Page 6 - DMEA Week 40 2022

DMEA SECURITY & POLICY DMEA

US hits Iran with new petchem, oil

sanctions as JCPOA prospects fade

MIDDLE EAST THE US on September 29 whacked Iran with said.
a new round of petrochemical and petroleum The sanctions move also involved the Treas-
sanctions. ury taking aim at several companies accused of
Over the course of several months, when dealing with Hong Kong-based Triliance Pet-
there appeared to be a real prospect of Teh- rochemical Co, an enterprise the US has previ-
ran agreeing a path to the reinstatement of the ously sanctioned.
nuclear deal — the Joint Comprehensive Plan India-based petrochemical company Tiba-
of Action (JCPOA), which would curb Iran’s laji Petrochem Private Ltd purchased millions
nuclear development programme in return for of dollars of Triliance-brokered products for
the lifting of sanctions—Washington appeared shipment to China, it said.
to somewhat relent on the enforcement of Another Treasury accusation is that UAE-
existing US sanctions applied to Iran’s oil, pet- based Clara Shipping LLC was paid millions
rochemical and various other industries. How- of dollars by Triliance, via front companies, in
ever, the calculus has changed. Iran is stubbornly freight charges for shipping Iranian petrochem-
resisting a “final draft” of a European proposal ical and petroleum products to East Asia.
for bringing back the JCPOA, while it has grown Also designated over commercial arrange-
closer to Moscow since Russia invaded Ukraine ments with Triliance were Iran-based Iran
in February. Chemical Industries Investment Company and
Also, the November US mid-term elections Middle East Kimiya Pars Co, Hong Kong-based
are fast approaching. Both the Democrats and Sierra Vista Trading Limited and UAE-based
Republicans may want to show they can play a Virgo Marine.
new round of hardball with Iran in advance of Hong Kong-based Sophychem HK Limited
the polls. That will be even more the case should and ML Holding Group Limited were desig-
the Iranian regime respond to the ongoing nated for dealings with US-designated Persian
anti-government street protests with a crack- Gulf Petrochemical Industries Commercial
down that takes the lives of hundreds, or poten- Company, said to have included the purchase of
tially even more. Iranian petrochemicals for shipment to China
“So long as Iran refuses a mutual return to and Singapore. ™
full implementation of the Joint Comprehensive
Plan of Action [JCPOA], the United States will
continue to enforce its sanctions on the sale of
Iranian petroleum and petrochemical prod-
ucts,” the US Treasury’s under secretary for ter-
rorism and financial intelligence Brian Nelson
said in a statement.
Outlining the sanctions, US Secretary of State
Antony Blinken said in a separate statement
that the State Department had targeted two
China-based companies, Zhonggu Storage and
Transportation and WS Shipping. The former
is accused by the US of operating a commercial
crude oil storage facility for Iranian petroleum,
while US officials claim the latter has served as
a ship manager for a vessel that has transported
Iranian petroleum products.
The US Treasury Department also applied
sanctions on a network of companies that have
participated in what it described as the sale of
hundreds of millions of dollars worth of Ira-
nian petrochemical and petroleum products to
South and East Asia. The action targeted Iranian
brokers and front companies in the UAE, Hong
Kong and India.
“These enforcement actions will continue on
a regular basis, with an aim to severely restrict
Iran’s oil and petrochemical exports,” Blinken The sanctions list was revised as of September 29 (Screenshot: home.treasury.gov)

P6 www. NEWSBASE .com Week 40 06•October•2022