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US President Donald Trump said Washington is taking a "low-key" approach towards Iran and is not currently seeking a fresh military offensive, as economic pressure mounts on Tehran and negotiations over reopening the Strait of Hormuz remain stalled.

In a brief phone call with Axios on Sunday, Trump said the US was only "semi-negotiating" with Iran while monitoring the country's worsening economic situation.

"We are low keying it," Axios quoted Trump as saying.

He added: "We are only semi-negotiating with them. We are just watching Iran with its huge inflation and the fact they have no money."

Trump Points To Iran's Economic Strain

Trump said Iran was "in very bad shape" economically and claimed the country did not have enough money to pay its troops.

He also said the US naval blockade had added to the economic pressure facing Tehran.

Trump, however, pointed to falling oil prices as a factor limiting the impact of the conflict on American consumers. Oil prices were slightly above USD 75 a barrel, according to the report.

"It will work out. It always works out. It's like a chess game," Trump said.

His comments suggest Washington is currently relying on economic pressure rather than immediately escalating military action against Iran.

Hormuz Talks Remain Stalled

The remarks come amid continued tensions over the Strait of Hormuz, a crucial route for global oil shipments.

Negotiations involving Iran, Oman and the US over reopening the waterway have stalled, with Tehran demanding that Washington lift its naval blockade and withdraw American forces stationed near Iran.

Iran has also linked the reopening of the strait to wider conditions, including the lifting of sanctions and other measures.

Trump did not express frustration over Iran's delay in reaching an agreement to reopen the waterway, according to Axios.

The blockage has contributed to higher fuel prices and heightened concerns about the impact of the conflict on the global economy.

Iran Says No Direct Talks With US

Iranian Foreign Minister Abbas Araghchi said Tehran is not currently engaged in direct negotiations with Washington and is instead communicating through intermediaries.

"There are efforts underway to create grounds for negotiations," Araghchi said, according to Al Jazeera.

Meanwhile, the US Defence Department has asked American defence contractors to urgently increase weapons production and accelerate deliveries amid concerns over shortages of critical munitions linked to the war with Iran.

Deputy Defence Secretary Steve Feinberg reportedly told industry leaders they had 21 days to submit plans for "significantly faster, more aggressive delivery schedules and/or increased production for critical capabilities".

The developments come as both sides remain at odds over the terms for restoring shipping through the Strait of Hormuz.