August 31st, 2026: Iran’s Trade Is Collapsing and Gas Lines Are Growing & Trump’s G20 Pressure Campaign

**SPEAKER_1** (0:00)
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**Mike Baker** (0:43)
It's Monday, the 31st of August. Now, if you're keeping score at home, that would make it the last day of the month. I'm assuming that pumpkin spice, everything is just around the corner. Welcome to The President's Daily Brief. I'm Mike Baker. Your eyes and ears are on the world stage. All right, let's get briefed. First up, missiles and drones are flying again in the Iran conflict, while US economic pressure is starting to hit hard inside Iran. As foreign trade collapses, oil exports dry up and gasoline lines grow across the country. Later in the show, the Trump administration takes its economic war against Iran to the G20, telling major economies to choose between the Iranian regime and access to the American financial system. Plus, President Trump confirms a sweeping agreement that will give the US control over a major share of Venezuela's enormous oil reserves. And in today's Back of the Brief, the Iranian regime releases a written message, supposedly from Iran's missing supreme leader, but still no proof or evidence that General Shtab al-Khawani is actually alive. But first, today's PDB Spotlight.
In a brief update on the kinetic side of this conflict, the US military reported that it targeted two Revolutionary Guard launchers on Lerak Island off of Iran's coast on Sunday. According to the US military, the launchers were preparing to deploy sea mines into the Strait of Hormuz. In retaliation, the IRGC targeted US facilities in Jordan, with Jordanian officials saying they intercepted several Iranian missiles approaching their territory. We'll have further news on this latest action.
On the economic side of the conflict, for six months, Iran's leaders have insisted that their country can withstand whatever economic pressure Washington sends its way. But over the weekend, the regime offered one of its clearest acknowledgments yet that the pressure is beginning to bite. Iranian President Masoud Peseshkian says his country's foreign trade has fallen nearly 35 percent because of US sanctions and the naval blockade of Iranian ports. Annual inflation reached 66 percent last month. And a message, written supposedly by the absent Supreme Leader, Mostafa Khamenei, calls on the government to address rising prices, unemployment and growing economic hardship. Most revealingly, Peseshkian is publicly advocating for a return to the interim agreement that Tehran and Washington reached back in June. That agreement or memorandum or whatever we call it, briefly eased sanctions and allowed Iran to resume oil sales. Peseshkian says Iran managed to export approximately 90 million barrels while it was in effect. He said, quote, We can solve our problems and gain our privileges with the memorandum of understanding, end quote.
Now, that's not an offer to surrender, and Iran's hardliners are continuing to promise resistance. And of course, it's unclear whether Peseshkian has any actual authority or sway within the current regime leadership.
Now, the clearest explanation for Peseshkian's public statement can be found in Iran's oil industry. The US resumed its blockade of Iranian shipping and ports on July 13th, cutting into Tehran's primary source, of course, of hard currency. Ship tracking data indicates that no supertanker carrying newly loaded Iranian crude has visibly crossed the Strait of Hormuz since then, though some vessels may be operating without their location transponders. China remains, of course, Iran's dominant oil customer, but its imports of Iranian crude have fallen sharply. Chinese buyers imported an average of approximately 1.4 million barrels per day last year. In August, that figure fell to roughly 534,000 barrels per day. Iranian crude is normally offered at a steep discount because buyers risk violating American sanctions. But the remaining supplies have become so scarce that some Iranian oil was recently being offered at a premium. Iran is still receiving money from oil that's loaded before the blockade tightened. Millions of barrels remain aboard ships in Asian waters, and payments often arrive weeks after delivery. But that stockpile is being steadily depleted, with little newly exported oil available to replace it. And now the pressure is beginning to appear at Iran's gas stations. Iran consumes more gasoline than it can currently produce. Domestic refineries are operating near their limit at approximately 130 million liters per day, while Iranians consume at least 137 million.