Live Updates: Iran dismisses Trump's "economic D-Day" threat, says it "will only bring further defeat"

Iran's paramilitary Islamic Revolutionary Guard Corps warned on Thursday that Saudi Arabia will not be able to contain the Tehran-backed Houthis in Yemen as the rebels ramp up attacks on the kingdom.

"Saudi Arabia will certainly be unable to contain Yemen and Ansarullah or remain safe from their attacks," Guards spokesman Hossein Mohebi told Defa Press, using another name for the Houthis. "As we have seen in recent days, the more Saudi Arabia attacks, the more it is hit in return."

Yemen last month became the latest front to open in the ongoing war. After tit-for-tat strikes in early July following the arrival of an Iranian plane in the Yemeni capital, Sanaa, the Houthis attacked Saudi vessels and attempted to blockade Saudi Arabia's Red Sea ports.

Yemen has been embroiled in more than a decade of war – the latest fighting has upended a 2022 truce with the Saudi-backed internationally-recognized government.

This week, a Yemeni minister told the AFP news agency that the Houthi rebels were plotting to seize land along the Bab al-Mandab Strait, which would allow them to further threaten the vital shipping artery.

Three Houthi military sources and a spokesman for the Yemeni government forces battling them near the waterway also told AFP the rebels are planning to advance south from their current territory.

CBS/AFP

Iranian Foreign Minister Seyed Abbas Araghchi held a telephone conversation on Wednesday with the army chief of Pakistan, one of the countries that has been mediating between Iran and the U.S.

During Araghchi's call with Field Marshal Asim Munir, both men reviewed the latest regional developments and various aspects of the current situation, according to the Iranian foreign ministry.

The pair also exchanged views on recent diplomatic efforts aimed at advancing political and diplomatic solutions, the statement read, without going into further details.

Los Angeles — U.S. immigration officials worked with Iran to deport Iranians in late 2025 and early 2026, newly released emails show, revealing a working relationship between the U.S. and Iranian governments despite tensions mounting between them.

Hundreds of emails exchanged between U.S. immigration officials, which were obtained by the National Iranian American Council and made public Tuesday, offer the most transparent play-by-play yet of how the two countries worked together to arrange for more than 100 Iranians to be flown back to Iran on three separate immigration flights in September and December 2025 and January 2026.

The emails show that Iranian officials had some influence over which Iranian immigrants in the U.S. were sent back to their home country, and U.S. Immigration and Customs Enforcement officials apparently heeded some last-minute changes to deportation lists that Iran requested.

"Per request from the Iran Embassy I added a few cases," one unnamed ICE official wrote in late August, a month before the first deportation flight in September. Just over a week later, someone with the same job title moved to make another, unspecified change to the deportation list after they said they met with the "Director at the Iranian Embassy."

"Iran has requested that I amend the previous manifest and expedite the removal process," the official wrote.

Read more here.

CBS/AP

Iran's Foreign Minister Abbas Araghchi predicted Thursday that the impact of what President Trump called new "economic warfare" against Tehran will be the opposite of what the president intends.

In a post on his Truth Social platform Wednesday, Mr. Trump announced a "crushing economic operation" against Iran that he said will consist of "Economic Warfare and Isolation on an unprecedented scale."

But Araghchi said in a social media post that "the so-called 'Economic D-Day' is a diversion from America's own crisis: unprecedented debt & surging interest costs. Doubling down on failed policies will only bring further defeat — and enmity of Iranians. US economic terrorism threatens global economy and sovereignty worldwide."

Araghchi shared a New York Times article beneath his statement, about the U.S. national debt crossing the unprecedented $40 trillion threshold.

President Trump announced a "crushing economic operation" against Iran that he said would consist of "Economic Warfare and Isolation on an unprecedented scale." He called it "an economic D-Day."

"No one has given the Islamic Republic of Iran a greater opportunity to make a Deal than me. TRAGICALLY, for them, they have failed to take it," the president wrote on Truth Social.

He also said any country that provides "any type of lifeline to Iran" would face repercussions. 

"ANY country that allows its financial institutions, businesses, airports, or government entities to provide any type of lifeline to Iran will itself face TREMENDOUS Economic Consequences. Oil smuggling, swap lines, cash transfers, exchange houses, ship registries, front companies — It all needs to stop NOW. You know who you are," Mr. Trump said.

The president said Iran is "on the ropes, and these HISTORIC MEASURES will cripple them and their ability to project terror worldwide," reiterating that "IRAN WILL NEVER HAVE A NUCLEAR WEAPON." 

Speaking to reporters on Wednesday, President Trump said new sanctions against Iran are possible but the U.S. Navy's blockade in the Strait of Hormuz has so far been "extremely effective."

Asked about Treasury Secretary Scott Bessent's threat last week on unprecedented sanctions against Iran, Mr. Trump said: "We have things that we could sanction … We have very draconian sanctions."

"It will either be extremely good and oil prices are gonna drop like a rock, or we'll continue exactly what we're doing," the president said.

As the war with Iran continues and both sides seek to control the strait, through which 25% of the world's oil trade transited before the war began in February, oil prices have reached their highest level since July. 

Mr. Trump said Wednesday the Strait of Hormuz won't be "as important as it was in the past," adding that a record number of oil pipelines are being built.

At least seven major pipeline projects are under construction, in the planning stage or being discussed as possibilities, according to government officials, oil companies and analysts. However, it could be years before that oil could bypass the strait.

President Trump, who said Tuesday the U.S. had no negotiations scheduled with Iran, volunteered that the U.S. might return to the bargaining table eventually, but appeared unconcerned with talks being on hold. 

"Maybe at some point," Mr. Trump said, in response to a question about whether the U.S. would return to talks. "But right now, I think the situation is so good. Maybe at some point."

He pivoted to his continued insistence that Iran not pursue nuclear weapons, a condition of successful negotiations since the beginning of the war.

"Look, it's very simple," the president said. "They have to get rid of completely — no nuclear weapons. Iran cannot have a nuclear weapon. Do you know why? Because they'd use it. And we're not gonna let them use it. So Iran cannot have a nuclear weapon, and they won't."