U.S. and UK Each Launch Sanctions on Facilitators of Iranian Oil Trade

On the same day, the United States and the United Kingdom each announced moves sanctioning more facilitators of the Iranian oil trade. Both countries highlighted in their independent statements that Iran continues its actions across the Middle East and uses the oil trade to fund its efforts and supports its proxies.

In a rare concurrent move by the U.S. Departments of Treasury and State, they are targeting international facilitators of the trade. Under the new Trump administration, the U.S. has sought to extend its efforts from directly in Iran to those facilitating the trade internationally. While the administration has not yet used its favored weapon of tariffs, it is increasingly sanctioning Chinese entities for their involvement in the trade, as well as tanker operators and networks involved in the sale and distribution of Iranian oil.

The State Department launched its fourth round of sanctions targeting China-based terminal operators. Previous rounds targeted so-called teapot refineries, smaller independent operators in China. In today’s announcement, State says it is “taking more aggressive action to stem the flow of revenue” that Iran uses to support terrorism. It says China’s terminals are facilitating the import of millions of barrels of Iranian-origin oil onboard U.S.-designated tankers.

One of the sanctioned operators is in the Dongjiakou Port area of Shandong Province (Qingdao Port Haiye Dongjiakou Oil Products Co./DJK Oil Products), which State says operates multiple crude oil and product berths as well as storage facilities. The company is reported to have imported at least 65 million barrels of Iranian-origin oil by numerous show vessels since December 2024. 

Yangshan Shengang International Petroleum Storage and Transportation Co., a China-based crude oil terminal and storage operator in the Yangshan Port Area of China’s Zhejiang Province, is also being sanctioned. The U.S. cites at least six shipments of Iranian oil totaling over four million barrels. The terminal is also linked to port calls by sanctioned tankers.

The Treasury Department is imposing sanctions on a Greek national, Antonios Margaritis, and his network of companies. The U.S. contends Margaritis’s shipping network has facilitated the transport of Iranian oil and petroleum products for many years. As part of its actions, Treasury is also listing nearly a dozen vessels linked to Margaritis’ network, as well as others from operators ranging from the UAE to Hong Kong and the Marshall Islands.

The UK also announced today, August 21, that it was following the U.S. and the EU, which have already sanctioned Hossein Shamkhani, the son of a top political advisor to the Supreme Leader of Iran. The U.S. in July mapped out an elaborate network run by Shamkhani, facilitating oil trading for Iran and Russia and leveraging his father’s political ties. The EU also added Shamkhani as the director of UAE-based Admiral Shipping to its list of sanctions. 

The UK added Shamkhani, citing his network as supporting Iran’s efforts in the Middle East. With this addition, the UK highlighted that it has sanctioned more than 450 Iranian individuals and entities in response to the regime's human rights violations, nuclear weapons program, and its influence and support of proxy networks.