US Expands Sanctions on Iranian Oil Shipments to China

The Trump administration has implemented a new wave of sanctions targeting individuals and entities involved in exporting Iranian oil to China, as part of its strategy to reduce Iran's oil exports to zero. The sanctions, announced by the U.S. Treasury Department, focus on a network that supports Iran's Armed Forces General Staff and includes several tankers and companies located in China, India, and the UAE. Treasury Secretary Scott Bessent emphasized that the Iranian regime uses oil revenues to fund its nuclear program and support regional terrorist groups. These measures come as part of a broader 'maximum pressure' campaign initiated by President Trump to counter Tehran's influence and illicit activities, reversing previous enforcement leniencies. Analysts suggest that the sanctions may lead to a significant shift in oil tanker markets as they force compliance and diminish Iran's oil shipments. The immediate impact may be positive for compliant tanker operators, although uncertainties regarding enforcement and Iranian responses persist.