US Sanctions Six Indian Companies for Trading with Iran
The US has sanctioned six Indian petrochemical companies for engaging in "significant transactions" with Iran, violating American sanctions. The companies, including Alchemical Solutions and Jupiter Dye Chem, are accused of collectively purchasing over $220 million in Iranian-origin products. As a result, their US-based assets are frozen, and American entities are barred from doing business with them. The action is part of Washington's "maximum pressure" campaign to cut off revenue to the Iranian regime.
Unpacked:
The companies are accused of violating Executive Order 13846, a US domestic law that prohibits significant transactions related to Iran’s oil and petrochemical sector as part of Washington’s sanctions against Iran.
The US claims these sanctions aim to cut off revenue that Iran allegedly uses to fund terrorism, destabilize the Middle East, and repress its own citizens. The sanctions are part of a broader 'maximum pressure' campaign to change the Iranian regime's behavior.
India has had longstanding oil trade ties with Iran but significantly reduced direct imports after earlier US sanctions in 2019. Some Indian businesses have continued limited trade, sometimes using intermediaries or indirect routes.
All US-based assets of these companies are frozen, and American entities cannot do business with them. They are also barred from using US dollars or banking systems for transactions involving US jurisdiction.