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August 24, 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

Lebanese civilians and supporters of Hezbollah take part in a candle light vigil in solidarity with people who died in a car bomb that occurred on last Thursday in Beirut's southern suburbs August 19, 2013. REUTERS/Sharif Karim (LEBANON - Tags: POLITICS CIVIL UNREST) - RTX12R0W

Hezbollah-Hamas Relationship Strained

News reports suggest that Hezbollah's relationship with Hamas is under more pressure than ever, which is good news for Israel.

A woman cries at the site of an explosion in Beirut's southern suburbs, August 15, 2013. Rescue workers in the southern Beirut district hit by an explosion on Thursday have found nine bodies, a witness at the scene said. The powerful blast engulfed several cars in flames and also trapped people in a nearby building. REUTERS/Mahmoud Kheir (LEBANON - Tags: CIVIL UNREST POLITICS TPX IMAGES OF THE DAY) - RTX12MIN

Lebanon Caught in Middle Of Iranian-Saudi 'Cold War'

Lebanon’s unique position in the Arab Levant means it has been inevitably caught up in the back and forth of Iran and Saudi Arabia’s proxy war in the region.

A police officer stands on the step of the Iranian Embassy in central London December 1, 2011. Britain will call for stronger economic sanctions on Iran at a meeting of European Union foreign ministers in Brussels on Thursday following the storming of its embassy in Tehran, UK Foreign Secretary William Hague said on Thursday. REUTERS / Ki Price (BRITAIN - Tags: POLITICS) - RTR2UPPE

After Election Talk, Iranians Ask Rouhani to Walk the Walk

Many of Tehran's citizens are skeptical of Iranian President Hassan Rouhani's ability to turn the economy around and deliver on his many campaign promises.

Israel's President Shimon Peres (R) and Prime Minister Benjamin Netanyahu hold Barcelona soccer jerseys as they stand in front of the players during a reception at Peres' residence in Jerusalem August 4, 2013. The Spanish league champions are making a brief stopover in Israel and the Palestinian territories en-route to a pre-season tour of Asia. REUTERS/Lior Mizrahi/Pool (JERUSALEM - Tags: POLITICS SPORT SOCCER TPX IMAGES OF THE DAY) - RTX12A43

Israeli Left Must Stop Waiting For Its 'De Gaulle'

Israeli’s public apathy to negotiations shows its inability to connect the Iranian nuclear threat to the Israeli-Palestinian negotiations and the country wasting its resources in “a futile war.”

Iran's Interior Minister Mostafa Pour-Mohammadi (R) speaks during a funeral ceremony for victims who were killed in an attack by bandits in Zabol, 1,605 km (997 miles) south of Tehran March 18, 2006. REUTERS/IRNA - RTR17CL9

Rouhani Appoints Controversial Justice Minister

Hassan Rouhani's justice minister played a controversial role in executions during the 1980s, according to human rights organizations.

Egyptian President Mohamed Mursi (R) meets with Turkish Prime Minister Tayyip Erdogan at the Presidential Palace in Cairo November 17, 2012. REUTERS/Egyptian Presidency/Handout (EGYPT - Tags: POLITICS) FOR EDITORIAL USE ONLY. NOT FOR SALE FOR MARKETING OR ADVERTISING CAMPAIGNS. THIS IMAGE HAS BEEN SUPPLIED BY A THIRD PARTY. IT IS DISTRIBUTED, EXACTLY AS RECEIVED BY REUTERS, AS A SERVICE TO CLIENTS - RTR3AINS

Turkey’s 'Precious Isolation' In the Middle East

Foreign policy decisions by the Erdogan government, including on Egypt and Syria, have left Turkey without any influence over events in the Middle East.

Police stand guard outside the Iranian ambassador's house during a protest against Iran in Cairo April 5, 2013. Ultra-Conservative Islamist Salafists brought down the Iranian flag at the house of the Iranian ambassador in Egypt Mojtaba Amani on Friday, and replaced it with the Syrian revolutionary flag. Seen at the top of the fence is the Syrian revolutionary flag. REUTERS/Mohamed Abd El Ghany (EGYPT - Tags: POLITICS CIVIL UNREST) - RTXY9NK

Iran on Egypt’s Crisis: Political Islam in Danger

Iran fears that civil war could break out in Egypt, and worries about the dangers that could pose for the region.

A general view of Bushehr nuclear power plant, 1,200 km (746 miles) south of Tehran, August 21, 2010. Iran began fuelling its first nuclear power plant on Saturday, a potent symbol of its growing regional sway and rejection of international sanctions designed to prevent it building a nuclear bomb. REUTERS/Raheb Homavandi (IRAN - Tags: POLITICS ENERGY) - RTXSAXN

Obama Administration Has Options For Iran Sanctions Relief

If there is progress in nuclear talks with Iran, the Obama administration has enough executive discretion for sanctions relief, even if it's nearly impossible to revoke the Iran Sanctions Act.

Iranian oil minister Bijan Namdar Zanganeh answers journalists' questions as he arrives in a hotel in Vienna January 29, 2005. OPEC oil ministers gather in Vienna for a meeting on January 30. REUTERS/Heinz-Peter Bader HPB/AA - RTRLRCL

Iran's Petroleum Industry Welcomes Zanganeh's Return as Minister

The appointment of Bijan Namdar Zanganeh as petroleum minister brings hopes and expectations for overdue reforms.

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 statuette of the late Apple co-founder Steve Jobs is displayed next to Apple iPhone 4S packaging at a shop window in Payetakht (Capital) computer centre in northern Tehran January 19, 2012. REUTERS/Morteza Nikoubazl (IRAN - Tags: SCIENCE TECHNOLOGY BUSINESS) - RTR2WILP

What to Expect In Iran’s Telecom Sector

Iran’s newly appointed minister of communications and information technology signals a chance for change in one of the largest non-oil sectors in the country.

Iran's supreme leader Ayatollah Ali Khamenei leads the morning Eid prayers at the Imam Khomeini grand mosque in central Tehran November 4, 2005. REUTERS/Raheb Homavandi - RTR1A4VI

Khamenei’s Controversial Fatwas

Iran’s supreme leader employs traditionalist fatwas to establish his political and religious authority.

Iraqi Foreign Minister Hoshyar Zebari speaks at the Diplomatic and Political Joint Coordinating Committee meeting hosted by U.S. Secretary of State John Kerry at the State Department in Washington August 15, 2013. REUTERS/Kevin Lamarque (UNITED STATES - Tags: POLITICS) - RTX12MHG

Iraqi Official: Rouhani 'Means Serious Business' With US

Iraqi Foreign Minister Hoshyar Zebari says the Iranian leadership could have prevented Hassan Rouhani from becoming president if it wanted to continue hard-line policies toward the United States.