foreign ministry for its cooperation, including medical assistance, and said, "Pakistan condemns the attack in the strongest terms and reiterates that the safety and security of seafarers must be ensured at all times." On maritime security, Omani Foreign Minister Badr al-Busaidi said safe passage through the Strait of Hormuz was "inseparable from the security and prosperity of the wider region". Speaking alongside his Japanese counterpart, he said lasting security in the waterway required "lasting peace in the region", which could be achieved only through restraint and sustained diplomacy. Earlier this week, Iran said it had reached an understanding with Oman on a framework for ship transit through the strait and that both sides were working to finalise the details for a joint statement. Shipping has been disrupted and the strait has been virtually closed since the Iran war began on February 28. Overall, Thursday's developments reflected the many fronts on which tensions are playing out in the Middle East, from US-Iran exchanges and the West Bank to Syria, maritime routes and diplomatic efforts involving Pakistan and Oman. With PTI Inputs- EndsPublished By: India Today Web Desk Published On: Aug 20, 2026 17:51 IST Also WatchUS envoy calls Kashmir important part of India. The reality Pakistan must admitSatyendar Jain, Azam Khan in ED net. 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