Daijiworld Media Network - Washington
Washington, Aug 10: Amid continued tensions over the Strait of Hormuz, US President Donald Trump on Sunday said the United States was adopting a "low-key" approach towards Iran and was not currently planning a fresh military offensive, Axios reported.
"We are low keying it," Axios quoted Trump as saying.
Trump said the US was only "semi-negotiating" with Iran while closely monitoring the country's worsening economic situation.
"We are only semi-negotiating with them. We are just watching Iran with its huge inflation and the fact they have no money," he said.
Trump said Iran was "in very bad shape" economically and claimed that the country did not have enough money to pay its troops. He also said the US naval blockade had further intensified the Iranian regime's economic difficulties.
However, Trump said falling oil prices, currently slightly above USD 75 per barrel, had reduced the impact of the conflict on American consumers.
"It will work out. It always works out. It's like a chess game," Trump said while describing the ongoing situation with Iran, Axios reported.
Tensions between the US and Iran have remained high amid developments surrounding the Strait of Hormuz, a key global route for oil shipments.
Trump's comments came amid stalled negotiations involving Iran, Oman and the US aimed at reopening the Strait of Hormuz. Tehran has put forward new conditions, including lifting the US naval blockade and withdrawing American forces stationed near Iran.
Earlier, the US Defence Department asked American defence contractors to urgently increase weapons production and accelerate deliveries amid concerns over shortages of critical munitions linked to the war with Iran, The Washington Post reported, citing a memo.
Deputy Defence Secretary Steve Feinberg told industry leaders on Wednesday that they had up to 21 days to submit plans for "significantly faster, more aggressive delivery schedules and/or increased production for critical capabilities".
Meanwhile, Iranian Foreign Minister Abbas Araghchi said Tehran was not currently holding direct negotiations with Washington and was only exchanging messages through intermediaries, Al Jazeera reported.
"There are efforts underway to create grounds for negotiations," Araghchi said.