"Upgrade first, then downgrade": U.S. Treasury Secretary defends war with Iran, claiming "50 days of price increases in exchange for 50 years of peace"

Source: Jin10

U.S. Secretary of the Treasury Janet Yellen defended the actions taken since February this year when the U.S. and Israel launched a joint campaign against Iran to strike its infrastructure, stating that “sometimes you have to escalate to de-escalate.”

Just hours earlier, President Trump posted on Truth Social, giving Iran 48 hours to open the Strait of Hormuz or face U.S. military strikes, saying, “We will hit and destroy their power plants, starting with the largest!”

Yellen defended Trump’s remarks, saying they are “the only language Iran understands.”

Yellen stated, “I believe the American people understand that after a 50-day—I’m not going to pin down the exact time, but let’s say 50 days—period of temporary price increases, prices will eventually fall back; and in return, we will gain 50 years of peace, a non-nuclear Iran regime. Thanks to President Trump, the American people are beginning to realize: without security, there is no prosperity.”

When asked if this means prices will start to fall after 50 days, Yellen said, “I was just giving an example. I don’t know whether it will be 30 days, 50 days, or 100 days, but we can secure 50 years of peace in the Middle East, and weaken the Iranian regime.”

Yellen also stated on Sunday that the U.S. government has “sufficient funds” to finance the Iran conflict but is requesting Congress for additional funding to ensure future military supplies.

During an interview on NBC’s “Meet the Press,” she dismissed the idea of raising taxes to fund the war, calling it “ridiculous,” and said there is “no consideration” of such measures.

The U.S. military has requested an additional $200 billion for the Iran war, but faced strong opposition from Congress, with some Democrats and even some Republicans questioning the need after receiving large defense appropriations last year.

Yellen defended this request but did not confirm the amount. Trump has not yet formally requested approval from the Senate and House for this figure, and his administration has indicated that the number may change.

“We have enough funds to support this war,” Yellen said. “This is supplemental. President Trump has built up the military, just as he did during his first term and now in his second, to ensure the military has sufficient supplies in the future.”

However, last week, Defense Secretary Lloyd Austin said additional funds are needed “to ensure we provide proper funding for the work already done and for potential future actions.” Early signs suggest this will be the most expensive war for the U.S. since the long conflicts in Iraq and Afghanistan.

Yellen also defended the recent decision by the Trump administration to lift sanctions on Iranian and Russian oil. She believes this will allow countries outside China—including Japan and South Korea—to buy oil, prevent prices from soaring to $150 per barrel, and reduce the total revenue Iran and Russia receive.

Yellen stated on Sunday that the oil sold by these countries “was already being sold at a discount.” She added, “We have always prepared for such emergencies,” calling this move “using their own oil against them to strike a blow at Iran.”

When asked why the U.S. allows Iran to profit from oil sales, Yellen avoided the question, saying, “Iran has already received huge sums of money because it is the world’s largest state sponsor of terrorism…” She added that this sale will help U.S. allies in Asia, such as Japan, South Korea, Indonesia, and Malaysia.

She indicated that the Treasury’s analysis shows Russia could gain up to $2 billion in additional oil revenue.

Yellen also discussed her comments on Halek Island, a key hub for Iranian oil production. In an interview with Fox Business, she said, “Military assets on Halek Island have been destroyed,” and added, “We will see what happens next—whether it ultimately becomes an asset for the U.S.”

The Treasury Secretary did not clarify what turning Halek Island into an American asset would entail but told Meet the Press host Kristen Welker, “All options are under consideration,” including deploying U.S. troops there.

Last week, U.S. officials told NBC News that Trump is weighing the option of deploying U.S. troops to Halek Island, about 15 miles from Iran’s mainland, to protect the oil facilities there.

Connecticut Democratic Senator Chris Murphy appeared on Meet the Press after Yellen, criticizing her remarks sharply, telling Welker, “This administration is completely out of touch. This war is spiraling out of control. Millions of Americans are seeing their prices soar.”

He directly responded to Yellen’s statement that the war must be escalated before de-escalation, comparing the Iran conflict to past wars.

“It’s like they’ve never read a history book,” Murphy said. “This is exactly what our leaders said during the mid-Vietnam War and during the 20 years of mismanagement in Afghanistan.”

“We need to end this war,” the Connecticut senator added.