The US appears to be intensifying its war efforts with an economic squeeze to force Iran to cave in before further talks, but Chinese observers say the strategy could backfire on the US economy.

The US continued to exert pressure on Iran on Friday even as Iranian Foreign Minister Abbas Araghchi announced that the Strait of Hormuz was completely open for commercial vessels.

“In line with the ceasefire in Lebanon, the passage for all commercial vessels through the Strait of Hormuz is declared completely open for the remaining period of [the] ceasefire, on the coordinated route as already announced by Ports and Maritime Organisation of the Islamic Republic of Iran,” Araghchi said on social media.

US President Donald Trump thanked Iran for the action but said a US naval blockade on vessels entering and leaving Iranian ports would remain in “full force and effect ... only until such time as our transaction with Iran is 100 per cent complete”.

Trump added that the process would go quickly because most of the points had already been negotiated.

Earlier, US Secretary of Defence Pete Hegseth renewed his threats against Iran, saying that the US would attack Iran’s civilian infrastructure if diplomatic efforts failed.