Washington DC: US President Donald Trump has opted to intensify economic pressure on Iran rather than resume military strikes or accept a peace agreement that Washington considers unfavourable, according to a report by Axios.
US Secretary of State Marco Rubio outlined the administration’s approach during a meeting with G7 foreign ministers on Tuesday, saying Trump has a third option beyond restarting military operations or agreeing to what he described as an unacceptable deal with Tehran.
“The President doesn’t just have two options. It’s not just returning to war or signing a ridiculous peace deal. We won’t do a stupid deal. The third option we have is to continue to do what we do now,” Rubio said, as quoted by Axios.
Under the strategy, Washington intends to maintain its existing pressure campaign and tighten financial restrictions on Iran, with the aim of weakening its economy and limiting its ability to fund armed groups or rebuild military capabilities.
Rubio argued that the prolonged economic pressure would increasingly strain Tehran’s finances while allowing Washington to avoid setting a deadline for ending the campaign. He also maintained that Iran was hurting its own economy by refusing to accept American conditions.
“The President is not under false time pressure, the Iranians are inflicting major damage on their own economy,” Rubio said.
The approach follows months of uncertainty over Washington’s next move in the conflict, with Trump repeatedly threatening further military action while insisting that Iran would eventually agree to American demands.
An American official familiar with the administration’s discussions told Axios that Trump had been weighing several possible courses of action before settling on the current strategy.
The president appeared inclined to avoid another round of military escalation after meeting Qatari Prime Minister Sheikh Mohammed bin Abdulrahman Al Thani on Monday. Trump reportedly indicated that fresh strikes against Iranian targets were unlikely to be necessary under the present circumstances.
Instead, the administration plans to continue its economic offensive and naval blockade while pursuing a new operation called ‘Iron Gate’. The initiative is aimed at disrupting ground transportation routes allegedly used to smuggle advanced weapons and technology.
Rubio reportedly played a leading role in advocating the strategy within Trump’s national security team. Treasury Secretary Scott Bessent, CIA Director John Ratcliffe and presidential adviser Jared Kushner were also involved in discussions over the administration’s next steps.
According to Axios, the group favoured maintaining financial and economic pressure over restarting military operations, arguing that Iran’s current negotiating position remained unacceptable to Washington.
Rubio also expressed doubts about the possibility of an immediate diplomatic breakthrough, saying Tehran had failed to put forward proposals that could form the basis of meaningful negotiations.
While acknowledging that Iran wanted an agreement, he argued that sustained economic pressure would eventually force its leadership to reconsider its position.
“Eventually you have to eat,” Rubio remarked, suggesting that worsening economic conditions would ultimately compel Iranian authorities to make concessions.
However, Washington’s approach has reportedly raised concerns among key regional partners, including Turkey, Pakistan and Iraq. An administration official told Axios that these countries were uneasy about the prospect of an indefinite economic squeeze on Iran instead of a negotiated settlement that could bring lasting regional stability.


