US slaps sanctions on Iran airlines, service providers

He warned that anyone doing business with Iran’s remaining airlines risk being cut off from the global financial system.

Besides Iranian airlines, the Treasury Department said its latest actions target third-country firms that “facilitate US-sanctioned Mahan Air’s proliferation activity, terrorist-linked flight operations, and illicit procurement of US-origin aircraft.”

It is also taking aim at “cargo service providers and general sales agents that have serviced Mahan Air’s international flights.”

Mahan Air is an Iranian airline accused of facilitating activities by Tehran’s Islamic Revolutionary Guard Corps (IRGC).

The US Treasury official did not specify if firms in countries like China might face secondary sanctions for supporting the Iranian aviation sector, but said there are various actions Washington can take on service providers.

The Treasury Department slapped sanctions in July on invididuals and companies it said were aiding Mahan Air too.

Iran’s aviation sector has long struggled under sanctions, which have severely restricted its ability to acquire aircraft, spare parts and maintenance services.