US sanctioned oil refinery

Washington (dpa) — The United States has imposed sanctions on Chinese oil refinery Hengli because of its business dealings with Tehran, the Treasury Department said on Friday.

“China-based independent teapot refineries continue to play a vital role in sustaining Iran’s oil economy, and Hengli is one of Iran’s largest customers for crude oil and other petroleum products, having purchased billions of dollars’ worth of Iranian petroleum,” department said in a statement.

Sanctions had also been imposed on about 40 shipping firms and vessels that “operate as part of Iran’s shadow fleet, whose transportation of petroleum and petrochemicals provides a financial lifeline to Iran’s unstable regime,” the department added.

Secretary of the Treasury Scott Bessent said the US would continue to “constrict the network of vessels, intermediaries, and buyers Iran relies on” to move its oil to global markets.

“Any person or vessel facilitating these flows — through covert trade and finance — risks exposure to US sanctions.”

The action is part of Washington’s Economic Fury campaign aimed at curbing Iran’s military capabilities.

The sanctions freeze any US-based assets of those designated and generally prohibit US citizens from conducting transactions with them.