US Imposes Sanctions to Push Back on Iranian Oil Trade

US Reportedly Considering Sanctions to Push Back on Iranian Oil Smuggling

US Unveils New PUNISHMENT – Bad News for Iran!

( – Former President Donald Trump removed the United States from the Iran nuclear deal in 2018. He declared that it had flaws and only benefited the Middle-Eastern nation. Before taking office, President Joe Biden vowed to rejoin the pact. Yet it’s been an uphill battle, and discussions with the rogue country stalled in March. According to the latest reports, the US is imposing major sanctions in an effort to push back against the Iranian oil trade. It hopes to pressure leaders into reviving the nuclear agreement.

The Situation

On August 1, the Treasury Department’s Office of Foreign Assets Control unveiled sanctions against multiple companies that have allegedly been providing support to the Iranian oil trade. Impacted companies include PZNFR Trading Limited, Blue Cactus Heavy Equipment, Shekufei International Trading Co., Limited, Farwell Canyon HK Limited, and Machinery Spare Parts Trading.

This isn’t the first time the US has hit companies with sanctions for supporting the Iranian oil trade. For example, the administration also penalized multiple firms and individuals in July.

Monday’s sanctions come shortly after a report published by The Wall Street Journal, which suggested the US is also currently considering action against a network of companies accused of forging documents to avoid facing penalties for transferring Iranian oil.

Salim Ahmed Said, a British citizen originally born in Iraq, allegedly runs an operation blending oil at sea. The same files suggest he arranges for ships moving oil cargoes in the waters between the two middle eastern nations to meet and blend their products, so Iranian oil appears to originate from Iraq, avoiding international sanctions.

Said has denied any involvement in emails to the Journal. The businessman claimed he doesn’t own any of the companies accused of underhanded dealings and stressed all business done with Iraq was above board.

However, Said does allegedly have links to Al-Iraqia Shipping Services & Oil Trading FZE (AISSOT). Jabbar Ali Hussein al-Luaibi, the oil minister at the time, developed AISSOT to serve as the only exporter of the country’s oil when the Trump administration announced it would sanction Iran in 2017 as part of a plan to strike a new nuclear pact.

The Goal

The Biden administration has already used sanctions to prod Tehran to come back to the table and strike a new deal. The previous punishments also went after companies smuggling oil. According to WSJ, a State Department spokesperson made assurances that “supposed inflationary effects” have no impact on the administration’s decisions on sanctions.

Biden has his mind set on reentering a nuclear deal with Iran. Though these tactics have yet to work, the Middle-Eastern country is dealing with problems moving its supply. According to Organization of the Petroleum Exporting Countries data reported by Business Insider, the country’s production potential is more than 3.5 million barrels each day. Due to sanctions, the total is now only about 2.4 million, which causes economic pain. Could more penalties might equal enough loss to push leaders to be more open to reaching a pact with the US?

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