US Tightens Noose Around Iran’s Shadow Economy

By Amir Daftari

News Reporter

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The United States has launched one of its most aggressive crackdowns yet on Iran’s clandestine oil trade, blacklisting a web of companies, intermediaries, and tankers that Washington says bankroll Tehran’s armed forces.

Announced overnight by the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC), the sanctions target entities across the UAE, Panama, Liberia, India, Germany, and Greece, as well as six vessels linked to a complex international network that officials say has helped Iran move billions of dollars in crude through the so-called shadow fleet.

Newsweek has contacted the Treasury Department and Iran's Foreign Ministry for comment.

Why It Matters

The sanctions come amid heightened U.S.-Iran tensions and are part of the Trump administration’s "maximum-pressure" campaign, aimed at crippling Tehran’s economy and constraining its nuclear program. Efforts to revive the 2015 nuclear deal remain stalled, while U.S. strikes on Iranian nuclear sites and regional instability—highlighted by Israel’s 12-day war—have increased the risk of escalation.

Targeting Iran’s oil network is intended to cut off funding for military operations, weaken Tehran’s negotiating leverage, and limit support for proxy militias across the Middle East.

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What to Know

Treasury Secretary Scott Bessent framed the move as a key part of the Trump administration’s maximum-pressure campaign. "Disrupting the Iranian regime’s revenue is critical to helping curb its nuclear ambitions," Bessent said. Officials said the designations cut Tehran’s financial lifelines, raise shipping costs, and limit funding for its military and regional proxies.

The sanctions target Sepehr Energy Jahan Nama Pars, the oil-sales arm of Iran’s Armed Forces General Staff, which coordinates charterers, shell companies, cargo handlers, and logistics brokers while using disguised tankers to sell crude to Asian buyers at steep discounts and route payments through complex channels.

Sanctions Target Companies, Individuals, and Vessels

The U.S. blacklisted UAE-based Luan Bird Shipping Service, Mars Investment, Moon Line Plastics, and Alsafeenah Althahabya; Panama-registered Loire Shipping; Greek firm Altomare; Germany’s BPT Berlin Petroleum Trading; and Dubai-based Shandong Independent Energy Trading. Their activities included vessel charters, ship-to-ship transfers, cargo documentation, and payment routing, sometimes via cryptocurrency.

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Several individuals tied to Sepehr Energy Jahan were also sanctioned for manipulating automatic identification systems, falsifying vessel markings, masking ownership, and accessing European banking channels. India-based RN Ship Management and its leadership were singled out for operating sanctioned tonnage, including the crude carrier Sobar.

Six vessels were added to the blocked list, which transported over 10 million barrels of Iranian fuel oil in the past two years. Sanctions also extend to Mahan Air, accused of working with Iran’s IRGC-Qods Force to supply regional militant groups and the former Assad regime in Syria. Officials said the measures build on prior rounds in February and May, targeting terrorism financing and Iran’s petroleum sector.

"Fair and Balanced"

Meanwhile, Foreign Minister Abbas Araghchi said Iran supports a nuclear deal that is "fair and balanced," not one dictated by U.S. demands. Speaking to The Economist, he criticized the current U.S. administration for trying to impose its own terms, which Tehran rejects.

Araghchi also added that Iran is now "even more prepared than [in] the previous war" to deter any Israeli attack, noting that its missile capabilities have grown in both quantity and quality since the 12-day conflict earlier this year. Lessons from that war, he said, have strengthened Iran’s defensive posture. "The best way to prevent a war is to be prepared for it. And we are fully prepared," he said.

What People Are Saying

Treasury Secretary Scott Bessent said on Thursday: "Disrupting the Iranian regime’s revenue is critical to helping curb its nuclear ambitions."

Iran's Foreign Minister Abbas Araghchi speaking to The Economist: "We don’t have a single good experience with negotiating with the United States. We are ready for negotiation, but not for dictation."

What Happens Next

U.S. officials expect the sanctions to further complicate Iran’s oil trade and constrain financial flows to its military operations. The administration also indicated that additional measures could follow if Tehran continues to exploit international markets through clandestine networks.

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