The U.S. Treasury said on Thursday it is imposing new sanctions on individuals and tankers helping to ship millions of barrels of Iranian crude oil per year to China.
The move comes after U.S. President Donald Trump earlier this week vowed to bring Iran's oil exports to zero as the U.S. tries to prevent the country from obtaining a nuclear weapon.
The Treasury said the oil was shipped on behalf of Iran's Armed Forces General Staff and its front company Sepehr Energy, which the U.S. designated in late 2023. This sanctions target jurisdictions, including China, India, and the United Arab Emirates, as well as several vessels.
Treasury said it imposed blocking sanctions on the Panama-flagged CH Billion tanker and the Hong Kong-flagged Star Forest tanker for their role in shipping Iranian oil to China.
The U.S. said the tankers "onboarded" Iranian crude from storage in China as part of a scheme involving Iran's military, which stands to profit from the sale of the oil.
The sanctions block access of the individuals and entities to any of their assets in the United States and prohibit U.S. foreign assistance.
"We will use all tools at our disposal to hold the regime accountable for its destabilizing activities and pursuit of nuclear weapons that threaten the civilized world," Tammy Bruce, a State Department spokesperson said about the sanctions.
The sanctions designated Iranian national Arash Lavian, which the U.S. said helped support Sepehr.
The U.S. also designated Marshal Ship Management Private Limited.
In addition, Young Folks International Trading Co and Limited and Lucky Ocean Shipping Limited were designated for operating in Iran’s petroleum sector.
