The United States is taking decisive action to disrupt Iran’s illicit oil trade, the Iranian regime’s primary revenue streams that fund terrorism and regional destabilization.
Today, the Department of State sanctioned multiple entities, an individual, and a vessel involved in the trade of Iranian petroleum and petroleum products. This action targets a China-based petroleum terminal operator — Qingdao Haiye Oil Terminal Co., Ltd. — that has imported tens of millions of barrels of sanctioned Iranian crude oil since the announcement of National Security Presidential Memorandum-2. These designated entities have enabled the flow of billions of dollars to Tehran. This flow often entails sophisticated evasion schemes, including illicit ship-to-ship transfers and “dark fleet” operations that employ deceptive shipping practices endangering legitimate maritime commerce.
The United States will continue to intensify economic pressure on Iran and the international network that sustains its illicit energy trade as a part of Economic Fury. Persons sanctioned today are subject to sanctions pursuant to Executive Order 13846.
So long as Iran attempts to generate oil revenues to fund its destabilizing activities, the United States will hold both Iran and all its sanctions-evading partners accountable.
Today’s action by the Department of State is being taken pursuant to Executive Order (E.O.) 13846, which authorizes and reimposes certain sanctions with respect to Iran. This action marks the 12th round of sanctions targeting Iranian oil sales since the President issued National Security Presidential Memorandum 2 on February 4, 2025.
Intensifying Pressure on a China-based Crude Oil Terminal Operator
Iran’s petroleum exports, which remain the most critical economic lifeline supporting the destabilizing activities of the Iranian regime, are reliant on key intermediaries who facilitate the transfer of sanctioned Iranian crude oil to end users. China-based crude oil and petroleum product terminal operators serve as one of the most significant conduits in this trade, as they directly enable the flow of illicit Iranian oil to consumers.
QINGDAO HAIYE OIL TERMINAL CO., LTD. (QINGDAO HAIYE) is a China-based crude oil terminal owner and operator which received dozens of shipments, totaling tens of millions of barrels of Iranian origin crude oil in 2025. QINGDAO HAIYE operates a crude oil terminal in the Qingdao Huangdao port area in the greater Qingdao Port cluster of China’s Shandong province. The terminal has accepted cargo from multiple vessels which conducted illicit ship-to-ship (STS) transfers of Iranian-origin crude off the coast of Singapore known as the eastern outside port limits (EOPL), which is an area that has been identified as a hotspot for illicit STS transfers of Iranian-origin crude. These STS transfers were conducted with other vessels which had previously been designated by OFAC for transshipping Iranian energy products.
XINCHUN LI is a Chinese national and the president of QINGDAO HAIYE.
QINGDAO HAIYE is being designated pursuant to Section 3(a)(ii) of E.O. 13846 for knowingly engaging in a significant transaction for the purchase, acquisition, sale, transport, or marketing of petroleum or petroleum products from Iran. XINCHUN LI is being blocked pursuant to section 5(a)(vii) of E.O. 13846 as a principal executive officer, or person performing similar functions and with similar authorities, of QINGDAO HAIYE.
Continued Action on Dark Fleet
The Department of State is designating two vessel management companies for their involvement in the transport and purchase of Iranian petroleum products. Iran’s exports of these energy commodities are enabled by a network of illicit shipping facilitators in multiple jurisdictions who, through obfuscation and deception, load and transport Iranian commodities to buyers in third countries. The vessels managed by these companies play a key role in the Iranian export supply chain. They have also regularly engaged in dark activity and other deceptive shipping practices, endangering other vessels and trade flows.
THRIVING TIMES INTERNATIONAL CO LTD (THRIVING TIMES) is a United Kingdom-based commercial manager. NEW FUSION (IMO: 9277723), a vessel commercially managed by THRIVING TIMES, loaded Iranian petroleum products in April 2025. NEW FUSION is a Panama-flagged oil products tanker, that has also transported Iran-origin petrochemical products in 2024.
THRIVING TIMES is being designated pursuant to section 3(a)(ii) of E.O. 13846 for knowingly engaging in a significant transaction for the purchase, acquisition, sale, transport, or marketing of petroleum or petroleum products from Iran. NEW FUSION is being identified as property in which THRIVING TIMES INTERNATIONAL CO LTD has an interest.
ONBOARD SHIP MANAGEMENT LIMITED (ONBOARD) is a Hong Kong-based vessel management company which served as the technical and ISM manager for the U.S. sanctioned Liquified Petroleum Gas (LPG) tanker OUREA (IMO: 9350422) during the vessel’s loading from Asaluyeh, Iran, in October 2025.
ONBOARD is being designated pursuant to section 3(a)(ii) of E.O. 13846 for knowingly engaging in a significant transaction for the purchase, acquisition, sale, transport, or marketing of petroleum or petroleum products from Iran.
SANCTIONS IMPLICATIONS
As a result of today’s sanctions-related actions, and in accordance with E.O. 13846, all property and interests in property of the designated persons described above that are in the United States or in possession or control of U.S. persons are blocked and must be reported to the Department of Treasury’s Office of Foreign Assets Control (OFAC). Additionally, all entities and individuals that have ownership, either directly or indirectly, 50 percent or more by one or more blocked persons are also blocked.
All transactions by U.S. persons or within (or transiting) the United States that involve any property or interests in property of designated or otherwise blocked persons are prohibited unless authorized by a general or specific license issued by OFAC or exempt. These prohibitions include the making of any contribution or provision of funds, goods, or services by, to, or for the benefit of any blocked person and the receipt of any contribution or provision of funds, goods, or services from any such person.
The power and integrity of U.S. government sanctions derive not only from the U.S. government’s ability to designate and add persons to the Specially Designated Nationals and Blocked Persons (SDN) List, but also from its willingness to remove persons from the SDN List consistent with the law. The ultimate goal of sanctions is not to punish, but to bring about a positive change in behavior.
Petitions for removal from the SDN List may be sent to: OFAC.Reconsideration@treasury.gov. Petitioners may also refer to the Department of State’s Delisting Guidance page.
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