US blacklists companies in Iran's metals sector, counting Aluminium Industry

The United States Treasury Department on 25^th June’20 imposed sanctions on nine organisations allegedly operating in or providing materials to Iran’s metals sector, counting aluminium producers among other metal producers and some of their foreign subsidiaries and sales agents.

The sanctions are the fresh effort by the Donald Trump administration to expand pressure on Iran. The Treasury Department claimed Iran’s government used revenue from metals exports to fund its Islamic Revolutionary Guard Corps and other malign activities in the Middle East.

Steven Mnuchin, Treasury Secretary said in a statement on 25^th June’20: “The United States remains committed to isolating key sectors of the Iranian economy until the revenues from such sectors are refocused toward the welfare of the Iranian people.”

The Treasury Department added to its blacklist two of Mobarakeh’s subsidiaries, including one based in Germany and involved in the wholesale metals and metal ores business in Europe. Three sales agents and trading companies for Mobarakeh that are based in the United Arab Emirates were also blacklisted on 25^th June’20.

The Treasury Department said: "The sales agents generated tens of millions of dollars annually from foreign sales of Mobarakeh’s products and contributed significantly to the billions of dollars generated overall by Iran’s aluminium and other metal sectors."

Iranian aluminium producer South Aluminum Company and few other metal manufacturing companies were also on the blacklist declared by the US Treasury Department as on 25^th June’20.

The sanctions freeze any assets the nine entities have within U.S. jurisdictions and prohibit U.S.-based companies and individuals from transacting with them and expose anyone doing business with them to potential penalties.