President Donald Trump’s administration is evaluating a strategy to stop and inspect Iranian oil tankers at sea under the Proliferation Security Initiative, a 2003 international accord aimed at countering weapons of mass destruction trafficking, according to sources familiar with the matter, according to Reuters.
Trump has committed to a “maximum pressure” campaign to eliminate Iran’s oil exports, targeting zero exports to prevent nuclear weapon development. In his second term’s initial weeks, Trump imposed two rounds of sanctions on companies and a shadow fleet of aging tankers lacking Western insurance, transporting crude from sanctioned nations.
These actions align with measures from former President Joe Biden’s tenure, during which Iran increased oil exports via smuggling networks.
Six unnamed sources indicated that Trump officials are exploring options for allied nations to inspect vessels at chokepoints like the Malacca Strait, potentially delaying crude deliveries and exposing trade facilitators to sanctions and reputational risks. One source noted, “You don’t have to sink ships or arrest people to have that chilling effect that this is just not worth the risk,” adding, “The delay in delivery ... instills uncertainty in that illicit trade network.”
The National Security Council is assessing sea inspections, though it’s unclear if signatories to the initiative, backed by over 100 governments, have been approached. John Bolton, former U.S. negotiator for the initiative, stated, “It would be fully justified” to use it to slow Iran’s oil exports, emphasizing that oil sales are “obviously critical to raise revenue for the government of Iran to conduct both its proliferation activities and support for terrorism.”
Iranian President Masoud Pezeshkian told parliament on March 2, “Trump has once again signed an order sanctioning many of our ships at sea, leaving them uncertain about how to unload their oil and gas cargo.”
Previous U.S. attempts to seize Iranian oil in 2023 under Biden led to Iran seizing foreign ships, including one chartered by Chevron Corp, raising crude prices.
Ben Cahill, an energy analyst at the University of Texas’ Center for Energy and Environmental Systems, said, “I think if prices stay below $75 a barrel, the White House has more latitude to look at sanctions that would affect, you know, supply from Iran and other countries. It would be much harder to do this in a $92 per barrel environment,” estimating a potential short-term cut of 750,000 barrels per day in Iran’s exports.
Despite sanctions, Iran earned $53 billion in 2023 and $54 billion in 2022 from oil exports, largely to China, per U.S. Energy Information Administration data.
Chevron Corp is a U.S.-based energy corporation founded in 1879, it operates in over 180 countries, focusing on oil, gas, and renewable energy, with a workforce of approximately 43,000.
U.S. Energy Information Administration is an independent agency within the U.S. Department of Energy, established in 1977, it collects and analyzes energy data to inform policy and public understanding.