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US targets China, Iran-based firms in fresh Iran sanctions

May 12, 2025

On April 29, 2025, the United States levied sanctions on a network based in Iran and China, charging it of procuring ballistic missile propellant ingredients for Iran’s Islamic Revolutionary Guard Corps (IRGC). This move is part of the Trump administration’s broader strategy to magnify pressure on Tehran and curb its missile program.

Sanctions Overview

The U.S. Treasury Department targeted entities involved in the transfer of missile propellant materials, specifically sodium perchlorate, from China to Iran. Sodium perchlorate can be transformed into ammonium perchlorate, a key component in solid rocket fuel used for ballistic missiles. Reports indicated that two Iranian cargo ships were set to deliver approximately 1,000 tons of sodium perchlorate from China to the IRGC, ample to produce hundreds of midrange missiles.

China’s Involvement

China has been identified as a major supplier of materials for Iran’s missile program. Despite international sanctions, Chinese entities have continued to provide crucial components, including missile propellant ingredients. The U.S. has shown concerns over China’s role in supporting Iran’s military capabilities and has called for sanctions on Chinese companies and ports involved in these transfers.

Impact on Iran’s Missile Program

The sanctions aspire to sabotage Iran’s missile development by targeting its supply chain for essential materials. Iran’s reliance on foreign sources for missile components, such as sodium perchlorate, underscores vulnerabilities in its defense infrastructure. By cutting off access to these materials, the U.S. aims to hinder Iran’s ability to produce and deploy ballistic missiles.

Geopolitical Implications

The sanctions are part of the Trump administration’s “maximum pressure” campaign against Iran, which includes efforts to reduce Iran’s oil exports and limit its regional influence. The U.S. has also threatened secondary sanctions on countries that purchase Iranian oil, further isolating Tehran economically.

China’s ongoing trade with Iran, particularly in oil and military materials, complicates U.S. efforts to enforce sanctions. While China has lessened some trade with Iran in response to U.S. actions, it remains a pivotal partner for Tehran, providing an economic lifeline amidst international pressure.

The U.S. sanctions imposed reflect a strategic effort to weaken Iran’s missile capabilities by targeting its supply chains and international partnerships. By focusing on the transfer of missile propellant ingredients from China to Iran, the U.S. aims to halt Tehran’s defense programs and increase economic and political pressure. The effectiveness of these sanctions will depend on international collaboration and the ability to impose restrictions on entities supporting Iran’s military ambitions.

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