The United States launched a fresh wave of strikes against Iranian coastal defence systems and missile sites on Wednesday after reimposing a naval blockade of Iranian ports, while President Donald Trump warned that Iran's bridges, power plants and, eventually, energy infrastructure could be targeted if Tehran does not return to negotiations.
The latest military action follows continued exchanges between the two sides around the Strait of Hormuz, with Washington saying the strikes were aimed at reducing Iran's ability to threaten commercial shipping.
Iran responded by announcing attacks on U.S. military targets in Bahrain, Kuwait and Jordan, while warning that additional regional energy export routes could also face disruption.
U.S. Central Command said its forces struck coastal defence systems along with cruise missile storage and launch sites on Iran's Greater Tunb Island during a roughly 90-minute operation on Wednesday.
The strikes followed another seven-hour campaign carried out a day earlier against military targets near the Strait of Hormuz and Iranian coastal areas.
Iran's Islamic Revolutionary Guard Corps said it had carried out retaliatory attacks against U.S. military positions in Bahrain, Kuwait and Jordan.
Iran also said the Strait of Hormuz would remain closed until what it described as "the end of America's evils."
Iranian officials said recent U.S. strikes killed at least 30 civilians in southern Iran, while the Iranian army reported that seven military personnel were killed in overnight strikes on the Bampur military base.
Trump said the United States would escalate further unless Iran resumes negotiations.
"We're going to knock out all their power plants. We're going to knock out all their bridges unless they get to the table and negotiate."
He also said, "I'll save the energy targets for last, but ultimately we'll hit energy targets."
Trump added that U.S. negotiators had warned Iranian counterparts they "better make a deal."
The president also abandoned an earlier proposal for a 20% shipping fee in the Strait of Hormuz, saying he would instead pursue investment agreements with Gulf states.
Meanwhile, Iran rejected suggestions that increased military and economic pressure would force it back to negotiations.
The continued fighting has intensified concerns over shipping through the Strait of Hormuz and broader regional energy exports, while analysts warned that further escalation remains possible despite expectations that both sides may seek to avoid a return to full-scale war.