U.S. Treasury Secretary Janet Yellen said the Biden administration has not ruled out imposing new sanctions on Iran as a result of renewed conflict in the Middle East, but no decision has been made.
Following the escalation of the Israeli-Palestinian conflict, there has been speculation about whether the United States will tighten restrictions on Iranian oil exports. The United States has been acquiescing to a surge in Iranian oil exports since late 2022, as it tries to negotiate informally with Iran. However, as the Israeli-Palestinian conflict escalates, the United States, a staunch ally of Israel, may once again tighten sanctions on Iranian oil.
After the outbreak of the new Israeli-Palestinian conflict, Israeli officials claimed that Iran was aiding the military operations of the Palestinian Islamic Resistance Movement (Hamas). Iran has denied the allegations. The White House has also said there is no evidence linking Iran to attacks on Israel.
"I wouldn't rule out any actions that might be taken in the future, but I certainly don't want to go any further than we are at this point," Yellen told a news conference this week at the International Monetary Fund and World Bank annual meetings in Fall 2023.
Ms Yellen added that the US was now focused on the humanitarian side of the crisis.
According to the latest news released by the Israeli military and the Palestinian Ministry of Health on the 11th, the outbreak of a new round of Israeli-Palestinian conflict has killed at least 2150 people.
On the 9th, Israeli Defense Minister Yves Galant announced that he had instructed the Israeli army to "complete the blockade" of the Palestinian Gaza Strip. Israeli Energy Minister Peter Katztong said on the 9th that he had ordered Israel to cut off the water supply to the Gaza Strip.
Ms Yellen played down fears that the Israeli-Palestinian conflict could hit the global economy. "We are monitoring the potential economic impact of the crisis, but I do not think it is likely to be a major influence on the global economic outlook," she said.