Iran-US war latest: Tehran and Oman edge towards Strait of Hormuz agreement as Trump threatens new strikes on nuclear site

Donald Trump has threatened new strikes on a nuclear site as well as Iranian military ships on the Strait of Hormuz. It comes after the US president said he was informed by the US Navy that all mines “have been removed” from within the Strait. In a post on Truth Social, he wrote: “I have just been informed by the United States Navy that all mines have been removed and/or detonated from within the International Waters of the Strait of Hormuz. “Iran has been notified that any ship or boat placing new mines will be immediately and systematically destroyed. Through Space Force, we are watching every square inch of the Strait, as we are, also, with Pickaxe Mountain and the already destroyed three other Nuclear sites.” It comes as China vowed to “safeguard” its interests and condemned US economic sanctions against Tehran on Tuesday. Treasury secretary Scott Bessent announced a package of punitive measures against Iran after Trump threatened an “economic D-Day”. Beijing, which is Iran’s largest trading partner, said that the move would only serve to “further intensify tensions” and create “spillover risks”, according to foreign ministry spokesperson Lin Jian. What's included in the new US sanctions campaign? U.S. Treasury Secretary Scott Bessent announced what his department called "an economic onslaught" ​against Iran on Monday that combined new sanctions with threats against Tehran's trading partners. The Treasury's Office of Foreign Assets Control (OFAC) has added specific sanctions on nearly 60 entities, individuals and vessels that it says are enabling ‌Iranian activity. The new sanctions target the Iranian defence ‌ministry's ballistic and nuclear procurement network, a cyber group the U.S. says is behind attacks on its infrastructure, and the shipping, trading and financial network involved in Iranian oil sales. OFAC has also suspended several licences that ⁠previously allowed some remittance payments to Iran and Iranian access to the U.S. cultural and academic system. Daniel Keane25 August 2026 22:00There are gas lines in Iran, but no sign yet that its leaders will bow to US sanctions Lines have grown outside gas stations across Tehran in recent weeks as the United States has tightened its blockade and threatened more severe sanctions, with some people waiting for two hours or more to fill up. The uncertainty deepened on Tuesday, after U.S. Treasury Secretary Scott Bessent vowed to fully sever the country from the global economy. In recent days, Iranian officials have spoken of a possible reduction in heavy gas subsidies as they seek to endure the tightening blockade. “Maybe we will face a shortage of fuel,” said Hashem Abadi, a 34-year-old barber. “I rush to the filling stations whenever my tank is down to half or so.” Read the full story below. Daniel Keane25 August 2026 21:00 Daniel Keane25 August 2026 20:01US 'prepares to send diplomats back to Middle East embassies' The US State Department is preparing to return diplomats to embassies in the Middle East that were evacuated before and during the war with Iran, the New York Times ⁠reported on Tuesday, citing an internal State Department document. The return of foreign service officers and the scaling back of emergency measures at U.S. missions in the region could begin as early as ⁠this week, the report said. Embassies ​slated ⁠to restore higher staffing levels include those in Israel, Lebanon, Saudi Arabia, Qatar, Jordan, Oman, Iraq and ⁠Kuwait, according to the report. Daniel Keane25 August 2026 19:30Oman and Iran propose temporary shipping lane through Strait of Hormuz Oman and Iran have agreed on a ⁠proposed framework to resume safe navigation through ⁠the ​Strait of ⁠Hormuz that includes establishing ⁠a joint ​temporary shipping ⁠lane ‌and a project to demine the ‌waterway, they said ‌in a joint statement on ⁠Tuesday. Oman's foreign minister arrived in Iran earlier on Tuesday for talks with his ‌Iranian counterpart ​on ‌future arrangements for ⁠the strait. Daniel Keane25 August 2026 19:00Trump's new sanctions could be seen by Iran as tantamount to 'military escalation' - expert Donald Trump’s “economic D-Day” could be interpreted by Iran as tantamount to a military escalation, experts have warned. Professor Maziyar Ghiabi, Director of the University of Exeter’s Centre of Persian and Iranian Studies, said: “The latest US measures against Iran include a wide and all-encompassing economic strangulation strategy which aims to cut off Iran’s economy from the wider neighbourhood and traditional partner networks. “It is a sign of US failure at achieving its goals through military means, but also a risky move which many in Iran will see as tantamount to a military escalation. “It is also likely to trigger a backlash from regional countries in West Asia and nations that have sought a friendly relationship with Iran. China, Türkiye, India, Iraq, and others may find it both impractical and degrading to fall in line. This step may well be the prelude for a further expansion of the conflict.” Daniel Keane25 August 2026 18:30The US promised ‘the toughest sanctions ever’ on Iran. Here’s what Trump’s team actually delivered After days of promising the “toughest sanctions in history”, the US announced punitive measures against Iran on Monday and threatened sanctions against Tehran’s trade partners. Treasury secretary Scott Bessent said nearly 60 Iran-linked entities, individuals, and vessels would be sanctioned as part of Operation Economic Outcast, without offering specific details on the measures. “Let there be no ambiguity as to the position of the United States," Bessent said at a press conference. He said the scheme would amount to “economic asphyxiation” on the regime and warned that superpower China - Tehran’s largest trade partner - would not be beyond its scope. Maira Butt25 August 2026 18:00USS Lincoln to dock in Thailand next week, says Thai official The USS Abraham Lincoln, a US aircraft carrier, will dock in Thailand next week, a Thai official said on Tuesday, following a prolonged deployment in the Middle East and reports of mental health concerns and deteriorating conditions aboard. The Lincoln, which left the Middle East on Saturday, has not made a port call in more ⁠than ​200 days, setting a modern-day record for consecutive ​days at sea, according to Democratic lawmakers. The ship, which has roughly ​5,000 sailors and Marines aboard, will be in Thailand for "rest and recreation after their long sea journey", the official said, asking not to be named. Maira Butt25 August 2026 17:30 Maira Butt25 August 2026 17:00 Maira Butt25 August 2026 16:30