Iran Roundup: U.S. plan to rename Persian Gulf, world’s lowest gasoline prices, Israel warning 

Iran rejects reported U.S. plan to rename Persian Gulf

Iran has formally condemned reports that U.S. President Donald Trump may refer to the Persian Gulf as the "Arabian Gulf" or "Gulf of Arabia" during his visit to Arab states. Foreign Minister Abbas Araghchi stated that any such move would be seen as a hostile act and would provoke strong backlash from the Iranian public. Araghchi emphasised that the name "Persian Gulf" is historically established and politically neutral, warning that efforts to change it are politically motivated and unacceptable.

Iran retains world’s lowest gasoline prices 

Iran continues to offer the world’s cheapest gasoline at IRR15,000 per litre ($0.018), according to Global Petrol Prices data released on May 8. Despite leading in low petroleum prices, the country faces economic pressure due to a sharply devalued rial and limited fiscal space. Government efforts to raise fuel prices risk triggering public unrest, as seen during past protests. Iran’s subsidised fuel costs remain less than one-third of Saudi Arabia’s rate of $0.62 per litre — the lowest among G20 nations.

Israel issues direct warning to Iran following Houthi attack

Israel’s Defence Minister, Israel Katz, issued a warning on Thursday, May 8, indicating that Iran will be held directly accountable for attacks by its regional proxies. The statement followed a recent assault on Ben Gurion Airport by Houthi rebels, a group backed by Iran. Katz stated that the proxy strategy employed by Iran is over, asserting that Iran will face the same consequences as groups such as Hezbollah in Beirut, Hamas in Gaza, and the Assad regime in Damascus. He emphasised Iran’s direct responsibility for financing and arming the Houthis, declaring that similar retaliatory measures could be taken against Tehran.

U.S. sanctions third Chinese refinery over Iranian oil purchases

The U.S. Treasury Department on Thursday imposed sanctions on China’s Hebei Xinhai Chemical Group and three companies operating a port terminal in Dongying, Shandong province. The entities were sanctioned for purchasing or facilitating the delivery of Iranian oil valued in the hundreds of millions of dollars. This marks the third Chinese independent refinery, known as a “teapot,” sanctioned by the Trump administration under its renewed “maximum pressure” campaign. The policy seeks to block Iran’s oil export revenues to influence nuclear negotiations and limit Tehran’s support for militant groups in the Middle East.

India, Iran discuss bilateral ties and security concerns

India and Iran convened the 20th Joint Commission Meeting (JCM) to review and advance bilateral cooperation. The meeting coincided with the 75th anniversary of the India-Iran Friendship Treaty. During the discussions, India informed Iran of Pakistan’s alleged involvement in the April 22 Pahalgam terror attack, which resulted in 26 civilian deaths. The Indian Ministry of External Affairs stated that both sides examined a wide range of topics, including trade, agriculture, healthcare, cultural exchange, connectivity, and people-to-people ties. Iranian Foreign Minister Dr. Abbas Araghchi, on his first visit to India since taking office in August 2024, held meetings with External Affairs Minister Dr. S. Jaishankar, President Droupadi Murmu, and National Security Adviser Ajit Doval. His visit followed a prior trip to Pakistan.