US sanctions target Iran's 'shadow fleet' in new blow to economy
The US Treasury announced a new sanctions package aimed at Iran's so-called shadow fleet, the network of ageing tankers used to carry oil and petroleum products worth billions of dollars to foreign markets. On Thursday the department took action against 17 vessels it said were responsible for moving millions of barrels of Iranian crude, petroleum and petrochemical products to markets in south and east Asia. Treasury Secretary Scott Bessent said the measures seek to deny Tehran funds it uses to wage war in the region, and two days earlier the department warned foreign financial institutions that continuing transactions with sanctioned Iranian financial institutions could be targeted at any time without prior notice.
Why it matters: The designations widen secondary sanctions to foreign entities and financial institutions, extending the sanctions theme from Iran's shipping network to the banks that facilitate its trade.