In an escalation ahead of a new round of diplomatic talks, the United States imposed a new package of sanctions targeting Iran, continuing its “maximum pressure” campaign aimed at forcing Tehran to change its policies. These measures come at a critical time, on the eve of the third round of talks between the two sides in Geneva, casting doubt on the future of the diplomatic process.
The US Treasury Department announced that the new sanctions target a broad network of more than 30 individuals and entities, as well as a vessel, for allegedly facilitating “illicit Iranian oil sales” and participating in weapons production. The department explained that among the primary targets of these sanctions is Iran’s so-called “shadow fleet,” a group of ships that transport Iranian crude oil and petroleum products to foreign markets in an attempt to circumvent existing sanctions and undermine key sources of revenue for the Iranian regime.
In a statement, then-US Treasury Secretary Steven Mnuchin said, “Iran is exploiting the financial system to illicitly sell oil, launder the proceeds, purchase components for its nuclear and conventional weapons programs, and support its terrorist proxies.” He affirmed that Washington would continue to “exert maximum pressure on Iran to target the regime’s weapons capabilities and its support for terrorism.”.
Background to the conflict and the maximum pressure campaign
The roots of this escalation lie in former US President Donald Trump's decision in May 2018 to unilaterally withdraw from the nuclear agreement (Joint Comprehensive Plan of Action – JCPOA), signed in 2015 between Iran and the P5+1 group of nations. The agreement aimed to restrict Iran's nuclear program in exchange for lifting economic sanctions. However, the Trump administration deemed the agreement insufficient because it did not address Iran's ballistic missile program or its regional influence, and launched a "maximum pressure" campaign to force Tehran back to the negotiating table for a new, more comprehensive agreement.
Expected effects of sanctions
These sanctions aim to deepen Iran’s economic crisis by crippling its oil exports and restricting its access to the global financial system. Domestically, these measures exacerbate the suffering of Iranian citizens and place immense pressure on the government. Regionally, Washington seeks to limit Iran’s ability to fund its allies in the region, such as Hezbollah in Lebanon and the Houthis in Yemen. Internationally, this move puts the United States at odds with its European allies, who are still trying to salvage the nuclear agreement, and increases the risk of military confrontation in the Gulf region, a vital artery for global energy supplies.
