Iran threatens escalation if US attacks

Financial Times
February 25, 2026
AI-Generated Deep Dive Summary
Iran has hinted at potential military and economic escalation in response to a US attack, signaling a shift in its approach toward managing confrontations with Washington. This new stance reflects growing frustration over the failure of diplomatic efforts to reduce tensions and could significantly impact global business and financial markets. The shift in Iran's doctrine comes as officials reconsider their strategy of containing conflicts with the United States. While historically, Tehran has sought to de-escalate tensions through外交 efforts, recent comments suggest a harder line, emphasizing retaliation if attacked. This change marks a departure from previous policies aimed at managing confrontations and maintaining some level of stability in relations. The potential for escalation raises concerns about broader regional instability and its implications for global oil markets. Iran's threats could lead to increased geopolitical risks, affecting trade routes, energy supplies, and international business operations. Companies operating in the region or dependent on Middle Eastern resources may face heightened uncertainty and economic pressures as tensions rise. For businesses, this development underscores the importance of closely monitoring US-Iran relations and their potential impact on global supply chains and financial markets. The situation also highlights the need for contingency planning to mitigate risks associated with geopolitical instability.
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Originally published on Financial Times on 2/25/2026