US President Donald Trump on 11 August kept open the possibility of a major military escalation against Iran, flatly rejected Tehran's demand for financial compensation, and asserted that the US Navy held complete control of the Strait of Hormuz. Speaking to reporters at the White House, Trump declined to detail the status of ongoing nuclear talks but issued a pointed warning: 'You'll find out.'

Military Escalation on the Table

When asked whether a massive military escalation remained a live option, Trump confirmed the capability without ruling it out. 'Well we have that — certainly that ability if we want to do that, yeah. You'll find out,' he said. The president offered no specifics on what military steps were under active consideration, leaving deliberate ambiguity around Washington's next move.

Trump Flips Iran's Reparations Demand

Trump said Iran had sought monetary compensation for damage it attributed to the United States. He turned the demand around, arguing that Tehran should instead pay reparations for actions it allegedly carried out over the past five decades. 'They asked for, uh, reparations, you might say, or they asked for money for the damage that we've done,' Trump said. 'I said, that's a good idea. Well, we're going to ask for money for the damage they've done over a 50 year period,' he added. Trump specifically referenced people he alleged were killed or wounded by Iran, and the families of protesters he claimed were killed during unrest inside the country. 'If there's damages to be paid, I think Iran should pay those damages,' he said.

US Claims Full Control of Strait of Hormuz

Trump asserted that the US Navy had established an 'infallible' blockade in the Strait of Hormuz, describing it as 'a steel wall.' He said vessels were being permitted to transit the strait but were barred from proceeding to Iran. 'So it's actually open now. We do not let them go into Iran. They're not admitted into the strait to go to Iran. But it's open for others,' he said. Trump also claimed American forces had conducted mine-sweeping operations across the entire waterway. 'We've mine swept the entire strait,' he said. 'We control the strait 100 percent.' The Strait of Hormuz connects the Persian Gulf with the Gulf of Oman and is a critical chokepoint for global energy shipments — any sustained disruption can ripple through international oil prices and shipping costs.

Trump's Claims on Iran's Financial State

Trump claimed Iran was financially exhausted, struggling to pay its soldiers, and experiencing inflation exceeding 300 per cent. These claims were not independently confirmed in available reports. 'They're broke, they have no money,' he said. 'Iran is broke, totally broke.' He accused Tehran of destabilising the Middle East for five decades and causing hundreds of thousands of deaths and injuries. 'They've been the bully of the Middle East,' Trump said. 'And now they're paying a price.'

Israel and Netanyahu Briefly Addressed

Trump briefly addressed his relationship with Israeli Prime Minister Benjamin Netanyahu, saying he had posted his response to Netanyahu's rejection of a proposed Hamas agreement on Truth Social. 'The relationship is very good,' he said, without elaborating on the specifics of the disagreement. With nuclear talks still ongoing and military options explicitly left open, the trajectory of US-Iran tensions will be closely watched in the coming days.