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Home Iran War

Rubio Rejects India-Iran Trade Deal, Warns of Sanctions

Rubio said the US respects countries’ independent foreign policies but would act against any effort to create financial channels that help Iran generate revenue for its nuclear programme or armed groups.

PC Bureau by PC Bureau
3 September 2026
in Iran War, News, World
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His remarks came amid heightened US-Iran tensions, with President Donald Trump warning of further military action and Tehran vowing to intensify its response.

BY PC Bureau

September 3: US Secretary of State Marco Rubio has played down reports of a possible India-Iran trade agreement, saying Washington would act against any country that helps Tehran bypass US sanctions or establish financial channels to generate revenue.

Rubio was responding to reports about growing engagement between New Delhi and Tehran after Prime Minister Narendra Modi met Iranian President Masoud Pezeshkian on the sidelines of the 26th Shanghai Cooperation Organisation (SCO) Summit in Bishkek, Kyrgyzstan.

“Well, I don’t think there’s a trade deal between India and Iran,” Rubio said in an interview with The Brian Kilmeade Show.

The US secretary of state acknowledged that countries have the right to pursue their own foreign policies and maintain diplomatic contacts with Iran. He noted that the United States itself has held discussions with Iranian officials.

“Countries all develop their own foreign policy, and many countries around the world talk to the Iranian regime. I mean, we’ve met with elements of the Iranian regime as well,” he said.

Rubio, however, reiterated President Donald Trump’s warning that countries could face US sanctions if they assist Iran in circumventing American restrictions or help Tehran generate revenue.

“No country should be out there helping them create mechanisms by which they can generate revenue that they will then use to sponsor terrorism and try to build a nuclear weapon,” he said. “And if countries decide to do that, then we’re going to have to sanction them too.”

Rubio said preventing Iran from acquiring a nuclear weapon remains a central objective of the Trump administration.

“Iran will never be allowed to possess a nuclear weapon, certainly not as long as President Trump is in office,” he said.

He said Washington would continue to rely primarily on economic pressure, while retaining the option of military action if necessary.

READ: India Condemns Temple Demolition in Pakistan, Seeks Probe

US warns countries with sanctions if they trade with Iran.

Reporter: We saw Prime Minister Modi meet with the Iranian President… looked like they’re setting up some type of trade deal. Pakistan two weeks before. What’s your message for those countries?*

Secretary Marco…

— Geeta Mohan گیتا موہن गीता मोहन (@Geeta_Mohan) September 2, 2026

“As long as they continue to endeavour or claim to want one, they’re going to pay a price for it, and that price is going to be primarily economic,” Rubio said. “But we reserve the right… to take military action when necessary—not just to protect ourselves but to prevent them from being able to threaten others as well.”

Rubio also accused Tehran of diverting resources to armed groups and its nuclear ambitions instead of addressing the needs of the Iranian population.

“They want money for two things—to sponsor terrorism and ultimately to have a nuclear weapon. And we can’t allow that to happen,” he said.

His remarks came amid escalating tensions between Washington and Tehran. President Trump said US forces had carried out a “very heavy attack” on Iranian targets overnight and warned that American forces were “prepared to do another one any time we want.”

Iranian Supreme National Security Council Secretary Mohsen Rezaei, meanwhile, wrote on X that Tehran had adopted a “new strategy” in the conflict that began in late February. He vowed that Iran would “shatter your foundations” on the battlefield, in diplomacy and through resistance to the economic blockade.

Washington has indicated that it intends to further tighten economic pressure on Iran and impose sanctions on countries found to be helping Tehran circumvent US restrictions.

Tags: IndiaIranIran PresidentMarco RubioPM ModiUSUS Sanctions
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