Iran ‘Closer to Paralysis’ After Year of War, Sanctions

Cars pass a billboard of Khamenei reading “O Iran” at Enghelab (Revolution) Square in central Tehran (AFP)
Cars pass a billboard of Khamenei reading “O Iran” at Enghelab (Revolution) Square in central Tehran (AFP)
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Iran ‘Closer to Paralysis’ After Year of War, Sanctions

Cars pass a billboard of Khamenei reading “O Iran” at Enghelab (Revolution) Square in central Tehran (AFP)
Cars pass a billboard of Khamenei reading “O Iran” at Enghelab (Revolution) Square in central Tehran (AFP)

Iran has come under bombardment, faced the reinstatement of United Nations sanctions, and seen its economy sink deeper into crisis this year.

An analysis published by the AP points to Iran still not taking any major action to halt the slide, restart crucial nuclear negotiations with the West nor fully prepare for possible further hostilities with Israel and the US.

In the past, Iran’s 86-year-old Supreme Leader Ali Khamenei heralded the benefit of Tehran’s “strategic patience” in confronting its enemies.

According to The AP, concern is growing that patience has slipped into paralysis as Iran’s partners in its self-described “Axis of Resistance” have been devastated and there’s no overt sign of materiel support from either China or Russia.

“One of the harms and dangers facing the country is precisely this state of neither war nor peace, which isn’t good,” Khamenei himself warned in September.

But there’s been no move to change that calculus, as Iranians themselves remain fearful of war resuming. Each fire or industrial accident becomes grist for new worry as they watch their life savings further dwindle as Iran’s rial currency falls to historic lows against the US dollar.

“Even if we accept that the possibility of a second war exists, the right approach to governing the country is not to keep public opinion in constant anxiety through recurring alerts every few days,” said Ali Abdullah Khani, an analyst with Iran’s Presidential Strategic Affairs Office, in an interview published in October by the website NourNews.

“Such a policy places the nation in a permanent state of crisis, a condition in which it always seems that war could break out at any moment, and as a result, all managerial and political capacities are consumed by confronting a presumed and hypothetical conflict.”

Iran Tries to Talk Sanctions Away

The United Nations reimposed sanctions on Iran last month, but Tehran has sought to downplay their effect or even insist they don’t exist. The sanctions date from Tehran’s 2015 nuclear deal and were reimposed by a mechanism known to diplomats as “snapback.”

China, Iran and Russia issued a tripartite statement over the weekend, decrying them as “legally and procedurally flawed.”

But while China and Russia have signaled they won’t enforce the sanctions, the US, European nations and others are.

Some of the measures are pretty out of date, for instance, sanctions on Iranian Revolutionary Guard Gen. Qassem Soleimani, who was killed in a US drone strike in Baghdad during President Donald Trump’s first term in 2020.

But the main ones squeeze Iran’s Central Bank and its oil exports, one of the few sources of hard currency for the government. That could allow for the seizure of Iranian crude oil shipments on the seas, something that in the past has sparked confrontations with Tehran.

Iranian Gov’t at Odds

The June war saw Israel kill top leadership in Iran’s regular military and its paramilitary Revolutionary Guard, a force answerable only to Khamenei that controls its own arsenal of ballistic missiles. In the time since, Iran has held no major military parades and conducted only limited drills at sea, likely out of the concern of providing Israel with any tempting targets.

Criticism is slowly rising to the surface of Iran’s theocracy, which under Khamenei has grown into various competing camps and agencies often tasked with the same missions.

Ali Shamkhani, a top adviser to Khamenei who survived an Israeli attack targeting him during the war, said in an online video that Iran’s earlier attacks against Israel in 2024 “did not achieve the outcomes” sought by Tehran, a rare acknowledgment by a senior official of the low accuracy plaguing the theocracy’s vaunted missile arsenal.

He also even went as far as to openly muse about Iran pursuing a nuclear weapon — something Tehran long has insisted it doesn’t want to do despite the West and the International Atomic Energy Agency saying the Islamic Republic had an organized weapons program up until 2003.

“Now that it has become clear, Iran should have developed this capability for itself,” Shamkhani said.

Khamenei Halts Talks with West

Then there is Khamenei himself, with no clear front-runner to succeed him. His profile has dropped since the war, with more delays surrounding the release of his remarks — likely again a security measure against possibly being targeted by Israel.

Yet at a moment when talks with the US and the Europeans represent one path out of Iran’s issues, he’s been adamant that negotiations can’t be held. He gave a speech as both Iranian President Masoud Pezeshkian and Foreign Minister Abbas Araghchi went to New York for the UN General Assembly, which had the effect of stopping them from having direct negotiations.

“Once a decision is made, everyone must follow it, whether they support it or not,” Araghchi told the state-run IRNA news agency in August, before the summit.

Speaking to athletes on Monday, Khamenei kept up his criticism of the US president and insisted Iran “will not submit to coercion.”

Trump “prides himself on ‘bombing and destroying Iran’s nuclear industry,’” Khamenei said. “Fine, keep living that fantasy.”

But for now, it doesn’t appear time is on Iran’s side.



Putin, Erdogan Urge Immediate Middle East Ceasefire

 Russian President Vladimir Putin attends a meeting with Egyptian Foreign Minister Badr Abdelatty at the Senate Palace of the Kremlin in Moscow, Russia April 2, 2026. (Alexander Zemlianichenko/Pool via Reuters)
Russian President Vladimir Putin attends a meeting with Egyptian Foreign Minister Badr Abdelatty at the Senate Palace of the Kremlin in Moscow, Russia April 2, 2026. (Alexander Zemlianichenko/Pool via Reuters)
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Putin, Erdogan Urge Immediate Middle East Ceasefire

 Russian President Vladimir Putin attends a meeting with Egyptian Foreign Minister Badr Abdelatty at the Senate Palace of the Kremlin in Moscow, Russia April 2, 2026. (Alexander Zemlianichenko/Pool via Reuters)
Russian President Vladimir Putin attends a meeting with Egyptian Foreign Minister Badr Abdelatty at the Senate Palace of the Kremlin in Moscow, Russia April 2, 2026. (Alexander Zemlianichenko/Pool via Reuters)

Russian President Vladimir Putin and Turkish counterpart Recep Tayyip Erdogan called for an immediate ceasefire in the Middle East war during a phone call on Friday, the Kremlin said.

The war started over a month ago with US-Israeli strikes on Iran, triggering a conflict throughout the Middle East that has convulsed the global economy and impacted millions of people worldwide.

"The leaders noted their shared positions on the need for an immediate ceasefire and the development of compromise peace agreements that take into account the legitimate interests of all states in the region," a Kremlin statement said.

"It was noted that intense military action is leading to serious negative consequences not only regionally but also globally, including in the areas of energy, trade, and logistics," it added.

Putin and Erdogan also discussed "the importance of coordinated measures to comprehensively ensure security in the Black Sea area," Kremlin said, accusing Ukraine of "attempts to target gas transportation infrastructure linking Russia and Türkiye".

On Thursday, Russian forces repelled a drone attack on part of the TurkStream gas pipeline that connects southern Russia and Türkiye, the pipeline's operator Gazprom said.

Several European countries, including Hungary, Slovakia and Serbia, receive gas supplies via the pipeline.

Russia has accused Ukraine of attacking it multiple times, most recently in March.

Ukraine has struck Russian energy infrastructure throughout the nearly four-year war, in a bid to sap Moscow's ability to finance its offensive.

Russian strikes on Ukrainian energy facilities have cut power and heating to millions of people since the beginning of its full-scale assault in 2022.


US Fighter Shot Down Over Iran as Trump Threatens to Hit More Infrastructure

A view of the B1 bridge is pictured, a day after it was destroyed by a strike in Karaj, around 20miles (35kms) southwest of Tehran, April 3, 2026. (AFP)
A view of the B1 bridge is pictured, a day after it was destroyed by a strike in Karaj, around 20miles (35kms) southwest of Tehran, April 3, 2026. (AFP)
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US Fighter Shot Down Over Iran as Trump Threatens to Hit More Infrastructure

A view of the B1 bridge is pictured, a day after it was destroyed by a strike in Karaj, around 20miles (35kms) southwest of Tehran, April 3, 2026. (AFP)
A view of the B1 bridge is pictured, a day after it was destroyed by a strike in Karaj, around 20miles (35kms) southwest of Tehran, April 3, 2026. (AFP)

Iran shot down a US warplane on Friday, setting off a search by both sides for surviving crew as the war looked set to intensify with President Donald Trump threatening more attacks on civilian infrastructure.

Iran's Revolutionary Guard Corps said it was combing an area near where the plane came down in southwestern Iran. The regional governor promised a commendation for anyone who captured or killed the pilot.

A US military official confirmed that a fighter jet had been shot down and a search was under way.

Iranian news agencies said US helicopters were flying low on apparent search missions and carried videos of residents shooting at them.

DETAILS UNCLEAR OF US FIGHTER JET DOWNED BY IRAN

There were no confirmed details of the searches or the type of aircraft shot down, which the Iranian military said was an F-35, a single-seater. The Pentagon and US Central Command did not immediately respond to requests for comment.

The loss underlined the risk still faced by US and Israeli aircraft over Iran, despite assertions by Trump and Defense Secretary Pete Hegseth that their forces had total control of the skies.

Nearly five weeks after the US and Israel opened the campaign with a wave of strikes that killed Supreme Leader ‌Ali Khamenei, there is ‌no sign of an end to the war, which has already killed thousands and threatened lasting damage ‌to the global ⁠economy.

On Thursday, Trump ⁠posted footage on social media showing dust and smoke billowing up as US strikes hit the newly constructed B1 bridge between Tehran and nearby Karaj, which was due to open this year, and said more attacks would follow.

"Our Military, the greatest and most powerful (by far!) anywhere in the World, hasn't even started destroying what’s left in Iran. Bridges next, then Electric Power Plants!" he wrote in a subsequent post.

Despite the pressure, Iran has been able to hit back at Israel and strike Gulf countries.

On Friday, as Trump threatened to hit its bridges and power plants, Iran struck a power and water plant in Kuwait.

Trump urged Iran's leaders ⁠to seek peace, saying on social media that Iran "knows what has to be done, and has to be done, FAST!".

But ‌Tehran has shown no sign of acquiescence and Trump faces growing pressure to find a quick ‌resolution, with anger building at home and his Republican Party in danger of losing control of Congress at elections in November.

Negotiations conducted via intermediaries with new leaders in Iran have ‌shown little sign of progress, and polls indicate most Americans oppose the war.

'TAKE THE OIL AND MAKE A FORTUNE'

At the same time, the economic ‌impact has been global, with Iran's grip on the strategic shipping lane in the Strait of Hormuz giving it a choke hold on oil and gas.

Trump has expressed anger at US allies that have refused his calls to help re-open the strait, through which a fifth of global oil and liquefied gas passes in normal times. On Friday, he said reopening it would not be difficult.

"With a little more time, we can easily OPEN THE HORMUZ STRAIT, TAKE THE OIL,& MAKE A FORTUNE," he said on Truth Social.

The ‌US and Israel say they have degraded Iran's military capacity. But Iranian media have issued daily reports of attacks on civilian sites too, including schools, pharmaceutical suppliers and health facilities.

On Thursday, the century-old Pasteur Institute in the ⁠heart of Tehran was severely damaged, the ⁠Health Ministry said. On Friday, a drone hit a Red Crescent relief warehouse in the Choghadak area of the southern Bushehr province.

Over 100 American international law experts said the conduct of US forces and statements by senior US officials "raise serious concerns about violations of international human rights law and international humanitarian law, including potential war crimes".

For its part, Iran has continued to strike targets around the Gulf.

Kuwait Petroleum Corporation said its Mina al-Ahmadi refinery had been hit by drones. Other attacks were also reported to have been intercepted in Saudi Arabia and Abu Dhabi. Missile debris landed near the Israeli port of Haifa, site of a major oil refinery.

IRAN WAR CAUSES GLOBAL ECONOMIC UPHEAVAL

Global financial markets have whipsawed in response to expectations of a possible end to the war and the re-opening of the Strait, which only isolated vessels have been able to transit.

The closure has also squeezed shipments of fertilizer, threatening a humanitarian crisis in developing countries in Asia and Africa, underlined by data showing a sharp rise in global food prices in March.

On Friday, a container ship belonging to the French shipping group CMA CGM passed through, MarineTraffic vessel tracking data showed, a sign that Iran may not consider France hostile. A liquefied natural gas ship belonging to Japan's Mitsui OSK Lines also transited.

Oil markets were closed after benchmark US crude prices gained 11% on Thursday following a speech by Trump that offered no clear sign of an imminent end to the war.

The UN Security Council is set to vote on Saturday on a Bahraini resolution to protect commercial shipping in and around the strait, diplomats said, but veto-wielding China made clear its opposition to authorizing armed intervention.


White House Requests Giant $1.5 Trillion Defense Budget Amid Iran War

A media representative walks past a heavily damaged building following a strike at the Azadi Sport Complex in Tehran on April 3, 2026. (AFP)
A media representative walks past a heavily damaged building following a strike at the Azadi Sport Complex in Tehran on April 3, 2026. (AFP)
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White House Requests Giant $1.5 Trillion Defense Budget Amid Iran War

A media representative walks past a heavily damaged building following a strike at the Azadi Sport Complex in Tehran on April 3, 2026. (AFP)
A media representative walks past a heavily damaged building following a strike at the Azadi Sport Complex in Tehran on April 3, 2026. (AFP)

The White House sent a spending proposal to lawmakers Friday calling for a massive $1.5 trillion US defense budget next year as it faces increased costs due to the war in Iran.

The total year-on-year increase in Pentagon spending would be the largest since World War II, US media reported, although presidential budgets are wish lists that have to be approved by Congress, rather than binding orders.

The request would represent a 42 percent hike in the Pentagon topline for 2026.

It is part of a proposal that asks Congress to slash non-defense spending by some $73 billion, or 10 percent, by "reducing or eliminating woke, weaponized and wasteful programs, and by returning state and local responsibilities to their respective governments."

The Pentagon isn't expected to release a detailed breakdown of the budget request until later this month, but the plan could form a fiscal framework that adds trillions to the already growing federal debt over the next decade, assuming Congress adopts the president's proposals.

Trump called on lawmakers to approve the bulk of the increase through the standard annual government funding process, while passing the remaining $350 billion via the same party-line legislative maneuver that allowed Republicans to secure tax cuts without Democratic support last year.

In the lead-up to releasing the proposal, the president and his advisors have emphasized the urgency of boosting defense spending, pointing to the need to replenish weapons stockpiles and other military resources during the ongoing conflict with Iran.

At a private lunch, Trump stressed that defense funding should take precedence over other federal expenditures, even if it meant scaling back social safety-net programs and other assistance.

"It's not possible for us to take care of day care, Medicaid, Medicare, all of these individual things, they can do it on a state basis," he said, adding that the priority had to be "military protection."

The White House posted a video of Trump's remarks on its YouTube page and then deleted it.

Democrats and Republicans have recently voiced concern about increasing military spending to the levels Trump has proposed, noting that the administration has not provided sufficient updates on the five-week-long war with Iran.