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Iran Threatens to Retaliate Against Gulf Energy and Water After Trump Ultimatum

Symbolic mock-ups of Iranian missiles are displayed on a street, amid the U.S.-Israeli conflict with Iran, in Tehran, Iran, March 22, 2026. Photo: Majid Asgaripour/WANA (West Asia News Agency) via REUTERS

Iran said on Sunday it would strike the energy and water systems of its Gulf neighbors in retaliation if US President Donald Trump follows through with a threat to hit Iran’s electricity grid in 48 hours, escalating the three-week-old war.

The prospect of tit-for-tat strikes on civilian infrastructure could deepen the regional crisis and rattle global markets when they reopen on Monday morning.

Air raid sirens sounded across Israel from the early hours of Sunday, warning of incoming missiles from Iran, after scores of people were hurt overnight in two separate attacks in the southern Israeli towns of Arad and Dimona.

The Israeli military said hours later that it was striking Tehran in response.

Trump threatened overnight to “obliterate” Iran’s power plants if Tehran did not fully reopen the Strait of Hormuz within 48 hours, barely a day after he talked about “winding down” the war. He made the new threat as US Marines and heavy landing craft are heading to the region.

But while attacks on electricity could hurt Iran, they would be potentially catastrophic for its Gulf neighbors, which consume around five times as much power per capita. Electricity makes their gleaming desert cities habitable, and most of them produce nearly all of their drinking water by purifying it from the sea.

Iran’s Parliament Speaker Mohammad Baqer Qalibaf wrote on X that critical infrastructure and energy facilities in the Middle East could be “irreversibly destroyed” should Iranian power plants be attacked.

Iran’s powerful Revolutionary Guards said it would also mean the shipping lane where a fifth of global oil and liquefied natural gas normally transits along Iran’s southern coast would remain shut.

“The Strait of Hormuz will be completely closed and will not be opened until our destroyed power plants are rebuilt,” the Guards said in a statement.

More than 2,000 people have been killed during the war the US and Israel launched on February 28, which has upended markets, spiked fuel costs, fueled global inflation fears and convulsed the postwar Western alliance.

‘TICKING TIME BOMB OF ELEVATED UNCERTAINTY’

“President Trump’s threat has now placed a 48-hour ticking time bomb of elevated uncertainty over markets,” said IG market analyst Tony Sycamore, who expects stock markets to fall when they reopen on Monday.

Oil prices jumped on Friday, ending the day at their highest in nearly four years.

Markets already under severe strain from blockaded shipping were further rattled last week when Israel attacked a major gas field in Iran, and Tehran responded with strikes on neighbors Saudi Arabia, Qatar and Kuwait, raising the prospect of damage hindering energy output even if tankers resume sailing.

Iranian attacks have effectively closed the Strait of Hormuz, causing the worst oil crisis since the 1970s. Its near-closure sent European gas prices surging as much as 35% last week.

“If Iran doesn’t FULLY OPEN, WITHOUT THREAT, the Strait of Hormuz, within 48 HOURS from this exact point in time, the United States of America will hit and obliterate their various POWER PLANTS, STARTING WITH THE BIGGEST ONE FIRST!” Trump posted on social media around 7:45 p.m. EDT (2345 GMT) on Saturday.

Iranian media quoted the country’s representative to the International Maritime Organization as saying the strait remains open to all shipping except vessels linked to “Iran’s enemies.”

Ali Mousavi said passage through the waterway was possible by coordinating security and safety arrangements with Tehran.

Ship-tracking data shows some vessels, such as Indian-flagged ships and a Pakistani oil tanker, have negotiated safe passage through the strait. But the vast majority of ships have remained holed up inside.

Iran’s Khatam al-Anbiya military command headquarters said on Sunday if the US hit Iran’s fuel and energy infrastructure, Iran would attack all US energy, information technology and desalination infrastructure in the region.

Striking major Iranian power plants could trigger blackouts, crippling everything from pumps and refineries to export terminals and military command centers.

IRAN EXPANDS RISKS WITH LONG-RANGE MISSILES

The United States and Israel say they have seriously degraded Iran’s ability to project force beyond its borders with their three weeks of intensive air strikes.

But Tehran fired its first known long-range ballistic missiles with a range of 4,000 km (2,500 miles) on Friday towards a US-British Indian Ocean ‌military base, expanding the risk of attacks beyond the Middle East.

An Iranian strike also landed near Israel’s secretive nuclear reactor about 13 km (8 miles) southeast of the city of Dimona.

The war has been taking place alongside a confrontation on a separate front between Israel and Lebanon’s Hezbollah, backed by Iran, with Israel saying on Sunday its troops had raided a number of the armed group’s sites in southern Lebanon.

Hezbollah said it had attacked several border areas in northern Israel. Israeli emergency services said one person was killed in a kibbutz near the border, the first fatality in Israel killed by fire from Lebanon since the escalation began.

Hezbollah has fired hundreds of rockets at Israel since it entered the regional war on March 2, prompting an Israeli offensive that has killed more than 1,000 people in Lebanon.

Israel said it had instructed the military to accelerate the demolition of Lebanese homes in “frontline villages” to end threats to Israelis, and to destroy all bridges over Lebanon’s Litani River which it said were used for “terrorist activity”.

Pope Leo appealed for an end to the conflict. “The death and suffering caused by this war are a scandal to the whole human family,” he said.

A Reuters/Ipsos poll conducted last week found 59% of Americans disapprove of US strikes against Iran, while 37% approved. The war has become a major political liability for Trump ahead of November elections for Congress.

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Pope Leo Calls War in Middle East a ‘Scandal’ to Humanity

Pope Leo XIV is welcomed by Lebanese President Joseph Aoun and officials upon arrival at Rafic Hariri International Airport, during his first apostolic journey, in Beirut, Lebanon, November 30, 2025. Photo: REUTERS/Mohammed Yassin

Pope Leo on Sunday said death and suffering caused by the war in the Middle East are a “scandal to the whole human family,” renewing his plea for an immediate ceasefire.

As the US-Israeli war on Iran enters its fourth week, the first US pope said that he continues to follow with “dismay” the situation in the Middle East and in other regions torn apart by war and violence.

“We cannot remain silent in the face of the suffering of so many people, the defenseless victims of these conflicts. What hurts them hurts the whole of humanity,” Leo said at his weekly Angelus prayer in St. Peter’s Square.

“I strongly renew my appeal for us to persevere in prayer, so that hostilities may cease and the way may finally be paved for peace,” he added.

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Hundreds Wounded in Iran Missile Attacks Across Central, Southern Israel, Including Near Nuclear Site

A drone view shows a damage in a residential neighborhood, following a night of Iranian missile strikes which injured dozens of Israelis, amid the US-Israel conflict with Iran, in Dimona, southern Israel, March 22, 2026. Photo: REUTERS/Roei Kastro

More than 200 people were wounded in several Iranian strikes on central and southern Israel over the weekend, including children who were seriously injured, after Israeli air defenses failed to intercept at least two ballistic missiles, prompting the defense minister to threaten to send Iran “back decades.”

Fifteen people were injured on Sunday following an Iranian cluster missile strike in the central Israeli cities of Tel Aviv, Petah Tikva, and Ramat Gan. By early evening, several homes and roads were damaged by the strikes.

A direct hit by a missile launched from Iran the prior evening on Arad and Dimona in southern Israel caused widespread damage to buildings and prompted the evacuation of nearly 300 people to hospital. As of Sunday afternoon, 18 children were still hospitalized. 

A ballistic missile carrying a payload of several hundred kilograms of explosives landed next to residential buildings in Dimona, with the shockwave ripping through them and leaving about 30 people wounded, including a young boy.

Israel’s Shimon Peres Negev Nuclear Research Center, located roughly eight miles southeast of the city, was likely the target, analysts said. But according to the International Atomic Energy Agency (IAEA), the site was not harmed in the strikes.

“Information from regional states indicates that no abnormal radiation levels have been detected,” the UN nuclear watchdog tweeted.

Iranian state TV said on Saturday the salvos were in response to an attack on Iran’s Natanz nuclear facility earlier that day.

At Soroka Medical Center in Beersheba, more than 160 injured patients arrived overnight, including over 70 children, according to Prof. Shlomi Codish, the hospital’s director. He described the influx as a “highly complex mass casualty event” involving blast injuries, shrapnel wounds, and trauma, including critically and moderately injured patients who required urgent surgery.

Codish said authorities were working to provide “immediate support and shelter” for those impacted, adding that entire families were evacuated to the hospital.

“The challenge is not only medical but also human. The strike hit the heart of a civilian neighborhood, and entire families arrived together, injured and distressed. We worked to map family connections in order to provide coordinated care and preserve family unity as much as possible,” he told The Algemeiner.

The missiles in both Arad and Dimona were engaged by air defenses, but the interceptors failed to bring them down.

In both cases, most of those injured in the missile did not make it to bomb shelters in time. 

Prime Minister Benjamin Netanyahu, visiting the scene of the strike in Arad, said it was a “miracle” that no one was killed but added “we don’t want to rely on miracles.”

“If you’re in a shelter, you’re protected,” he said.

Defense Minister Israel Katz, who was also in Arad, accused Iran of intentionally targeting civilians.

“If this continues, we’ll make sure to hit Iran so hard it will be sent back decades,” Katz said.

Tehran aimed to generate domestic pressure on Israel’s government to stop the war, he said, but added that “it won’t happen because our home front is strong.”

In a statement posted on X, IAEA Director-General Rafael Grossi stressed that “maximum military restraint should be observed, in particular in the vicinity of nuclear facilities.”

Since the Feb. 28 US-Israeli strikes on Iran, Tehran has launched more than 400 missiles toward Israel, with the Israeli Air Force saying roughly 92 percent were intercepted. More than 4,500 Israelis have been evacuated to hospitals from the strikes, the health ministry said.

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Scores Hurt After Iranian Missiles Hit Israeli Desert Towns

A drone view shows a damage in a residential neighbourhood, following a night of Iranian missile strikes which injured dozens of Israelis, amid the U.S.-Israel conflict with Iran, in Dimona, southern Israel March 22, 2026. Photo: REUTERS/Roei Kastro

Southern Israeli towns woke to widespread damage on Sunday after air defenses failed to intercept two Iranian missiles overnight that injured scores of civilians in one of the worst attacks of the war so far on Israeli soil.

As daylight broke, the scale of the damage in the desert town of Arad, where one of the strikes hit a multi-story apartment bloc, came into clearer view, with entire floors blown open by the blast.

Uri Shacham, the chief of staff of Israel’s ambulance service, said at least eight buildings were damaged by the missile, which left a crater not far from the apartment blocks.

Footage verified by Reuters showed flames engulfing the top floor of an apartment building shortly after the strike. Search and rescue teams moved from floor to floor inside the damaged buildings.

Israeli military spokesperson Lieutenant Colonel Nadav Shoshani said both strikes had been carried out with conventional ballistic missiles. He declined to comment when asked about the initial findings of a military investigation into the failure to intercept the missiles.

NETANYAHU SAYS MIRACLE NO ONE KILLED

Most Israelis receive alerts on their mobile phone when launches from Iran are identified. An air raid siren sounds and they then have a few minutes to go to safe rooms or public bomb shelters.

“It is a miracle that no-one was killed,” Israeli Prime minister Benjamin Netanyahu said on Sunday, standing in the crater at the impact site in Arad.

Pointing at the blown out walls of the apartment bloc and then at the enforced undamaged wall leading to a shelter below ground, Netanyahu urged Israelis not to be complacent. No one would have been hurt, he said, had all sought shelter in time.

In Arad, 31 people, including 18 children, were hospitalized, at least 9 of them in serious condition, according to the hospital. Dozens more were lightly injured.

Israel said Iran was targeting civilian population areas. Iran’s Revolutionary Guards said they targeted military and security-related sites in retaliation for Israeli strikes against Iranian sites.

Arad and Dimona, another city that was hit, are located close to Israel’s secretive nuclear reactor and several military bases, including Nevatim Air Base, one of the country’s largest.

In Dimona, 5 people were hospitalized, including a 12-year-old boy in serious condition, the hospital said.

Since joint US-Israeli strikes on Iran on February 28, Israel has come under daily missile fire from Iran. At least 20 civilians have been killed in Israel and the Palestinian territories, including one Israeli killed in an attack by Iran-backed Lebanese group Hezbollah on Sunday.

At least 15 people were hospitalized on Sunday in fresh Iranian attacks, according to emergency services, including a cluster munition that struck in Tel Aviv.

Israeli and US strikes have killed at least 1,300 people in Iran so far, according to the Iranian government. The US-based rights group HRANA, which tracks human rights violations in Iran, has recorded 3,320 people killed, including 1,406 civilians and 1,167 military personnel, with the remainder not yet determined. Reuters could not independently verify the data.

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