Iran warns of broader retaliation risk as Hormuz tensions persist

(Bloomberg) — Iran warned it could retaliate beyond the Middle East if the U.S. or Israel launches new attacks, underscoring continued geopolitical tensions surrounding Tehran’s nuclear program and the ongoing disruption of shipping through the Strait of Hormuz.

“If aggression against Iran is repeated, the regional war that had been promised will this time extend beyond the region,” the Islamic Revolutionary Guard Corps (IRGC) said Wednesday, according to Iran’s semi-official Tasnim news agency. The IRGC warned of “crushing blows in places you do not expect.”

The comments came after Trump said he could authorize another round of strikes if negotiations fail to produce concessions from Tehran on uranium enrichment and maritime access through Hormuz.

Trump has continued signaling that additional military action remains possible if negotiations fail.

Iran and the U.S. remain divided over terms for a broader agreement. Tehran has refused U.S. demands to surrender its highly enriched uranium stockpile or permanently halt uranium enrichment activities, while Washington continues pressing Iran to reopen the Strait of Hormuz to commercial shipping.

The strait, which handles roughly one-fifth of global oil and LNG trade, has remained heavily restricted since fighting intensified earlier this year. Iran has demanded that Washington lift its naval blockade of Iranian ports before allowing broader commercial traffic to resume.

Iranian officials said 26 vessels transited Hormuz in the past day under coordination from the IRGC Navy, though traffic levels remain well below normal prewar volumes.

Iranian Parliament Speaker Mohammad Bagher Ghalibaf said Tehran has used the ceasefire period to rebuild military readiness and strengthen economic resilience in anticipation of possible renewed conflict.

Diplomatic efforts have continued through regional intermediaries, though major disagreements between Washington and Tehran remain unresolved.

Vice President JD Vance said the administration still believes Iran wants to reach a deal, describing renewed military action as “option B.”

“We think that we’ve made a lot of progress,” Vance said Tuesday. “But that’s not what the president wants. And I don’t think it’s what the Iranians want either.”

Trump earlier said Saudi Arabia, Qatar and the United Arab Emirates urged him to delay additional military action to allow more time for diplomacy.

Analysts say the risk of further escalation remains elevated as both sides continue hardening positions while energy markets remain highly sensitive to any disruption involving Hormuz transit or regional oil exports.