They are the "highest sanctions ever imposed on a country", he told reporters in the Oval Office while hosting Australian Prime Minister Scott Morrison.
The United States Department of the Treasury on Friday slapped sanctions on Iran's central bank and its sovereign wealth fund, ratcheting up the pressure on Tehran almost a week after attacks on Saudi Arabia's oil infrastructure that Riyadh and Washington have blamed on Iran.
Treasury Secretary Steven Mnuchin, also addressing reporters in the Oval Office, said the sanctions will result in "no more funds going to" the Iran's Islamic Revolutionary Guards Corps, and will sever Iran's ability to gain access to worldwide funds.
A statement issued by the US Treasury on Friday said, "Iran's brazen attack against Saudi Arabia is unacceptable".
"Iran denies being involved in the attack". Today, we did central bank, as you know.
Washington has imposed a series of sanctions against Tehran since unilaterally pulling out of a multilateral nuclear deal in May previous year.
US Treasury Secretary Steve Mnuchin holds a press conference during the IMF/World Bank spring meeting in Washington, DC, April 21, 2018.
Sigal Mandelker, the Treasury's top terrorism official, said that by imposing the sanctions the U.S.is "putting governments on notice that they are risking the integrity of their financial systems by continuing to work with the Iranian regime's arm of terror finance, its Central Bank".
The Treasury Department said that the Iranian central bank has provided "billions of dollars" to the two units, which were both previously designated as terrorists by Washington.
But diplomatic isolation and economic pressure are not the only responses that the United States is considering. We are, by far, the strongest military in the world.
In recent weeks, Trump had weighed the possibility of easing sanctions on Iran as he sought to meet with Iranian President Hassan Rouhani, who is scheduled to attend the United Nations General Assembly in New York City next week.
Trump a year ago pulled out of a nuclear accord with Iran negotiated under former president Barack Obama, sending tensions soaring as he tried to stop all countries from buying Iran's oil.