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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

Subdued Ashoura in Iran's holy city of Mashhad

This year there appeared to be a more subdued Ashoura to commemorate Imam Hussein, the grandson of Prophet Muhammad, in Iran's holy city of Mashhad.

U.S. President Barack Obama walks out after speaking about the violence in Egypt while at his rental vacation home on the Massachusetts island of Martha's Vineyard in Chilmark August 15, 2013. REUTERS/Larry Downing (UNITED STATES - Tags: POLITICS) - RTX12MDQ

Israel, Egypt, Gulf fear US betrayal

Israel has become part of an unexpected alliance with the Gulf countries, Egypt and Jordan, all disappointed by the US administration's lack of Middle East understanding.

Iran’s Twitter offensive

Iran's Twitter blitz is designed to create the conditions for a nuclear deal with Iran.

EDITORS' NOTE: Reuters and other foreign media are subject to Iranian restrictions on leaving the office to report, film or take pictures in Tehran.
Iranian students hold up their hands as a sign of unity as they form a human chain around the Uranium Conversion Facility (UCF) to show their support for Iran's nuclear program in Isfahan, 450 km (280 miles) south of Tehran November 15, 2011. REUTERS/Morteza Nikoubazl (IRAN - Tags: POLITICS ENERGY EDUCATION) - RTR2U1ID

Fathoming Iran's nuclear intentions

Iran is already a civilian nuclear power; international safeguards should be enough to prevent it from getting the bomb.

Saudi film captivates Israeli moviegoers

"Wadjda" opens a window into Saudi society and the phenomenon of feminism there, unknown to the Israeli public.

Iranian Foreign Minister Mohammad Javad Zarif (R) speaks next to European Union foreign policy chief Catherine Ashton during a news conference at the end of the Iranian nuclear talks in Geneva November 10, 2013. Zarif and Ashton said on Sunday they hoped Iran and six world powers would reach an agreement when they gather again in 10 days, adding that the latest round of talks on Tehran's nuclear programme was something all delegations can build on.REUTERS/Jason Reed (SWITZERLAND - Tags: POLITICS) - RTX157

Saving the Iran deal – and the Syrian state

Ratcheting up sanctions on Iran risks a chance to end the war in Syria.

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

A construction worker uses a jack hammer to remove support pillars for the final floor of a high rise building in north Tehran April 15, 2010. The municipality said they had built one too many floors than their permit allowed. President Mahmoud Ahmadinejad has asked 5 million Tehranis to evacuate the capital since they know their sprawling metropolis is due for a

Rouhani tackles unfinished projects

Former President Mahmoud Ahmadinejad’s plans to create jobs by subsidizing projects with small and medium-sized enterprises were a failure, leaving the new president to pick up the slack.

France's President Francois Hollande delivers a statement to the media at the residence of Israel's President Shimon Peres in Jerusalem November 17, 2013. Hollande assured Israel on Sunday that France would continue to oppose an easing of economic sanctions against Iran until it was convinced Tehran had ended a pursuit of nuclear weapons. REUTERS/Abir Sultan/Pool (JERUSALEM - Tags: POLITICS) - RTX15H77

France charm offensive alienates Palestinians

French President Francois Hollande's much publicized support for Israel will ensure the Palestinians keep France away from US-led peace talks.

U.S. Secretary of State John Kerry speaks at a news conference at the end of the Iranian nuclear talks in Geneva November 10, 2013. Kerry said on Sunday that world powers had come closer during negotiations with Iran in Geneva to a deal on reining in its nuclear programme and that "with good work" the goal could be reached. REUTERS/Jason Reed (SWITZERLAND - Tags: POLITICS) - RTX157AB

Time to close deal with Iran

An agreement with Iran would be a win, if not a breakthrough, for US interests and allies in the Middle East. (Updated)

Israel's Prime Minister Benjamin Netanyahu, also seen on a television monitor, addresses the 68th session of the United Nations General Assembly in New York October 1, 2013. Netanyahu said on Tuesday the only way to peacefully stop Iran from developing nuclear weapons is to combine tough sanctions with a credible military threat and that Israel was ready to stand alone in defending itself. REUTERS/Adrees Latif (UNITED STATES - Tags: POLITICS) - RTR3FHF1

Netanyahu tweet a low point in international discourse

The Israeli prime minister's insulting of Iran on Twitter shouldn't derail the Iran nuclear talks in Geneva.

NOOSH ABAD, IRAN - NOVEMBER 13: Iranian Shiite Muslims enact the story of killing Imam Hussein during the annual religious performance of "Taazieh" November 13, 2013 in Noosh Abad near the central city of Kashan, Iran. The event marks the mourning period of Ashura commemorations, in which Imam Hussein, grandson of Islam's Prophet Mohammed, was killed by armies of the caliph Yazid near Karbala in 680 AD. (Photo by Majid Saeedi/Getty Images)

Ashoura puts Iranian politics in context

The martyrdom of Imam Hussein permeates all aspects of Iranian life.

Human rights overlooked in nuclear talks

While the UN negotiates with Iran over the country's nuclear program, human rights is not on the agenda