From left: US Treasury Secretary Steven Mnuchin, Vice President Mike Pence, Attorney General Jeff Sessions, and Labor Secretary Alex Acosta take part in a Cabinet meeting in the Cabinet Room of the White House on August 16, 2018 in Washington, DC. / AFP PHOTO / MANDEL NGAN WASHINGTON — The US warned Thursday it would levy more sanctions on the troubled Turkish economy if Ankara does not soon release a jailed American pastor described by President Donald Trump as a “hostage.”

Deepening a spat that has rattled financial markets and threated to split a long-standing defense and political alliance, Treasury Secretary Steven Mnuchin suggested the next spiral of tit-for-tat sanctions was coming soon.

“We have put sanctions on several of their cabinet members,” Mnuchin told President Donald Trump in a Cabinet meeting attended by the press, including Agence France Presse.

“We have more that we are planning to do if they don’t release him quickly.”

Trump prefaced Mnuchin’s remarks by saying that Turkey had not been a very good friend to America.

Referring to imprisoned pastor Andrew Brunson, Trump said “they have a great Christian pastor there, he’s a very innocent man.”

Meanwhile, US Secretary of State Mike Pompeo announced a new high-level team to focus US and international efforts to increase diplomatic and economic pressure on Iran.

The Iran Action Group will drive Washington’s “maximum pressure” strategy to change Tehran’s behavior, including potentially sanctioning other countries which trade with the country.