World ECR | Oil industry targeted by expanded U.S. sanctions

After Tehran attacked Israel on October 1, the United States announced expanded sanctions targeting Iran’s oil and petrochemical industries. “This action intensifies financial pressure on Iran and limits the regime’s ability to earn critical energy revenue, thereby destabilizing the region and attacking U.S. partners and allies,” it explained.

The U.S. Treasury Department said in a statement on October 11: “The Secretary of the Treasury, in consultation with the Secretary of State, is determining the petroleum and petrochemical sectors of the Iranian economy that are permitted under Section 1(a)(i) of Executive Order (EO) 13902. Treasury targeted broader activities related to trade in Iranian oil and petrochemicals.

‘EO 13902 authorizes the identification and imposition of sanctions against key sectors of Iran’s economy to prevent the Iranian government from providing financial resources that could be used to fund and support its nuclear program, missile development, terrorism and terrorist proxy networks, and malign regional influence.

“Following this decision, the Treasury Department can impose sanctions on anyone determined to engage in the oil and petrochemical industries of Iran’s economy.”

U.S. Treasury Secretary Janet Yellen explained, “Today’s sanctions target Iran’s attempts to use its energy industry revenues to fund deadly and destructive activities, including the development of its nuclear program, the proliferation of ballistic missiles and drones, and its support of regional terror. agents of Islamism” with dangerous consequences for the region and the world. We will not hesitate to take further action to hold Iran accountable. “

In addition to expanding the scope of sanctions, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has designated 10 entities in various jurisdictions and designated 17 vessels for frozen property for allegedly facilitating the export of Iranian oil and petrochemicals. The transportation aspect played a role.