Iraq Model Discussed in US Economic War Against Iran

According to a Reuters analysis, the US is considering applying the Iraq model by excluding countries that maintain commercial relations with Iran from the dollar-centric financial system. This strategy could make major trade partners such as Turkey, China, and the United Arab Emirates targets for Washington.

Iraq Model and Financial Pressure

In its economic operation against Iran, the US is considering taking steps similar to those taken regarding Iraq. According to Reuters' analysis, Washington could resort to excluding countries that maintain trade relations with Iran from the dollar-centric financial system.

Targeted Trade Partners

US President Donald Trump stated that any country providing an economic lifeline to Iran would face severe consequences. Meanwhile, the Iranian Ministry of Foreign Affairs described this policy as economic terrorism. The analysis indicates that Turkey, China, the United Arab Emirates, India, Pakistan, and Oman could become targets.

Iraq's Financial Vulnerability

Since the 2003 invasion, the US administration has maintained control over Baghdad's oil revenues, holding over $100 billion in reserves. Neil Quilliam from Chatham House emphasizes that Iraq is extremely vulnerable to pressure because it is forced to access the US financial system.

Baghdad's Relations with Tehran

While the trade volume between Iraq and Iran exceeded $10 billion in 2025, Tehran acquires foreign currency and bypasses sanctions thanks to these relations. Baghdad pays $4 to $5 billion annually for Iranian natural gas used in electricity generation.

Minister's Statements and Uncertainty

US Treasury Secretary Scott Bessent stated that countries failing to comply with sanctions will be isolated like Iran. To the question of why the names of the countries to be targeted were not shared, Bessent responded that he did not want to endanger the global financial system.