Overview
- The U.S. Treasury rolled out a new tranche of secondary sanctions in a move led by Secretary Scott Bessent that was announced on Monday and is designed to punish foreign partners that help Iran earn oil revenue or acquire weapons.
- The package names more than 60 people, companies and ships and signals sectoral pressure on gold, technology, digital assets, aviation and maritime services to choke off Iran’s financing routes.
- China publicly condemned the measures and warned it would defend its interests after Beijing’s firms and traders were targeted, and analysts noted major Chinese banks were left off the initial lists which could limit enforcement.
- Iran is already feeling the squeeze with its currency plunging to record lows and officials threatening to halt oil exports through the Strait of Hormuz if economic pressure continues.
- Enforcement faces practical limits because China buys most Iranian oil, private Chinese refineries and anti-sanctions tools can blunt measures, and the dispute risks escalating U.S.-China friction ahead of a planned leaders’ meeting.