The United States is set to intensify sanctions on Iranian airlines beginning September 23, effectively barring them from operating internationally, Treasury Secretary Scott Bessent announced Monday. Speaking in an interview, Bessent stated that all Iranian carriers would be shut down worldwide as a result of escalating American sanctions aimed at isolating Iran's aviation sector.
Bessent explained that foreign businesses providing services to Iranian airlines—such as fuel suppliers, airport authorities, and ticketing companies—would face removal from the U.S. dollar financial system if they continued to support these carriers. "If they land, you cannot provide them with fuel, you cannot provide them with landing services, you cannot sell them tickets, or you will be knocked out of the dollar system," he said.
The announcement follows recent U.S. sanctions targeting “all remaining Iranian airlines” that had previously escaped penalties, as well as entities outside Iran accused of supporting the country’s aviation industry. These moves are part of a broader U.S. campaign under the Trump administration to restrict Iran's economic activities amid ongoing geopolitical tensions.
Since February, Iran and the United States have been engaged in an armed conflict, initiated by U.S. and Israeli strikes that killed Iran's supreme leader and senior military figures. Tehran responded by blocking the Strait of Hormuz, a crucial maritime route for global energy supplies, contributing to a surge in oil prices and wider instability across the Middle East.
The sanctions arrive amid global responses restricting Iranian carriers. For instance, Iraqi officials indicated Baghdad would suspend flights operated by Iranian airlines following the U.S. directive. Additionally, Georgia has banned Iranian airlines from its airspace, and Iranian carrier Mahan Airlines suspended its services to Turkey at Ankara's request.
Iran’s aviation sector has faced long-standing difficulties due to U.S. sanctions, which have limited access to aircraft purchases, spare parts, and maintenance services. Despite these restrictions, some Iranian flight operations resumed following a near-complete airspace closure after the initial conflict in February.
The timing of Bessent’s statement coincided with his meeting in New York with Chinese Vice Premier He Lifeng, ahead of a planned summit between President Donald Trump and Chinese President Xi Jinping. China remains one of Iran’s principal economic and diplomatic partners, and its cooperation is considered crucial to the effectiveness of U.S. sanctions. Bessent described talks with Chinese officials as constructive, emphasizing Beijing’s engagement in enforcing the sanctions framework.
The U.S. administration’s strategy relies heavily on secondary sanctions that penalize foreign entities doing business with Iran across various sectors—including aviation, energy, shipping, technology, and finance—inviting possible significant consequences for non-compliance. This intensification of economic pressure aims to further isolate Iran from the global financial system amid ongoing hostilities.