How Trump's Treasury is shifting sanctions to punish his critics and reward friends

Why it matters: Economic coercion is being turned into a political weapon, threatening diplomatic stability.
- Donald Trump ordered Treasury Secretary Scott Bessent to “cut off all dealings with Spain” after the Spanish PM condemned U.S. attacks on Iran.
- Treasury Department is repurposing the SDN list—originally meant to block genuine security threats—to target critics and favor loyalists, according to NPR‑reviewed documents and former ambassadors.
- Former U.S. ambassadors such as David Pressman warn the practice turns sanctions into personal vendettas, eroding the agency’s strategic credibility.
President Trump has weaponized the Treasury’s sanction tools to silence foreign critics and reward allies, turning a security‑focused program into a political lever. Former officials say the shift breaches historic norms, using the Specially Designated Nationals list to punish dissent and lift penalties without evidence of reform.

