Economic Fury Disrupts Networks Supplying Weapons and UAV Components to Iran

WASHINGTON—Today, as a part of Economic Fury, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) focused 10 people and firms based mostly in a number of jurisdictions throughout the Middle East, Asia, and Eastern Europe which might be enabling efforts by Iran’s navy to safe weapons, in addition to uncooked supplies with functions in Iran’s Shahed‑collection unmanned aerial autos (UAVs) and ballistic missile program. OFAC continues to proactively disrupt these networks that search to assist Iran’s acquisition of weapons and materiel.  Concurrently, the U.S. Department of State is designating 4 entities in connection to the traditional arms actions of Iran.

“While the surviving IRGC leaders are trapped like rats in a sinking ship, the Treasury Department is unrelenting in our Economic Fury campaign,” stated Secretary of the Treasury Scott Bessent.  “Under President Trump’s decisive leadership, we will continue to act to Keep America Safe and target foreign individuals and companies providing Iran’s military with weapons for use against U.S. forces.”

ECONOMIC FURY Delivers MAXIMUM PRESSURE ON IRAN 

The Treasury Department is sustaining most stress on Iran and focusing on the regime’s means to generate, transfer, and repatriate funds.  Treasury is aggressively advancing Economic Fury and has disrupted billions in projected oil income, taken actions which have led to the freezing of nearly half a billion {dollars} in regime-linked cryptocurrency, and cracked down on Tehran’s shadow banking networks. 

Treasury stays able to take financial motion in opposition to Iran’s protection industrial base in order that Iran can’t reconstitute its manufacturing capability and venture energy exterior its borders.  Treasury can also be ready to take motion in opposition to any overseas firm supporting illicit Iranian commerce, including airlines, and, as crucial, might impose secondary sanctions on foreign financial institutions that facilitate Iran’s actions—together with these related to the People’s Republic of China’s unbiased “teapot” oil refineries.

Any particular person or vessel facilitating the illicit commerce of oil or different commodities, via covert commerce or monetary channels, dangers publicity to U.S. sanctions. Treasury will vigorously goal each conventional sanctions evasion schemes and the exploitation of digital property whereas persevering with to freeze funds stolen from the Iranian folks. 

Through the blockade, the Trump Administration is immediately focusing on the regime’s major income stream, and any particular person or vessel facilitating the illicit move of oil or different merchandise dangers publicity to U.S. sanctions. 

WEAPONS PROCUREMENT

China-based Yushita Shanghai International Trade Co Ltd (Yushita) is a facilitator for the Center for Progress and Development of Iran (CDPI)—the newest identify of Iran’s U.S.-designated Center for Innovation and Technology Cooperation (CITC), which coordinates Iranian know-how acquisition efforts.  CITC has sought to buy weapons, together with man-portable air-defensive programs (MANPADS), from China.  The U.S. Department of State designated CITC pursuant to E.O. 13382 in June 2012.  Dubai-based Elite Energy FZCO (Elite Energy) transferred thousands and thousands of {dollars} to Hong Kong-based AE International Trade Co Limited (AE International) in furtherance of those procurement efforts for CITC.  Hong Kong-based HK Hesin Industry Co Limited (HK Hesin) and Belarus-based Armory Alliance LLC (Armory Alliance) acted as intermediaries in these procurements for CITC, in an effort to obfuscate the Iranian end-user.  Belarus-based Iranian nationwide Mohammadmahdi Maleki (Maleki), an worker of Armory Alliance, additionally contributed to those procurements for CITC.  Belarussian nationwide Mohammed Ali Tolibov (Tolibov) is the chief government officer of Armory Alliance and a long-standing arms procurement facilitator for Iran in Belarus.

Yushita, AE International, HK Hesin, Armory Alliance, and Maleki are being designated pursuant to Executive Order (E.O.) 13382 for having supplied, or tried to offer, monetary, materials, technological or different assist for, or items or providers in assist of, CITC.  Elite Energy is being designated pursuant to E.O. 13382 for having supplied, or tried to offer, monetary, materials, technological or different assist for, or items or providers in assist of, AE International.  Tolibov is being designated pursuant to E.O. 13382 for being owned or managed by, or performing or purporting to behave for or on behalf of, immediately or not directly, Armory Alliance.

Hong Kong-based Mustad Limited, as an middleman, has facilitated, or tried to facilitate, monetary transactions in furtherance of the Islamic Revolutionary Guard Corps’ (IRGC’s) procurement of thousands and thousands of {dollars}’ price of weapons.  The U.S. Department of State designated the IRGC pursuant to E.O. 13382 in October 2007 in reference to Iran’s ballistic missile program.

Mustad Limited is being designated pursuant to E.O. 13382 for having supplied, or tried to offer, monetary, materials, technological or different assist for, or items or providers in assist of, the IRGC.

UAV AND BALLISTIC MISSILE COMPONENT PROCUREMENT

OFAC right now is taking extra motion in opposition to Iran-based Pishgam Electronic Safeh Company (PESC), constructing on OFAC’s motion from April 2026.  PESC has procured hundreds of servomotors with one-way assault UAV functions, which have been recovered in downed Shahed-136 UAVs, for Iran’s IRGC Aerospace Force Self Sufficiency Jihad Organization (IRGC ASF SSJO).  On September 27, 2023, OFAC designated PESC pursuant to E.O. 13382 for having supplied, or tried to offer, monetary, materials, technological or different assist for, or items or providers in assist of, the IRGC ASF SSJO.  The U.S. Department of State designated the IRGC ASF SSJO, which is concerned in Iranian ballistic missile analysis and flight take a look at launches, pursuant to E.O. 13382 on July 18, 2017 for having engaged, or tried to have interaction, in actions or transactions which have materially contributed to, or pose a danger of materially contributing to, the proliferation of weapons of mass destruction or their technique of supply.

China-based Hitex Insulation Ningbo Company Limited (Hitex) has equipped—or tried to provide—thousands and thousands of {dollars}’ price of carbon fiber, honeycomb material, and different uncooked aerospace‑grade supplies to PESC, finally for the IRGC ASF SSJO.  Chinese nationwide Li Genping is the authorized consultant of Hitex and manages the corporate’s gross sales, buying, and monetary operations.

Hitex is being designated pursuant to E.O. 13382 for having supplied, or tried to offer, monetary, materials, technological or different assist for, or items or providers in assist of, PESC.  Li Genping is being designated pursuant to E.O. 13382 for being owned or managed by, or performing or purporting to behave for or on behalf of, immediately or not directly, Hitex.

INTENSIFYING PRESIDENT TRUMP’S MAXIMUM PRESSURE CAMPAIGN 

This motion builds on OFAC’s implementation of National Security Presidential Memorandum 2, which directs the U.S. authorities to use most stress on Tehran by curbing Iran’s ballistic missile program, countering its growth of uneven and standard weapons capabilities, stopping it from acquiring a nuclear weapon, and reducing off the IRGC’s entry to the property and sources that maintain its destabilizing actions.

Today’s motion additionally represents Treasury’s sixth spherical of nonproliferation designations in assist of the September 27, 2025, reimposition of United Nations (UN) sanctions and different restrictions on Iran, which occurred as a direct results of its “significant non-performance” of its nuclear commitments.

OFAC is taking this motion pursuant to E.O. 13382, which targets weapons of mass destruction (WMD) proliferators and their supporters.

SANCTIONS IMPLICATIONS

As a results of right now’s motion, all property and pursuits in property of the designated or blocked individuals described above which might be within the United States or within the possession or management of U.S. individuals are blocked and should be reported to OFAC.  In addition, any entities which might be owned, immediately or not directly, individually or within the combination, 50 % or extra by a number of blocked individuals are additionally blocked.  Unless approved by OFAC, or exempt, OFAC’s laws usually prohibit all transactions by U.S. individuals or inside (or transiting) the United States that contain any property or pursuits in property of blocked individuals. 

Violations of U.S. sanctions might end result within the imposition of civil or prison penalties on U.S. and overseas individuals.  OFAC might impose civil penalties for sanctions violations on a strict legal responsibility foundation.  OFAC’s Economic Sanctions Enforcement Guidelines present extra info relating to OFAC’s enforcement of U.S. financial sanctions.  The prohibitions embrace the making of any contribution or provision of funds, items, or providers by, to, or for the good thing about any designated or blocked particular person, or the receipt of any contribution or provision of funds, items, or providers from any such particular person.  In addition, monetary establishments and different individuals might danger publicity to sanctions for partaking in sure transactions or actions with designated or in any other case blocked individuals. 

Furthermore, partaking in sure transactions involving the individuals designated right now might danger the imposition of secondary sanctions on collaborating overseas monetary establishments.  OFAC can prohibit or impose strict situations on opening or sustaining, within the United States, a correspondent account or a payable-through account of a overseas monetary establishment that knowingly conducts or facilitates any vital transaction on behalf of an individual who’s designated pursuant to the related authority.

The energy and integrity of OFAC sanctions derive not solely from OFAC’s means to designate and add individuals to the SDN List, but in addition from its willingness to take away individuals from the SDN List in line with the regulation.  The final objective of sanctions is to not punish, however to deliver a few optimistic change in habits.  For info regarding the course of for looking for elimination from an OFAC listing, together with the SDN List, or to submit a request, please seek advice from OFAC’s steerage on Filing a Petition for Removal from an OFAC List.

Click here for more information on the persons designated today.

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