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August 23, 2026

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Analysis

UAE-Iran trade relationship becomes key test of Trump’s wartime strategy

The Gulf state suspended trade with Iran after new attacks in August. Experts point to risks for both sides as the Trump administration seeks to squeeze Tehran economically.

Samuel Wendel

By Samuel Wendel

In Washington, DC, reporting on regional business and tech

Hamed Malekpour / Middle East Images / AFP via Getty Images

Iran gambles it can outlast Trump’s 'Economic D-Day'

The Trump administration is considering tighter economic pressure as diplomacy with Tehran appears stalled.

People shop at a store in the Grand Reza Bazaar near the shrine of Imam Reza following the funeral of slain Iranian leader Ali Khamenei and his family members in Mashhad on July 10, 2026.

Analysis

Can Trump's economic war ultimately force Iran to compromise?

President Trump's new economic offensive comes as Iran is grappling with war damage, tighter oil restrictions and a shrinking ability to absorb another major shock.

A correspondent in Tehran

By A correspondent in Tehran

In Tehran, reporting on politics

Latest News

Caught in the middle, Oman shrugs off Trump's latest Iran threat

Win McNamee/Getty Images

Houthis claim new strikes on Saudi Arabia after IRGC warning: What to know

MOHAMMED HUWAIS/AFP via Getty Images)

China slams Trump over economic war on Iran: What to know

Foreign Ministry Spokesperson Lin Jian holds a press conference on Aug. 19, 2026.

Trump’s Iran ‘economic D-Day’ threat sends oil prices above $94

Iranians drive past an anti-US billboard at Enghelab Square in central Tehran, Aug. 3, 2026.

Elizabeth Hagedorn

Diplomatic Correspondent

In Washington, DC, reporting on diplomacy, regional politics, human rights

Sabena Siddiqui

In Karachi, reporting on South Asia, Middle East, Iran

A correspondent in Tehran

In Tehran, reporting on politics

Benjamin Houghton

In Durham, reporting on China in the Middle East

Rahim Rahimov

In Baku, reporting on Middle East-Caucasus ties

Mehrnaz Samimi

In Washington, DC, reporting on Iranian culture

Two Iranian Sunni Kurd women wearing traditional clothes pose for a photograph as they stand in the Caraftoo cave historical site in Divandare, Kurdistan province, 540 km (338 miles) west of Tehran May 13, 2011. Iranian Shi'ite and Sunni Kurds live in harmony with each other in Divandare, although Sunni is the religion of the majority of the people. REUTERS/Morteza Nikoubazl (IRAN - Tags: TRAVEL SOCIETY RELIGION) - RTR2MDZX

Iranian government builds bridges to Sunni minority

Iran’s Sunni community is estimated at 9% of the country's population.

A whirling dervish performs a traditional Sufi dance at the Badium Sinai Arabic concert in the Red Sea resort of Sharm el-Sheikh, south of Cairo July 12, 2012. Picture taken July 12, 2012. REUTERS/Amr Abdallah Dalsh (EGYPT - Tags: ENTERTAINMENT SOCIETY) - RTR34W3J

The Sufi challenge to Iran’s clergy

While Iran's Sufis have attempted to blend into society, their beliefs and practices have sometimes been questioned by Iran’s clerical leadership.

U.S. Secretary of State John Kerry (R) shakes hands with Iranian Foreign Minister Mohammad Javad Zarif after a ceremony at the United Nations in Geneva November 24, 2013. Iran and six world powers reached a breakthrough agreement early on Sunday to curb Tehran's nuclear programme in exchange for limited sanctions relief, in a first step towards resolving a dangerous decade-old standoff. REUTERS/Denis Balibouse (SWITZERLAND - Tags: POLITICS ENERGY) - RTX15QM8

Iran deal recasts regional politics

The consequences of the agreement are already extending beyond Iran’s nuclear program.

An Israeli-Saudi axis? Not likely

Saudi Arabia has long been willing to work behind the scenes with Israel against common foes, but the kingdom is uninterested in anything more than the occasional clandestine connection.

A forensic inspector collects evidence at the site of the two suicide bombings that occurred on Tuesday near Iran's embassy compound in Beirut November 20, 2013. Two suicide bombings rocked Iran's embassy compound in Lebanon on Tuesday, killing at least 23 people including an Iranian cultural attache and hurling bodies and burning wreckage across a debris-strewn street. REUTERS/Sharif Karim (LEBANON - Tags: POLITICS CIVIL UNREST) - RTX15LK0

Beirut blast a lesson in terrorism

The perpetrators of the Iranian Embassy bombing in Beirut carefully crafted the attack to cause maximum physical and psychological damage.

EDITORS' NOTE: Reuters and other foreign media are subject to Iranian restrictions on their ability to film or take pictures in Tehran.

An Iranian worshipper holds portraits of Iran's Supreme Leader Ayatollah Ali Khamenei while attending a demonstration to support the people of Bahrain after Friday prayers in Tehran September 9, 2011. REUTERS/Morteza Nikoubazl (IRAN - Tags: POLITICS CIVIL UNREST RELIGION TPX IMAGES OF THE DAY) - RTR2R0B3

Iran’s diplomatic surge extends to Gulf

Iranian Foreign Minister Mohammad Javad Zarif is considering an invitation from Bahrain to attend the IISS Manama Dialogue Regional Security Summit, as UAE Foreign Minister Abdullah bin Zayed al-Nahyan visits Tehran.

EDITORS' NOTE: Reuters and other foreign media are subject to Iranian restrictions on their ability to report, film or take pictures in Tehran.
Iran's Supreme Leader Ayatollah Ali Khamenei meets with Iraq's Prime Minister Nuri al-Maliki in Tehran October 18, 2010. REUTERS/Khamenei.ir (IRAN - Tags: POLITICS) ) THIS IMAGE HAS BEEN SUPPLIED BY A THIRD PARTY. IT IS DISTRIBUTED, EXACTLY AS RECEIVED BY REUTERS, AS A SERVICE TO CLIENTS - RTXTK0D

US, Iranian influence evolves in Iraq

After the Geneva breakthrough on Iran’s nuclear program and the potential for a US-Iran entente, it is worth looking at the role both sides play in an ever-turbulent Iraq.

EDITORS' NOTE: Reuters and other foreign media are subject to Iranian restrictions on leaving the office to report, film or take pictures in Tehran.

A woman walks on a sidewalk in central of Tehran March 3, 2012. REUTERS/Raheb Homavandi (IRAN - Tags: SOCIETY TPX IMAGES OF THE DAY) - RTR2YRLH

Iranians want more than a nuclear deal

While most Iranians were excited about the nuclear deal, many hoped that it would be the first step of bringing normalcy and stability back to their lives.

U.S. President Barack Obama (R) speaks to Israel's Deputy Prime Minister Dan Meridor at a plenary session during the Nuclear Security Summit at the Convention and Exhibition Center (COEX) in Seoul March 27, 2012. The man at centre at an unidentified member of the U.S. delegation. REUTERS/Larry Downing (SOUTH KOREA - Tags: POLITICS MILITARY) - RTR2ZXN6

Former Israeli intel minister says US-Israel ties critical in dealing with Iran

In an interview with Al-Monitor, former Minister of Intelligence and Atomic Energy Dan Meridor says Israel should join the global campaign against Iran rather than attacking the first-step agreement.

Israel's Prime Minister Benjamin Netanyahu delivers a statement at his office in Jerusalem November 24, 2013. Netanyahu on Sunday denounced the world powers' nuclear agreement with Iran as a historic mistake that left the production of atomic weapons within Tehran's reach. REUTERS/Baz Ratner (JERUSALEM - Tags: POLITICS) - RTX15R0G

Netanyahu plays the Iran card in Israeli politics

Can Israeli Prime Minister Benjamin Netanyahu adjust to the possible change offered by the agreement with Iran?

Israel's Prime Minister Benjamin Netanyahu (C) and army chief Lieutenant-General Gabi Ashkenazi (L) observe a military exercise at Elyakim military base near the northern city of Haifa May 11, 2010. QUALITY FROM SOURCE. REUTERS/Eran Yuppy Cohen/Pool (ISRAEL - Tags: POLITICS MILITARY) - RTR2DQUY

Netanyahu's alarm about Iran balanced by military chiefs

Contrary to the alarmist stance of Prime Minister Benjamin Netanyahu, past and present chiefs of Israel's Defense Establishment do not reject the agreement signed with Iran.

Turkey's Prime Minister Tayyip Erdogan addresses members of parliament from his ruling AK Party (AKP) during a meeting at the Turkish parliament in Ankara November 26, 2013. REUTERS/Umit Bektas (TURKEY - Tags: POLITICS) - RTX15TO8

Iran nuclear accord requires secular 'reset' of Turkey's foreign policy

In the aftermath of Iran's nuclear accord, Turkey can only play an effective regional role if it adopts a secular foreign policy.