U.S. Steps Up Sanctions Pressure on Iran’s Oil Trade

The United States has sanctioned a Greek shipping entrepreneur, a network of his companies, and two Chinese crude oil terminal and storage operators as the Treasury is taking additional actions to disrupt Iranian oil exports and the shadow fleet enabling them. The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) imposed sanctions on Greek national Antonios Margaritis, his network of companies, and nearly a dozen vessels involved in Iran’s shadow fleet. “Margaritis has leveraged his decades of experience in the shipping industry to illicitly facilitate the transportation and sale of Iranian petroleum,” the Treasury said. “Several other vessels and operators are also being designated today for their role facilitating Iranian oil exports, which generates revenue that contributes to Iran’s advanced weapons programs.” In addition, the U.S. Department of State expanded sanctions to increase the so-called ‘maximum pressure’ on Iran, by designating China-based crude oil terminal and storage operator in the Dongjiakou Port Area of China’s Shandong Province, the largest entry point for Iranian crude oil into China by volume. The Department also sanctioned Yangshan Shengang International Petroleum Storage and Transportation Co., Ltd—another China-based crude oil terminal and storage operator, in the Yangshan Port Area of China’s Zhejiang Province. The two Chinese crude oil terminal and storage operators have facilitated the import of millions of barrels of Iranian-origin oil onboard multiple U.S.-designated tankers, the State Department said. The latest designation is the Department’s fourth round of sanctions targeting China-based terminal operators, which continue to play a vital role in the Iranian crude oil supply chain. Earlier this year, the U.S. started targeting Chinese oil terminals and several independent refiners, the so-called teapots, for their imports of Iranian oil. Despite the U.S. crackdown on Chinese entities involved in the imports of Iran’s crude and products, China continues to buy large volumes of Iranian oil—it is actually Tehran’s main customer, buying 90% of its exported oil. By Tsvetana Paraskova for Oilprice.com