The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC), in coordination with the U.S. Department of State, has imposed sanctions on more than 30 individuals, vessels, and entities across multiple jurisdictions for their involvement in facilitating the sale and transportation of Iranian petroleum-related products. The action targets Iran’s “shadow fleet,” a network of tankers and brokers evading international sanctions, as announced on February 24.
The sanctions list includes 13 Iran-linked tankers, identified as part of the shadow fleet, and 17 individuals and entities, including oil brokers based in the United Arab Emirates (UAE).
“These sanctions target entities and vessels critical to Iran’s petroleum trade, cutting off a key revenue stream for its destabilizing activities,” a Treasury spokesperson stated.
The sanctions freeze any U.S.-based assets of the listed parties and prohibit U.S. persons from engaging in transactions with them, potentially impacting global shipping and energy markets.
Affected vessels include those registered under flags of convenience, such as Panama and Liberia, operating in the Middle East and beyond.
The U.S. State Department noted that these entities have facilitated the transfer of millions of barrels of Iranian oil, generating over $1.5 billion in revenue for Tehran in 2024.
The sanctions could disrupt oil flows to China, a major buyer of Iranian crude, potentially increasing global oil prices amid already strained markets.
The action builds on previous U.S. sanctions, including those from 2018 and 2023 under the Trump and Biden administrations, targeting Iran’s oil sector to enforce compliance with the Joint Comprehensive Plan of Action (JCPOA).
Iran’s Foreign Ministry, through spokesperson Nasser Kanaani, stated, “These unilateral measures lack legal basis and will not affect Iran’s rightful oil exports.”