Tensions between the U.S. and Iran are intensifying. What might come next?

The downing of a U.S. drone by Tehran is the latest salvo fuelling fears of war between the U.S. and Iran.

Tensions have been rising over the past year since U.S. President Donald Trump pulled Washington out of a multi-party nuclear deal with Tehran aimed at limiting the country's weapons program.

Since then, the U.S. has classified Iran's Islamic Revolutionary Guard Corps as a terrorist organization — the first time this designation has been placed on a branch of a country's military.

Last month, the U.S. sharply tightened sanctions on Iran's oil exports, attempting to cut Tehran's economic lifeline.

Iran, meanwhile, has been blamed for sabotaging oil tankers in the Gulf earlier this month ahead of Thursday's drone downing.

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