The United States has imposed a sweeping new round of sanctions targeting more than 100 individuals, companies and vessels believed to be involved in Iran’s illegal oil trade.
The announcement, made jointly by the US Treasury and State Departments, marks the most significant Iran-related sanctions action since 2018.
The move centres on a vast shipping network controlled by Mohammad Hossein Shamkhani, the son of a senior adviser to Iran’s Supreme Leader, Ali Hosseini Khamenei.
This network, comprising dozens of companies and over 50 maritime vessels, is accused of facilitating the export of Iranian oil and petrochemical products — some of which include oil of Russian origin — primarily to international buyers, especially in China.
Officials estimate that the network has generated tens of billions of dollars in profits, which are believed to be used to fund Iran’s nuclear programme, ballistic missile development, and support for regional proxy groups.
One of these groups is Yemen’s Houthi rebels, responsible for destabilizing maritime traffic in the Red Sea since November 2023.
Under the new sanctions, all US-based assets linked to the designated individuals and entities are frozen, and American persons are prohibited from engaging in any transactions with them. The sanctions also extend to foreign companies that do business with or own shares in these blacklisted parties.
Despite the scale of the sanctions, US officials have indicated that they do not expect a significant impact on global oil markets at this stage, emphasising that the measures are targeted and aimed at disrupting illicit networks rather than broader oil supplies.
The US government described the action as a key part of its “maximum pressure” campaign against Tehran and a step towards cutting off Iran’s ability to evade existing sanctions through the use of front companies and deceptive shipping practices.
