Washington D.C. - On May 13, 2025, the United States announced new sanctions related to Iran, targeting individuals and entities in both China and Iran. The U.S. Treasury Department's Office of Foreign Assets Control (OFAC) is responsible for implementing the sanctions.
The sanctions target firms operating across multiple jurisdictions that facilitate oil sales used by Iran's Armed Forces General Staff (AFGS) to fund ballistic missile development, unmanned aerial vehicles, and regional terrorist groups. This action, taken under Executive Order 13224 (as amended), reinforces the U.S. administration's ongoing maximum pressure campaign against Iran's regime.
According to OFAC, the Iranian government uses a global network of front companies and deceptive practices to disguise the origin of its crude oil and deliver it to foreign buyers. Revenues from these sales are funneled back to Iran's military leadership. The sanctions freeze all U.S.-linked assets of designated persons and prohibit transactions with them by U.S. persons. There is also a risk of secondary sanctions for foreign entities that engage in significant transactions with the sanctioned actors.
Secretary of the Treasury Scott Bessent stated that the action underscores the continued focus on intensifying pressure on every aspect of Iran's oil trade, which the regime uses to fund its dangerous and destabilizing activities. The United States will continue targeting this primary source of revenue as long as the regime continues its support for terrorism and proliferation of deadly weapons.
These sanctions follow similar designations in recent weeks, amidst ongoing nuclear talks between Washington and Tehran. The U.S. has also imposed sanctions on entities and individuals primarily based in China and Hong Kong for their support of Iran's ballistic missile program.
The U.S. continues to use all available means, including sanctions on entities based in third countries, to expose and disrupt Iran's schemes to procure equipment and items supporting its ballistic missile program, which destabilizes the Middle East and beyond.
OFAC has also issued advisories to the public on important issues related to Iran Sanctions, including guidance for shipping and maritime stakeholders on detecting and mitigating Iranian oil sanctions evasion.
The U.S. has made it clear that it will not permit Iran to obtain a nuclear weapon.
These actions demonstrate the United States' ongoing commitment to preventing Iran from funding its destabilizing activities and developing nuclear weapons.
The U.S. Treasury Department posted a notice on its website detailing the measures.