U.S. issues Iran-related sanctions against China, UAE-based entities

WASHINGTON (Reuters): The U.S. on Tuesday imposed sanctions on entities and individuals in Iran, the United Arab Emirates and China whom it accused of being part of an Iranian weapons procurement network, as President Donald Trump seeks to ramp up pressure on Tehran.

The U.S. Treasury Department announced sanctions on six entities and two individuals in action taken in coordination with the Department of Justice, accusing them of responsibility for procurement of unmanned aerial vehicle (UAV) components on behalf of a leading manufacturer for Iran’s drone program.

“Iran’s proliferation of UAVs and missiles – both to its terrorist proxies in the region and to Russia for its use against Ukraine – continues to threaten civilians, U.S. personnel, and our allies and partners,” Treasury Secretary Scott Bessent said in a statement.

“Treasury will continue to disrupt Iran’s military-industrial complex and its proliferation of UAVs, missiles and conventional weapons that often end up in the hands of destabilizing actors, including terrorist proxies.”

Iran’s mission to the United Nations in New York did not immediately respond to a request for comment.

Tuesday’s action targeted one Iranian-based entity and two people based in Iran, one entity based in China and four UAE-based entities, according to the Treasury statement.

The Treasury said it was the second round of sanctions targeting “Iranian weapons proliferators” since Trump restored his “maximum pressure” campaign on Iran, which includes efforts to drive its oil exports down to zero in order to help prevent Tehran from developing a nuclear weapon.

Trump’s February memo, among other things, ordered Bessent to impose “maximum pressure” on Iran, including sanctions and enforcement mechanisms on those violating existing sanctions.

Trump threatened Iran on Sunday with bombing and secondary tariffs if Tehran did not come to an agreement with Washington over its nuclear program.

In his first 2017-21 term, Trump withdrew the U.S. from a 2015 deal between Iran and world powers that placed strict limits on Tehran’s uranium enrichment activities in exchange for sanctions relief. Trump also reimposed sweeping U.S. sanctions.

Since then, Iran has far surpassed that deal’s limits on uranium enrichment.

Western powers accuse Iran of having a clandestine agenda to develop nuclear weapons capability by enriching uranium to a high level of fissile purity, above what they say is justifiable for a civilian atomic energy program. Tehran says its nuclear program is wholly for civilian power purposes.