Imposing Sanctions With Respect to Additional Sectors of Iran
The order expands U.S. sanctions against Iran under emergency economic powers to cover Iran's construction, mining, manufacturing, and textile sectors — blocking U.S.-held assets of any person Treasury designates as operating in those sectors and authorizing secondary sanctions on foreign banks that facilitate related transactions.
It also suspends U.S. entry for covered persons and authorizes the Treasury Secretary to add further Iranian economic sectors, substantially broadening economic pressure on Iran beyond the oil and financial sectors previously targeted.
What this order does
What it orders
The order directs the blocking of all U.S.-held property and interests of any person the Treasury Secretary determines operates in Iran's construction, mining, manufacturing, or textiles sectors — or in any additional sector Treasury later designates. It extends the same blocking to persons who engage in significant transactions with those sectors, materially assist blocked persons, or are owned or controlled by them. It also authorizes Treasury to restrict or prohibit U.S. correspondent and payable-through accounts for any foreign financial institution that knowingly facilitates significant transactions connected to the covered sectors or to blocked persons.
The order suspends U.S. entry for persons meeting the blocking criteria, with a State Department waiver available for law enforcement or national-interest reasons. It exempts transactions involving food, medicine, agricultural commodities, and medical devices sent to Iran, and preserves the ability of UN employees and contractors to conduct official UN business. Treasury is authorized to issue implementing rules and regulations, and all executive departments are directed to take appropriate measures to carry out the order.
Who it affects
Iranian companies and individuals operating in the construction, mining, manufacturing, or textiles sectors; foreign banks worldwide that process significant Iran-related transactions in those sectors; U.S. persons who have or seek dealings with covered Iranian entities; and international businesses with U.S. correspondent banking relationships that touch the covered sectors.
Why it matters
Foreign companies and banks that do business with Iran's construction, mining, manufacturing, or textile industries now risk losing access to the U.S. financial system. U.S. persons are immediately prohibited from transacting with designated entities, and covered individuals are barred from entering the United States.
What must happen and when
How the order is supposed to work
Treasury, consulting with State, identifies and designates covered persons administratively; no advance notice is required before designation because assets could be moved instantly. Once designated, a person's U.S.-held assets are frozen and U.S. persons may not transact with them. Foreign banks face correspondent-account restrictions or closure if they knowingly facilitate covered transactions. Treasury may promulgate rules, issue licenses, and redelegate functions internally. All executive departments must implement the order within their existing authority.
Actions and deadlines
- Identify and designate persons operating in covered Iranian economic sectors and block their U.S.-held property
- Determine whether to add further Iranian economic sectors beyond construction, mining, manufacturing, and textiles
- Impose correspondent-account restrictions on foreign financial institutions facilitating covered transactions
- Promulgate rules and regulations to implement the order's sanctions authorities
- Implement entry-suspension procedures for persons meeting the blocking criteria