Iranian President Masoud Pezeshkian told the UN General Assembly that Iran will never "bend the knee" to US threats but is ready for dialogue without the language of force, directly responding to President Donald Trump's threat to "annihilate the Islamic Republic" delivered a day earlier [4][11]. Pezeshkian called the US "the true bully and terrorist in the Middle East" and accused Washington of terrorism for assassinating Ayatollah Ali Khamenei, while insisting any deal must end the US blockade and preserve Iran's right to peaceful nuclear technology [11][6][4]. The address followed the first mediated US-Iran meeting in months — a three-hour session in New York brokered by Qatar, involving US Special Envoy Steve Witkoff, US Envoy Jared Kushner, and Iranian Foreign Minister Abbas Araghchi [22][23][28].
Trump framed the choice before Iran as binary: "do I annihilate the Islamic Republic and do it quickly" or reach a deal that rebuilds the country, claiming the war prevented Iran from obtaining a nuclear weapon and predicting an agreement after November's US midterm elections [2][22][18]. Trump described the mediated talks as "very good" and "very productive," and Witkoff said the discussions were "constructive and promising" [14][4]. US Secretary of State Marco Rubio said Trump is open to speaking with Iranian officials and that any talks must have the potential to prevent Iran from obtaining a nuclear weapon [5].
Iranian Foreign Ministry spokesman Esmail Baghaei said Iran communicated with the US through a Qatari mediator and conveyed conditions including ending the war in all areas, stopping US aggressive actions and the naval blockade, ending the economic war, and releasing frozen Iranian assets [3][11]. Iran's Supreme National Security Council ordered the delegation not to meet the Americans face-to-face, according to Iranian sources, and Mohsen Rezaei, Secretary of the Supreme National Security Council of Iran, said the Strait of Hormuz will not be opened until Iran's conditions are implemented [8][11]. Islamic Revolutionary Guard Corps spokesman Hossein Mohebbi said Tehran has toughened its conditions after Washington violated the June agreement [32].
Andreas Krieg, Associate Professor at King's College London, argued the violent rhetoric is not a contradiction to the diplomacy but part of a bargaining strategy, with the real issue being sequencing of sanctions relief versus Iranian concessions on Hormuz and nuclear files [2]. Iran expert Fatemeh Aman said Trump wants to end the Iran war from a position allowing him to claim Iran's capabilities were weakened and Tehran forced back to the negotiating table, but that a coherent strategy remains hard to discern [24]. Farzan Sabet, Middle East expert at the Geneva Graduate Institute, said that behind the scenes there is at least a shared interest between Iran and the Gulf states in preventing further military escalation [24]. Israeli security officials, meanwhile, told the Israeli outlet Mako that there has been no discussion of the nuclear file for weeks, saying the US is now trying to break Iran's ability to use the Strait of Hormuz as strategic leverage [41].
Iran's Armed Forces General Staff and the Khatam al-Anbiya Central Headquarters dismissed Trump's remarks as demonstrating "America's strategic dead end" and warned Iran is prepared to inflict "even harder, devastating and unpredictable" strikes on the US and Israel [1][2][13]. Supreme Leader Mojtaba Khamenei described knowledge, faith and morality as an "iron shield and a sharp sword" that can cut off the hands of aggressors [2]. The IRGC Navy declared the Strait of Hormuz under its control and completely closed, while Iran-aligned Houthis announced a naval blockade of Saudi ports and ships in the Bab al-Mandeb strait [30].
German Foreign Minister Johann Wadephul called on Iran to end its closure of the Strait of Hormuz and engage seriously in negotiations, with Germany and the E3 ready to support mediation [7][19]. French President Emmanuel Macron said he agreed with Trump to act together to calm energy markets by protecting Middle East infrastructure and ensuring freedom of navigation in the strait [33]. India's foreign ministry condemned an attack on a cargo ship in the Strait of Hormuz that killed an Indian sailor and called for unimpeded passage to be restored [4].
Insurers, shipping executives and oil analysts described rising war-risk premiums and reduced transits through the strait, which carries 20% of world oil and LNG [30][22]. Kpler data showed only two commercial vessels transited the strait on Monday, the day before the talks, down from ten the previous day [23]. Saudi buyers warned their export stocks could last only five to seven days if a key pipeline remains shut, while Saudi Aramco restarted its East-West pipeline at a reduced rate [29][31]. Brent crude fell below $100 after Iran signaled a possible one-week Hormuz reopening and the pipeline restart [31]. The US Federal Reserve raised its benchmark interest rate to 3.75–4 percent amid energy-driven inflation [31].
US Treasury sanctions taking effect September 23 threatened any company still working with Iranian airlines with exclusion from the US financial system, accusing Tehran of using commercial flights to transport gold and weapons for the Revolutionary Guards [17]. Turkish Airlines and other Turkish carriers cancelled Iran flights on September 21, and Mahan Air suspended routes to Istanbul, Ankara and Muscat [17][36]. US Secretary of the Treasury Scott Bessent said all Iranian airlines would be forced to cease operations [21]. Rezaei threatened that if neighboring countries cooperate with the US by blocking Iranian flights, Iran would make their airports unable to operate [21]. China denounced the sanctions as "sanctions unilatérales illégales" (illegal unilateral sanctions) [17].
Iranian civilians described halved meat and poultry consumption, abandoned leisure and postponed marriages amid soaring prices, while government spokeswoman Fatemeh Mohajerani said she cannot publish poverty figures because they are subject to a security prohibition [34][35]. Hamidreza Azizi Farsani, Member of the Iranian parliament, warned that Iran's poor population could exceed 55 million by year-end under current economic conditions [34]. Senator Andy Kim said Trump's war in Iran has completely failed and Americans are paying the price, and Matt Duss, former foreign policy adviser to Bernie Sanders, called Trump's threats a criminal threat of genocide against an entire nation [16]. A CNN poll showed only 26% support Trump's war approach, and the Congressional Budget Office found it could take five years to replenish US munitions stockpiles [18][12].
Iran's ambassador to Russia Kazem Jalali said Iran-Russia relations are expanding faster than before in the political, economic and military spheres, and Rosatom head Alexei Likhachev said the number of Russian specialists at Iran's Bushehr nuclear plant has increased [38]. Western research institutes assessed that Russia turned its licensed version of the Iranian Shahed drone into a platform for large-scale military modernization, and that Russian targeting data could make future Iranian drone attacks harder to counter [39].
Trump said another round of talks with Iran will be held very soon [32]. A senior Iranian official said Tehran is prepared to reopen the Strait of Hormuz within a week if the US eases military pressure and lifts its port blockade [31]. The Iranian delegation walked out of the General Assembly during Trump's speech, leaving only one member in the hall [14][16].