U.S. sanctions target Iran’s auto and rail sectors

The U.S. Treasury Department announced sanctions on Thursday, October 1, targeting Iranian automotive and rail companies and foreign suppliers, expanding Washington’s economic pressure on Iran under its Operation Economic Outcast campaign. The measures include Iran’s two largest automakers and several rail operators, while Treasury says the sectors help move goods and generate revenue. The designations name Iran Khodro Company and SAIPA Iranian Automobile Manufacturing Company. Treasury said the two firms together account for more than 90 percent of Iran’s domestic auto market. The action also targets the state-owned Islamic Republic of Iran Railway Company, Raja Passenger Trains Company and private freight carrier SherkatE Rah AhanE KhamleONaghle, also known as the Railway Transportation Company. Foreign companies supplying Iran’s auto sector in Indonesia, the United Arab Emirates and Turkey were also included, according to reports on the action. Treasury described the sanctions as aimed at transport routes and industries that Iran has relied on to move petroleum, fertilizer, chemicals and other goods amid restrictions on maritime shipments.