U.S. Treasury Hits Iran with Sanctions on Auto, Rail, and Shadow Banking

The U.S. Treasury Department imposed broad sanctions on Iran's automotive giants like Iran Khodro and SAIPA, which dominate over 90% of the market, along with rail operators and manufacturing networks tied to the regime.

In a linked action, it designated the Russia-linked A7 shadow banking network a transnational criminal organization that processed over $17 billion in 18 months as part of Operation Economic Outcast, launched in August 2026. These steps aim to cut off revenue sources, disrupt illicit fund flows, and warn global financial institutions against facilitating such transactions.