U.S. imposes sanctions on Iran shadow fleet and weapons networks
Date of publication: March 20, 2026
The United States, through the Department of the Treasury's Office of Foreign Assets Control (OFAC) and the Department of State, has announced new sanctions against individuals, entities, and vessels associated with Iran's shadow fleet and weapons procurement networks in Iran, Türkiye, and the United Arab Emirates, aimed at disrupting revenue generation from illicit petroleum sales and constraining Iran's ballistic missile and advanced conventional weapons (ACW) programs.
The new measures designated:
- Over 30 individuals, entities, and vessels enabling illicit Iranian petroleum sales and supporting Iran's ballistic missile and ACW production.
- Twelve shadow fleet vessels and their respective owners or operators involved in transporting Iranian petroleum, petroleum products, petrochemical products, LPG, and grey ammonia to foreign markets.
- Multiple maritime and shipping companies operating in the petroleum and petrochemical sectors of Iran's economy pursuant to Executive Order (E.O.) 13902.
- Nine individuals and entities in Iran, Türkiye, and the UAE facilitating procurement of precursor chemicals, sensitive machinery, and UAV‑related materials for Iran's Islamic Revolutionary Guard Corps (IRGC), Ministry of Defense and Armed Forces Logistics (MODAFL), and related programs, designated primarily under E.O. 13382.
- Four Iran‑based individuals connected to Qods Aviation Industries (QAI), an element of MODAFL, for acting for or on behalf of QAI pursuant to E.O. 13949.
Trade measures
The sanctions block all property and interests in property of the designated persons that are in the United States or in the possession or control of U.S. persons, and extend blocking to entities owned 50 percent or more, individually or in the aggregate, by one or more blocked persons. U.S. persons are generally prohibited from engaging in transactions involving the property or interests in property of blocked persons, and non‑U.S. persons, including foreign financial institutions, may risk exposure to secondary sanctions for certain significant transactions involving designated parties.
Conclusion
The sanctions significantly intensify financial and trade restrictions on Iran's petroleum revenues and weapons‑related procurement networks, further constraining the Iranian regime's ability to fund ballistic missile, ACW, and UAV programs. Companies should review their customer, counterparty, and vessel relationships, enhance restricted party screening, and ensure that controls are in place to prevent dealings with the newly designated persons, entities, and vessels, as well as entities owned 50 percent or more by them.
These changes have been updated in ONESOURCE Global Trade Content. For more information on how ONESOURCE Global Trade solutions can assist you in managing restricted party screening, please contact your Account Manager or Customer Success Manager.