Figures from the US Treasury's Office of Foreign Assets Control show the agency has sanctioned more than 1,000 people.5 min readAug 23, 2026 07:50 AM IST First published on: Aug 23, 2026 at 07:50 AM IST ShareWhatsapptwitterFacebookPresident Donald Trump listens at a campaign rally for Sen. Darline Graham, R-S.C., at the Myrtle Beach Convention Center in Myrtle Beach, SC. (Photo: AP)US President Donald Trump has pledged to increase economic pressure on Iran, according to Reuters, after Treasury Secretary Scott Bessent said Washington would introduce measures against Tehran that have “never been seen” as early as next week.The United States, United Nations and European Union have applied sanctions, trade embargoes and asset freezes against Iran since the late 1970s over its nuclear programme, human rights record and support for militant groups. Since the Iran war began in February 2026, Washington has added further maritime, energy and financial sanctions and launched a naval blockade.Figures from the US Treasury’s Office of Foreign Assets Control show the agency has sanctioned more than 1,000 people, vessels and aircraft since Trump began his second term, according to Reuters. Recent measures have targeted Iran’s shadow oil fleet, shipping insurers, and parties linked to Iran’s weapons procurement, along with digital exchanges holding an estimated $500 billion in Iran-linked cryptocurrency.Oil shipments through the Strait of Hormuz remain at a standstill, with Tehran threatening to strike unauthorised tankers attempting passage.Could the US target Chinese oil refiners?Chinese independent refineries, known as “teapots,” make up a quarter of China’s refining capacity and operate on thin, sometimes negative, margins. China buys more than 80% of Iran’s shipped oil, according to 2025 figures from analytics firm Kpler cited by Reuters, with independent refiners handling much of that trade and thereby exposed to secondary sanctions.Story continues below this adSanctions experts have said that earlier US measures discouraged larger independent refiners from purchasing Iranian oil, but that smaller teapot refiners are largely shielded given their limited exposure to the US financial system.Could Chinese banks face sanctions?The Treasury has already imposed secondary sanctions on smaller China and Hong Kong-based entities accused of processing billions of dollars tied to Iranian oil and weapons funding. The department has warned two larger Chinese banks, not publicly named, that they could face sanctions if Iranian funds were traced through their systems, though it has not yet designated them.Sanctions experts told Reuters that targeting those banks could unsettle larger financial institutions but might also prompt retaliation from Beijing. Trump administration officials have sought to ease tensions with China ahead of a planned meeting between Trump and President Xi Jinping later this year, Reuters said, amid concern that Beijing could restrict exports of critical minerals needed for advanced technology production.Is a ‘whack-a-mole’ approach still an option?The US could continue pursuing Iranian individuals and entities, along with associates in China and the Gulf, that help Tehran evade sanctions to fund its war effort. The Treasury recently sanctioned firms established to facilitate Iran’s trade of oil revenue for imports, but Brett Erickson, managing principal of Obsidian Risk Advisors, told Reuters this “whack-a-mole” approach has not changed Iran’s behaviour, since Tehran simply forms new entities to take their place.Story continues below this adMiad Maleki, a sanctions expert at the Foundation for Defense of Democracies, said that Bessent’s comments likely signalled a stronger enforcement drive against oil shippers, buyers and currency exchangers assisting Iran’s import payments. Maleki added that further aviation sanctions were also possible, aimed at limiting Iran’s ability to move trade following the US blockade of the Strait of Hormuz.Could the US impose a land blockade?Reuters said some US and Israeli officials have raised the possibility of a land blockade, which would require cooperation from Iran’s neighbours: Iraq, Turkey, Pakistan, Afghanistan, Turkmenistan, Azerbaijan and Armenia.The Trump administration maintains ties of varying strength with all of those countries except Afghanistan, whose mountainous border is difficult to patrol regardless. Reuters noted that Trump may hold leverage over Pakistan, which has sought a $10 billion currency swap line from the Treasury, and over Turkey, which is seeking to rejoin the US F-35 programme.Most ReadExperts told Reuters that a land blockade could increase pressure on the Iranian population by disrupting imports of food, energy and textiles, but cautioned that such a move would be difficult to carry out and might not lead to unrest or internal pressure on the government.Story continues below this adCould the US use tariffs against Iran’s trading partners?Reuters reported that Trump has repeatedly threatened tariffs on goods from countries doing business with Iran, though the Supreme Court has struck down the legal basis for such measures. The Senate passed a broad Russia sanctions bill last week that includes new Iran sanctions and would grant Trump new tariff powers he could apply against countries aiding Iran’s trade and weapons procurement.That legislation still requires approval from the House of Representatives, Reuters said, where it could face resistance from Democrats and some Republicans over concerns about the tariff provisions.AdvertisementLoading Recommendations...AdvertisementAdvertisement