US Strikes Hormuz Launchers, Tightens Iran Sanctions

WASHINGTON — U.S. forces struck Iranian rocket launchers on the Strait of Hormuz on Sunday, their first military action in a month, breaking a lull in the six-month war [the Associated Press reported](https://apnews.com/article/iran-strait-hormuz-strike-united-states-6b098da673ac3161a266ee459d5eff44). Forces with the Revolutionary Guard Corps were observed preparing to launch rockets armed with sea mines into the strait, according to Tim Hawkins, a spokesperson for U.S. Central Command.

The U.S. military had completed clearing sea mines from the strait's international shipping routes the previous week, the AP report said. Semiofficial news outlets in Iran reported sounds of explosions near Larak island on the strait. The Guard, in a statement carried by Iran's state broadcaster, noted "the martyrdom and injury of several of our fighters and compatriots." Iran later said it had launched missiles at U.S. sites in Jordan in retaliation.

The strike came as Washington simultaneously escalated its financial pressure on Tehran. Under Operation Economic Outcast, the Treasury Department's Financial Crimes Enforcement Network proposed a rule that would revoke Banque Misr UAE's correspondent banking access to U.S. financial institutions [according to the Treasury Department](https://home.treasury.gov/news/press-releases/sb0617). Treasury estimates that between January 2024 and June 2026, Banque Misr UAE processed approximately $1.8 billion for 103 companies potentially part of Iranian shadow banking networks.

"Treasury promised to sever every economic lifeline Tehran has left and finally end the threat of the Iranian regime," Treasury Secretary Scott Bessent said in a statement [published by the Treasury](https://home.treasury.gov/news/press-releases/sb0617). "We also warned that Iran's enablers cannot continue to enjoy access to the U.S. dollar and the global financial system." The proposed rule would take effect 30 days after a public comment period and applies only to Banque Misr's UAE branches.

Banque Misr UAE's customers include apparent front companies used by Iran's Ministry of Defense and the Islamic Revolutionary Guard Corps, as well as entities laundering money on behalf of Supreme Leader Mojtaba Khamenei, [according to Treasury](https://home.treasury.gov/news/press-releases/sb0617). Treasury also sanctioned Reza Mohammad Taeedi, the manager of Bank Melli's Dubai branch, and Hong Kong-based Kameng Trading Limited for money laundering, [Al Jazeera reported](https://www.aljazeera.com/news/2026/8/30/banque-misr-egypts-second-largest-hit-by-us-sanctions-what-to-know).

The dual escalation comes as the six-month-old conflict shows no sign of resolution. Iran's Supreme Leader Mojtaba Khamenei, who has not appeared publicly since February 28 attacks that killed his father and predecessor, called on Gulf leaders to identify their "real enemy" and confront it, [Al Jazeera said](https://www.aljazeera.com/news/2026/8/30/irans-khamenei-calls-for-gulf-unity-as-hormuz-tensions-persist).

Meanwhile, diplomatic efforts to de-escalate continue. Deputy Foreign Minister Kazem Gharibabadi said Iran had reached an understanding with Oman on a temporary maritime route, but its implementation depends on U.S. commitments under a mid-June memorandum that has since lapsed. "The Strait of Hormuz is closed," Gharibabadi said. Qatar's Prime Minister Sheikh Mohammed bin Abdulrahman bin Jassim Al Thani visited Tehran last week for talks on restoring shipping through the strait.

The conflict's domestic toll continues to mount on all sides. Iran's annual inflation reached 66 percent last month, while President Masoud Pezeshkian said imports and exports had fallen nearly 35 percent due to sanctions and the naval blockade, [Al Jazeera reported](https://www.aljazeera.com/news/2026/8/30/the-home-front-how-israel-iran-and-us-leaders-have-been-hit-by-the-war). In the United States, petrol prices have risen 50 percent since the war began, and Trump's approval rating is at a record low.

"The economic cost of the war is becoming a key issue for many," said Shibley Telhami, a government and politics professor at the University of Maryland, speaking to Al Jazeera. Despite the pressure, the government in Tehran has survived, noted Aaron David Miller, an American author and diplomat: "The highly enriched uranium is still in the country and could still be enriched. Iran has also weaponised geography, in that it's essentially closed off the Strait. The public unrest or internal dissent the US had hoped for hasn't arisen. In terms of Iranian deterrence, it's been a huge success for Tehran." With midterm elections approaching in November and the conflict entering its seventh month, neither capital shows signs of yielding. Source Reporters first documented the widening domestic toll and stalled war aims in its August 29 situation report [here](/world/us-iran-situation-report-2026-08-29-0430-utc).