Trump officials claim Iran is ‘weaponising global trade’
The United States’ most senior military officer has warned that Iran’s sustained assault on commercial shipping threatens to destabilise the world economy, accusing the country’s leadership of deliberately weaponising the global supply chain.
General Dan Caine, the former venture capitalist currently serving as chairman of the US joint chiefs of staff, made a stark intervention on Tuesday, declaring that Iran had “repeatedly threatened and attacked commercial shipping” over the past seven weeks.
He said Iranians had engaged in a calculated campaign to inflict maximum economic damage.
“Iran is weaponising the global supply chain,” Caine said, adding that Tehran was attempting to “hold the entire global economy hostage.”
The comments mark a significant escalation in rhetoric from Washington and come as the US pushes forward with what officials have dubbed Project Freedom — a military-backed operation to keep the Strait of Hormuz open to international trade.
The strait is one of the world’s most critical maritime chokepoints, through which roughly a fifth of global oil supplies passed each day up until March.
The sustained disruption to traffic through the stretch of water has sent energy prices surging and compounded already fragile supply chains.
US ‘not looking for a fight’ with Iran
US officials have ramped up threats against the Iranian regime after an exchange of fire between the two countries over the weekend in the region shattered hopes of an imminent peace deal.
War secretary Pete Hegseth, who spoke alongside Caine, issued a direct warning to Tehran, saying Iran would face “overwhelming US firepower” should it attempt to interfere with the operation.
He said the US was “not looking for a fight” but that the country was attempting to “subjugate the world”.
He urged allied nations to “step up” and join Washington in forcing Iran to open the strait.
Oil prices have jumped by more than 50 per cent since the war started, with the Brent crude oil benchmark trading at around $111 per barrel.
The FTSE 100 and European indices dropped on Monday morning amid fears of the war dragging on.
Blackrock Investment Institute analysts said the strong run in corporate earnings among tech firms, which are splashing out on AI, had helped drive a recent surge in prices across the S&P 500 index.
But researchers said US equities “won’t be insulated” from disruption across the Strait, leading to a potential downturn in valuations.