Countering Iran’s Exploitation of the Strait of Hormuz

Today, the United States designated the Persian Gulf Marine Insurance Company and Hormuz Safe Marine Services Authority, two Iranian entities backed by the Islamic Revolutionary Guard Corps (IRGC), for running coercive “insurance” schemes that extort international shipping transiting the Strait of Hormuz.  These entities manufacture risk—including the threat of vessel seizures—and then charge commercial vessels for coverage against dangers created by the regime itself, generating revenue that sustains IRGC operations and Iran’s broader campaign of regional destabilization.

The United States also designated eight companies operating vessels that have transported illicit Iranian crude oil and petrochemical products to China and the United Arab Emirates.  These vessels form part of Iran’s “shadow fleet,” which the regime relies on to evade sanctions.

Today’s designations support the U.S. Navy’s enforcement of a blockade on Iranian ports and coastline and add to a sustained campaign that has now sanctioned more than 100 vessels this year.

The United States will continue to hold Iran accountable for weaponizing vital international waterways and evading sanctions through shadow fleet operations and deceptive financial schemes.  Protecting navigational rights and freedoms in the Strait of Hormuz is a global interest, and the United States will act, alongside partners, to ensure Iran cannot hold international commerce hostage to finance its malign activities.  We will continue working with allies to isolate the regime diplomatically and economically until it ceases its destabilizing behavior.

Today’s action was taken pursuant to Executive Order (E.O.) 13902, which targets Iran’s financial, petroleum, and petrochemical sectors.  It continues the robust sanctions campaign targeting Iranian oil sales in support of the President’s National Security Presidential Memorandum 2 (NSPM-2).  For more information on today’s action, please see the Department of the Treasury’s press release.