President Donald Trump announced that Iranian funds frozen by the US will be used to compensate for damages to ships and cargo following recent attacks. According to reports from TNND, Trump stated on Truth Social Thursday that "please let this statement serve to represent, until further notice, that from this point forth, any and all damages done to Ships, Cargo, or anything related thereto, will be paid for by Iranian Money that the United States has in its possession, and controls." The president emphasized that "these damages may be very substantial but, nevertheless, this is the fair and equitable thing to do." The announcement seeks to make Iran financially responsible for disruptions to global shipping as the US military continues strikes against Iranian military targets.
The compensation announcement comes as the US military continues strikes against Iranian military targets and seeks to weaken Tehran's ability to threaten commercial vessels transiting key waterways, including the Strait of Hormuz. According to TNND, the military force has redirected 12 commercial vessels and disabled one to stop ships from entering or leaving Iranian ports or coastal areas since resuming the naval blockade against Iran nine days ago. The conflict has disrupted maritime traffic and raised concerns about global energy supplies and international trade. The latest announcement underscores the administration's increasingly aggressive approach toward Iran as military operations and economic pressure continue alongside efforts to secure commercial shipping routes in the Middle East.
The US currently holds approximately $2 billion worth of blocked Iranian funds inside its borders, according to NDTD reports. However, a much larger portion of these assets resides in jurisdictions of other countries and remains prevented from transfer by US sanctions, with estimates varying from $24 billion to more than $100 billion. These funds were initially set to be released to Iran as part of a now-defunct temporary cease-fire agreement, but the decision to use them for ship damage compensation may face legal challenges amid ongoing U.S.-Iran negotiations. As reported by The Times of Israel, the move is expected to face scrutiny given the complex nature of U.S.-Iran relations and the ongoing negotiations for a war-ending memorandum of understanding.
Trump has escalated his rhetoric against Iran's nuclear program, declaring that the Islamic Republic "needs more pain" before abandoning its pursuit of nuclear weapons. Speaking at an event with a "Ratepayer Protection Pledge" backdrop, Trump criticized past US presidents for failing to address the threat and asserted that America must act decisively. "They're not ready yet. They need more of the same," Trump said. "They have evil intentions! We cannot let them have a nuclear weapon." He added that "They'll NEVER have a nuclear weapon," emphasizing that "This should've been done for 50 years by other American presidents — or other countries. If we don't do it, nobody else is." The remarks come amid ongoing tensions between the US, Israel and Iran, with Trump having long opposed the 2015 Iran nuclear deal from which he withdrew during his first term.
