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The State Department said the US was taking action under Operation Economic Outcast against Kataib Hezbollah, Hezbollah and the financial networks that sustain Iran's regional campaign, calling them instruments of 'violence and subversion' that threaten Iraq, Lebanon, US personnel and global energy flows.
US Central Command said its forces had redirected 96 commercial ships and allowed more than 50 vessels carrying humanitarian supplies through since the blockade of Iranian ports was reimposed in mid-July.
IAEA Director General Rafael Grossi said remote imagery showed 'some indications that there is movement around this construction site' at Pickaxe Mountain near Natanz, but that the agency had no concrete information on activities there and has never sent inspectors inside.
An IRGC spokesman said a restricted maritime area running from Chabahar into parts of the Gulf of Oman and the Arabian Sea would be announced, with exact coordinates to follow, and that any ship passing through it would be sanctioned.
The Treasury sanctioned 36 entities, including 27 Iranian airlines, saying Tehran uses the aviation sector to 'move weapons, personnel and illicit cargo.' Treasury Secretary Scott Bessent warned anyone doing business with Iran's remaining airlines, 'all of which we sanctioned today,' risked being cut off from the global financial system.
Supreme National Security Council secretary Mohsen Rezaei wrote that 'economic warfare will be met by a maritime exclusion zone across the Persian Gulf to the blockade perimeter' and that Iran's posture toward US warships and bases had been 'fundamentally recalibrated.' He had announced plans for a restricted zone south of the Strait of Hormuz the day before.
A senior US official told Al Jazeera the strait is fully open and under US Navy control after special operations forces removed an estimated 80 naval mines since April, and that about 20 US vessels in the blockade were escorting commercial ships. The official said Washington was satisfied with current oil and gas flows.
A Hezbollah operative opened fire at close range on Israeli troops in the Beaufort ridge area of southern Lebanon, lightly wounding two soldiers before being killed, the IDF said. The military said it then struck Hezbollah weapons depots and command centers.
Mohammad Bagher Ghalibaf warned on X that American oil and gas companies in the Gulf share the exposure of the region's 'sprawling, accessible' energy infrastructure, after Defense Secretary Pete Hegseth threatened to destroy Iranian tankers. In a closed session of parliament he said the era of 'proportionate responses' was over.
Foreign Ministry spokesman Esmaeil Baghaei warned of 'consequences' if South Korea takes part in maritime operations in the Gulf and Strait of Hormuz, saying any country that does so would be regarded as directly supporting the US attacks on Iran. Seoul had said it was weighing 'contributions' to freedom of navigation.
Government spokesperson Fatemeh Mohajerani said that from Tuesday, gasoline used beyond 110 liters a month will cost 100,000 rials a liter, while the two lower subsidized quotas keep their current prices.
Mohsen Rezaei, secretary of Iran's Supreme National Security Council, told state TV that a zone running from the U.S. blockade line toward the strait and into the Persian Gulf would be announced in the coming days, and that any ship entering it to transit Hormuz would be put on Iran's sanctions list. He also said shipping-route maps agreed with Oman would be signed in the coming days.
Energy Secretary Chris Wright said in Sunday TV interviews that about 9 million barrels of oil a day are getting through the Strait of Hormuz, putting flows including regional pipelines at "two-thirds or more" of pre-war levels, and that the U.S. is "strangling" Iran's economy. AP noted his figure appeared to exceed the 28-day average tracked by TankerTrackers.com and other sources.
Seven core OPEC+ members, including Saudi Arabia and Russia, agreed at an online meeting on Sunday to keep October production at September levels, pausing after six straight monthly increases; their next meeting is Oct. 4.
Iran's Revolutionary Guards said their navy targeted three oil tankers using what Iran calls an unauthorized route through the Strait of Hormuz and three vessels affiliated with the United States elsewhere, and warned other ships to avoid unapproved routes. The Guards also said the U.S. carrier and destroyer they fired missiles at were damaged; CENTCOM said both evaded the attack, and the U.S. did not confirm any of the claimed hits.
The State Department approved a possible $5bn sale of bombs, guidance kits and related equipment to Saudi Arabia, saying it would improve the kingdom's 'airborne defense capability to counter current and future regional threats' and its interoperability with U.S. forces.
President Donald Trump told reporters at the White House on Sept. 4 that the United States may strike Pickaxe Mountain, a heavily fortified tunnel complex near Iran's damaged Natanz enrichment site, 'very soon.' He also called the conflict 'small potatoes' for the U.S., saying 18 Americans had been killed.
The Treasury sanctioned Turkey-based Golden Global Yatirim Bankasi and two subsidiaries, accusing the bank of facilitating 'tens of millions of dollars' worth of transactions' for the IRGC-Qods Force and of being set up to move Iranian oil revenue from China to Turkey for conversion into cash and gold. The bank denied the allegations and said it would take legal action.
South Korea's presidential office said on Sept. 4 it was reviewing practical options, including military ones, to support freedom of navigation in the Strait of Hormuz within limits that do not compromise readiness, but that no decision had been made. It said reports that Seoul had finalized a deployment were inaccurate.
Treasury Secretary Scott Bessent posted that the European Union had 'officially joined Operation Economic Outcast,' the U.S. economic pressure campaign against Iran. The EU statement of Aug. 31 welcomed additional pressure 'including through the US led Operation Economic Outcast' but did not clearly say the bloc had joined, Al Jazeera reported.
At a White House briefing, Vice President JD Vance said 'we are not going to talk to them unless they stop shooting at commercial shipping,' said major combat operations were not ongoing, and claimed about 15 million barrels of oil left the strait the previous night. He said the U.S. was investigating the reported strike on a wedding in southern Iran but was 'extremely skeptical' of Iranian state media.
At a Rosh Hashanah toast with the IDF General Staff Forum in Tel Aviv, Prime Minister Benjamin Netanyahu said Iran's regime is 'faltering' and that toppling it is 'the central mission that still lies ahead of us, but it is close... It is within reach.' He added that Iran is 'attacking everyone except us.'
The Israeli military said troops of the 36th Division, after taking 'operational control of the ridge area above and below ground,' cleared two tunnel routes beneath the Ali al-Taher ridge near Nabatieh of Hezbollah operatives, killing some while others fled, and were preparing to demolish the site. It said the facility held command centers, weapons rooms and living quarters and was financed by Iran.
Iran's semi-official Tasnim news agency said on Sept. 3 that at least six Iranian service members, three of them pilots, were killed in the U.S. strikes of Sept. 1; Al Jazeera described the six as navy personnel. Iran's health ministry had put the toll from those strikes at 18 dead without separating civilians from military personnel.
Defense Minister Israel Katz said at a Jewish New Year toast with Defense Ministry staff that an Iranian attack would 'free us from all constraints' and that Israel would strike all of Iran's infrastructure, 'including energy infrastructure,' returning it 'to the Stone Age and darkness.' He said economic pressure and fear of an uprising could push Tehran to 'desperate measures.'
Speaking in the Oval Office on Sept. 2, Trump said the overnight strikes were 'a very heavy attack' in response to Iran taking 'a shot at our base in Jordan' and had taken out new radar and mine-launching equipment along the Strait of Hormuz, adding: 'we're prepared to do another one any time we want.' Asked how long the renewed campaign would last, he said: 'I don't think too long.'
In a phone interview with Israel's Kan broadcaster, Trump said 'Israel should not worry... because I'm the president and I will take care of Israel,' as Iran struck US-linked targets across the region but not Israel. Defense Minister Israel Katz said the IDF was ready to strike Iran 'with great force' if attacked, while Foreign Minister Gideon Saar said Israel had no plans to join the war for now.
In a Truth Social post, President Trump wrote: 'Now that we have it under U.S.A. control, should we change the name Hormuz Strait to TRUMP STRAIT???' Asked later in the Oval Office, he did not say how serious he was.
Energy Secretary Chris Wright told CNBC that more than 17 million barrels of oil transited the Strait of Hormuz on Aug. 31, a wartime record against about 20 million barrels a day before the war, and said Iran is 'losing that card.' CNBC noted that US government figures are higher than those reported by independent ship trackers.
The IDF said Hezbollah launched two explosive drones at troops in the Ali Taher ridge area of southern Lebanon overnight into Sept. 2; both were intercepted without injuries and Israel then struck Hezbollah infrastructure near Nabatieh. Israel Hayom reported that Israeli security officials are preparing for Iran to push Hezbollah into escalation over the upcoming Jewish holidays as Iran's economy buckles.