Israel is bracing for a possible military confrontation in the Middle East amid tension between the U.S. and Iran.

“It should be taken into account that mistaken calculations by the [Iranian] regime ... are liable to bring about a shift from the ‘gray zone’ to the ‘red zone’ — that is, a military conflagration,” Israeli Foreign Minister Yisrael Katz said at an international security forum.

“We must be prepared for this, and thus, the State of Israel continues to devote itself to building up its military might for the event that it will have to respond to escalation scenarios,” he said.

The comments come on the heels of increased geopolitical escalation between the U.S. and Iran. The U.S. planned airstrikes on Iranian facilities after it downed a U.S. drone, but President Trump called off the move at the last moment.

Last month, the U.S. also imposed new sanctions against Iran, targeting its leader and top officials. The U.S. announced that it was sending an additional 1,000 troops to the Middle East after a pair of oil tankers were attacked in the Gulf of Oman.