The U.S. Department of the Treasury announced a new package of Iran-related sanctions on Friday, which includes a major Chinese refinery and about 40 shipping companies and vessels associated with what has been described as Iran’s shadow fleet.
According to the department, Hengli Petrochemical Refinery in Dalian, one of the largest buyers of Iranian crude oil and petroleum products, has been targeted by sanctions. At the same time, a general license has been issued to allow for the gradual wind-down of transactions involving the company, giving related parties time to exit commercial dealings.
The Treasury Department’s Office of Foreign Assets Control (OFAC) also announced sanctions on nearly 40 shipping companies and vessels involved in Iran’s oil transportation network. This network is considered part of the so-called shadow fleet used to evade sanctions and transport oil.
The administration of U.S. President Donald Trump also sanctioned several so-called “teapot” refineries—small independent Chinese refineries—last year. These measures created restrictions for these refineries, including difficulties in obtaining Iranian crude oil and forcing them to sell refined products under different names.
Teapot refineries account for about one-quarter of China’s refining capacity and operate with low or even negative profit margins. In recent months, they have also faced increased pressure due to declining domestic demand.
Reuters news agency reported that these sanctions, by freezing the entities’ assets in the United States and prohibiting U.S. citizens from doing business with them, have also discouraged some larger independent refiners from purchasing Iranian oil. According to 2025 data from Kpler, China buys more than 80% of Iran’s exported oil.
At the same time, U.S. Treasury Secretary Scott Bessent announced that several cryptocurrency wallets linked to Iran have also been sanctioned. He wrote on the social media platform X that OFAC has frozen 344 million dollars in cryptocurrency through these measures.
Bessent emphasized that they will track the financial flows that Tehran is trying to move out of the country and will target all financial channels linked to the Iranian regime.
These measures come as Washington, alongside an existing ceasefire with Iran, continues its economic pressure by intensifying sanctions, restricting export routes, and increasing pressure on the ports and financial networks of Iran’s regime.
