Sanctions on Iran’s Oil Community to Additional Impose Most Stress on Iran

The Iranian regime continues to gasoline battle and instability within the Middle East, disrupting commerce flows, growing its nuclear program, and funding terrorist and proxy teams.  Today, the United States is taking extra aggressive motion to stem the stream of income that the regime makes use of to help terrorism overseas, in addition to to oppress its personal individuals.  The Department of State is imposing sanctions on two China-based crude oil and petroleum merchandise terminal and storage operators which have facilitated the import of thousands and thousands of barrels of Iranian-origin oil onboard a number of U.S.-designated tankers.  This motion is the Department’s fourth spherical of sanctions focusing on China-based terminal operators, which proceed to play an important function within the Iranian crude oil provide chain.

This motion is in furtherance of National Security Presidential Memorandum-2, which directs the imposition of most financial stress on the Iranian regime.

Today’s actions embody the designation of 1 China-based crude oil terminal and storage operator within the Dongjiakou Port Area of China’s Shandong Province, the biggest entry level for Iranian crude oil into China by quantity.  QINGDAO PORT HAIYE DONGJIAKOU OIL PRODUCTS CO., LTD (DJK OIL PRODUCTS) operates a number of crude oil and petroleum merchandise berths within the Dongjiakou port space, in addition to a big petroleum storage facility.  The majority of the crude oil cargos imported by DJK OIL PRODUCTS are of Iranian origin.  In 2025, the terminal has imported no less than 65 million barrels of Iranian-origin crude oil transported by quite a few shadow fleet vessels since December 2024, to incorporate U.S.-designated crude oil tankers.  Additionally, a number of of the cargos obtained by DJK OIL PRODUCTS have been marketed and bought by the U.S.-designated NATIONAL IRANIAN OIL COMPANY (NIOC).

The Department can also be designating YANGSHAN SHENGANG INTERNATIONAL PETROLEUM STORAGE AND TRANSPORTATION CO., LTD (YANGSHAN SHENGANG), a China-based crude oil terminal and storage operator within the Yangshan Port Area of China’s Zhejiang Province.  YANGSHAN SHENGANG operates a number of crude oil and petroleum product berths, together with NO.1, NO. 2, and NO. 3 berths within the Yangshan Port Area of the larger Zhoushan Port advanced.  On March 24, 2025, YANGSHAN SHENGANG obtained the U.S.-designated vessel TURACO (IMO 9247780) and facilitated the discharge of over half 1,000,000 barrels of Iranian crude oil bought by NIOC.  TURACO had been recognized on January 10, 2025, pursuant to E.O. 14024 and E.O. 13662 as property by which SINO SHIP MANAGEMENT COMPANY LIMITED had an curiosity, previous to its port name on the YANGSHAN SHENGANG terminal.  From April 6, 2024, to March 24, 2025, YANGSHAN SHENGANG obtained no less than six shipments of Iranian-origin crude oil, totaling over 4 million barrels of oil.  Additionally, YANGSHAN SHENGANG obtained port calls from the U.S.-designated vessels VLADIMIR ARSENYEV (IMO 9901025), NIKOLAY ZADORNOV (IMO 9901037), YURI SENKEVICH (IMO 9301419), and SI HE (IMO 9378618) on February 23, 2025, February 13, 2025, January 28, 2025, and March 3, 2025, respectively.

SANCTIONS IMPLICATIONS 

As a results of right this moment’s sanctions-related actions, and in accordance with E.O. 13846, all property and pursuits in property of the designated individuals described above which might be within the United States or in possession or management of U.S. individuals are blocked and have to be reported to the Department of Treasury’s Office of Foreign Assets Control (OFAC).  Additionally, all entities and people which have possession, both immediately or not directly, 50 % or extra by a number of blocked individuals are additionally blocked.  

All transactions by U.S. individuals or inside (or transiting) the United States that contain any property or pursuits in property of designated or in any other case blocked individuals are prohibited until approved by a basic or particular license issued by OFAC or exempt.  These prohibitions embody the making of any contribution or provision of funds, items, or companies by, to, or for the advantage of any blocked particular person and the receipt of any contribution or provision of funds, items, or companies from any such particular person.  

The energy and integrity of U.S. authorities sanctions derive not solely from the U.S. authorities’s means to designate and add individuals to the Specially Designated Nationals and Blocked Persons (SDN) List, but additionally from its willingness to take away individuals from the SDN List according to the regulation.  The final aim of sanctions is to not punish, however to convey a couple of optimistic change in habits.  

Petitions for elimination from the SDN List could also be despatched to: OFAC.Reconsideration@treasury.gov.  Petitioners may confer with the Department of State’s Delisting Guidance web page.