WASHINGTON (Reuters) – The United States expanded sanctions on Iran’s oil and petrochemical sectors on Friday in response to Iran’s missile attack on Israel, the Treasury Department said on Friday.
“This action will increase fiscal pressure on Iran, undermine regional stability, and limit the regime’s ability to obtain critical energy revenues to attack U.S. partners and allies,” the Treasury Department said in a statement. said.
Israel has vowed to respond to Iranian missile attacks launched on October 1 in retaliation for Israeli attacks in Lebanon and Gaza and the killing of Iran’s Hamas leader.
The new US action adds the oil and petrochemical sector to an executive order targeting key sectors of Iran’s economy, aimed at denying the government financial resources to support its nuclear and missile programs.
This will allow the Treasury Department to “impose sanctions on persons who decide to operate in the oil and petrochemical sectors of the Iranian economy,” the statement said.
President Joe Biden said Israel should seek alternatives to attacking Iranian oil fields. Gulf states are lobbying the U.S. government to prevent Israeli attacks on oil facilities because they fear their facilities could be attacked by Iranian proxies if the conflict escalates, Gulf sources said. Three people familiar with the matter told Reuters.
The Ministry of Finance also announced that it had designated 16 entities and 17 vessels as blockades for their involvement in transporting oil and petrochemical products in support of Iran’s National Oil Company.
At the same time, the State Department took steps to cut off the flow of funds to Iran’s weapons program and support for “terrorist proxies and partners.”
It imposed sanctions on six entities involved in Tehran’s oil trade and identified six vessels as blockaded property.
