Iran Warns of Wider Economic Retaliation as U.S.–Israel Attacks Continue

 Iran Warns of Wider Economic Retaliation as U.S.–Israel Attacks Continue

Iran has issued a fresh warning that it may expand its response across the Middle East if military actions by the United States and Israel against the country persist, raising fears of broader economic disruption in the region.

A senior commander of Iran’s Islamic Revolutionary Guard Corps, Ebrahim Jabbari, said Tehran would not limit its response if what he described as Iran’s key centres continue to be targeted. He warned that further attacks could prompt strikes on major economic and energy facilities across the Middle East.

According to Iranian state-linked media, Jabbari stated that Iran is prepared to target regional economic hubs if pressure on the country intensifies. He also claimed that Iran has taken steps affecting shipping through the Strait of Hormuz, a critical route for global oil and gas supplies.

The narrow maritime passage is responsible for the transport of roughly one-fifth of the world’s traded oil and plays a vital role in liquefied natural gas exports from Gulf states, including Qatar and the United Arab Emirates. Any prolonged disruption, analysts warn, could have serious consequences for global energy markets.

Amid rising tensions, oil prices have climbed above $80 per barrel, with some analysts cautioning that prices could rise significantly higher if the standoff escalates. Regional officials have expressed concern about the vulnerability of strategic infrastructure such as power stations, water desalination plants, and energy facilities.

Security experts say the situation marks a shift in the Middle East’s risk landscape, moving from indirect conflicts involving non-state actors toward more direct confrontations between states. Such a shift, they warn, could increase the likelihood of widespread economic and energy instability.

Meanwhile, diplomatic efforts are continuing behind the scenes. European Union foreign ministers are reportedly planning talks with Gulf Cooperation Council counterparts to assess the security and economic implications of the crisis and explore options to prevent further escalation.

With markets on edge and governments closely monitoring developments, observers caution that any miscalculation could have far-reaching consequences well beyond the Middle East.