US Imposes Sanctions on International Network Smuggling Iranian LPG

The United States has imposed a new round of sanctions on an international network accused of smuggling Iranian liquefied petroleum gas (LPG) and concealing its true origin. Washington stated the move targets one of the key revenue streams supporting the Iranian economy.

The U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC) announced sanctions against individuals, companies, and vessels involved in the transfer of hundreds of millions of dollars worth of Iranian LPG to markets in South and East Asia. This was achieved through reclassification of the commodity to circumvent U.S. sanctions.

U.S. Treasury Secretary Scott Bessent stated, "Iran's economy is faltering, and its military forces have suffered severe blows." He affirmed that Washington will continue to target what he described as Iran's "shadow fleet" and clandestine financing networks that enable Tehran to access global trade.

According to the Treasury Department's statement, the network operated through front companies in several countries and offshore bank accounts, in addition to utilizing tankers belonging to the so-called "shadow fleet" to transport Iranian gas while concealing its actual source. Washington accused two citizens, one Afghan and one Turkish, of managing a significant part of the network, overseeing the export of millions of barrels of Iranian gas to Asian countries, particularly Bangladesh. The U.S. also designated six gas tankers for sanctions, accusing them of transporting millions of barrels of Iranian LPG in recent years.

The sanctions also extended to the Iranian exchange firm "Mehrdad Gramian Nik and Partners" and two of its officials, for facilitating the transfer of hundreds of millions of dollars on behalf of Iranian banks under U.S. sanctions, including Bank Mellat, Bank Tejarat, and Bank Pasargad. The Treasury Department indicated that Iranian exchange firms are a crucial component of a complex financial network that uses shell companies and offshore accounts to conceal its ties to Iran, enabling its institutions to conduct international transactions away from oversight.

These new sanctions are part of the "maximum pressure" policy pursued by the administration of U.S. President Donald Trump, which targets Iran's oil and gas revenues and financial networks. The Treasury Department emphasized that the measures aim to reduce Tehran's ability to generate revenue and transfer funds, warning that any foreign company or financial institution cooperating with the targeted networks could face U.S. sanctions itself. This package represents some of the broadest sanctions targeting Iran's LPG trade in recent times, as Washington continues to intensify economic pressure on Iran amid regional tensions and unresolved nuclear and security issues.