Iran warned on Sunday it would target energy and water systems of Gulf neighbors if US President Donald Trump strikes its power plants, following his 48-hour ultimatum to reopen the Strait of Hormuz. The threat escalates a three-week-old conflict that began on February 28. Markets brace for further turmoil as the deadline approaches.
US President Donald Trump issued a 48-hour ultimatum to Iran on Saturday evening, posting on social media at around 7:45 p.m. EDT: “If Iran doesn’t FULLY OPEN, WITHOUT THREAT, the Strait of Hormuz, within 48 HOURS from this exact point in time, the United States of America will hit and obliterate their various POWER PLANTS, STARTING WITH THE BIGGEST ONE FIRST!” The Strait of Hormuz, which carries about one-fifth of global oil and liquefied natural gas in peacetime, has seen severely restricted traffic since early March due to Iranian actions including attacks on vessels and naval mines, effectively closing it and causing the worst oil crisis since the 1970s. Oil prices surged to their highest in nearly four years, with European gas prices up as much as 35% last week, and global prices exceeding $100 per barrel multiple times. More than 2,000 people have died in the war launched by the US and Israel on February 28, which has disrupted markets and raised inflation fears. Iran’s Parliament Speaker Mohammad Baqer Qalibaf wrote on X that critical infrastructure in the Middle East could be “irreversibly destroyed” if its power plants are attacked. The Revolutionary Guards stated: “The Strait of Hormuz will be completely closed and will not be opened until our destroyed power plants are rebuilt.” Iran’s Khatam al-Anbiya command warned it would strike US energy, IT, and desalination infrastructure in the region. Iran claims the strait remains open to non-enemy shipping with coordination, as some vessels like Indian-flagged ships have passed. Meanwhile, air raid sirens sounded in Israel early Sunday from Iranian missiles injuring scores in Arad and Dimona, prompting Israeli strikes on Tehran. Over 20 countries, including the UK, France, Germany, Japan, and Canada, condemned Iran’s actions in a joint statement. IG analyst Tony Sycamore called Trump’s threat a “48-hour ticking time bomb” for markets.
