#IranTradeSanctions

Recent sanctions on Iran, particularly new measures from the U.S. and the European Union, focus heavily on its oil shipping networks and key trading partners. The goal is to cut off revenue Iran uses for its internal security and military programs.

Below is a summary of the current situation and its main targets:

1. United States Sanctions (Updated January 23, 2026)

· Primary Target: Iran's "shadow fleet" of oil tankers and their management companies.
· Key Action: Added 8 companies and 9 vessels to the Specially Designated Nationals (SDN) list, blocking their U.S. assets. Issued a limited General License T for safety and offloading of cargo from these vessels.
· Stated Goal: Disrupt hundreds of millions in oil revenue used to fund "regional terrorist proxies, weapons programs, and security services".

2. European Union Sanctions (Under Development)

· Primary Target: Components used in manufacturing drones and missiles.
· Key Action: Preparing a new sanctions package with stricter export controls.
· Stated Goal: Limit Iran's ability to support Russia's war in Ukraine and respond to internal protest crackdowns.

3. Proposed U.S. Tariff Threat

· Primary Target: Countries doing business with Iran.
· Key Action: Threat of a 25% tariff on all trade with the U.S. for any country trading with Iran.
· Current Status: Announced by President Trump, but implementation details, scope, and legal basis remain unclear.

🇨🇳 Main Countries Trading with Iran

The threat of new U.S. tariffs puts a spotlight on Iran's major trade partners. This list is based on the latest available data and highlights the value and main goods traded.

· China: Largest overall trade partner. Iran's exports to China were $22 billion in 2022, over half being fuel. China bought over 80% of Iran's shipped oil in 2025.
· Iraq: Major regional partner. Iran's exports to Iraq were valued at $10.5 billion for the year to October 2025.
· Turkey: Significant neighbor. Iran's exports to Turkey jumped to **$7.3 billion** in 2025 from $4.7 billion the previous year.
· United Arab Emirates: Key trade and transshipment hub.
· India: Bilateral trade was $1.34 billion for the first ten months of 2025. India mainly exports Basmati rice, fruits, and pharmaceuticals to Iran.
· Germany/EU: A major source of machinery and technology imports for Iran.

📈 Economic Impact on Iran

The combined effect of these sanctions is intensifying pressure on Iran's economy:

· Core Target: The oil sector is the primary target, as it is a major revenue source for the government.
· Domestic Strain: High inflation (48.4% in October 2025) and a falling currency are making basic goods like food more expensive for Iranians.
· Broader Goal: The U.S. explicitly links its sanctions to cutting off funds used for internal repression and regional activities.