U.S. Sanctions 13 Firms for Iran Petrochemical Trade

31 Jul 2025 , 10:42 AM

The United States government announced new sanctions on July 30, targeting 13 entities involved in the trade of Iranian-origin petrochemicals, including six Indian companies.

The sanctions, part of the Trump administration’s continued crackdown on Iran’s energy exports, also affect firms based in China, Indonesia, Turkiye, the UAE, and Iran itself.

According to the official release, these entities were found to be “engaged in the trans-shipment, sale, and purchase of Iranian-origin petrochemicals,” an activity Washington says funds Iran’s destabilising regional agenda.

In a parallel move, the US State Department imposed sanctions on 20 more entities linked to Iran’s crude oil trade, and identified 10 vessels as blocked property, effectively freezing any US-based or US-linked financial activity connected to them.

It stated that Iran’s petrochemical sector has grown substantially in recent years, generating billions of dollars in illicit funds, which are then funnelled into regional conflicts and destabilisation efforts.

Indian companies targeted in sanctions

• Kanchan Polymers: The Mumbai-based company imported over $1.3 million worth of polyethene from Iranian firm Tanais Trading. It has been sanctioned for knowingly engaging in significant petrochemical transactions with Iran.
• Alchemical Solutions: Between January and December 2024, this India-based petrochemical trading firm imported more than $84 million worth of Iranian-origin products.
• Ramniklal S Gosalia and Company: The firm sourced methanol and toluene worth over $22 million from Iran during January 2024–January 2025, prompting US sanctions.
• Jupiter Dye Chem: The company is accused of buying over $49 million worth of Iranian petrochemicals, including toluene, over a one-year span ending January 2025.
• Global Industrial Chemicals: This Indian company reportedly imported $51 million worth of methanol between July 2024 and January 2025 from Iranian sources.
• Persistent Petrochem: Sanctioned for shipments worth around $14 million that included methanol and other petrochemicals from firms such as Bab Al Barsha, shipped between October and December 2024.

Implications of the sanctions

The punitive measures are being enforced under Executive Order 13846, which blocks all property and interests of the sanctioned entities that fall under US jurisdiction or are controlled by US persons.

Additionally, any entity owned 50% or more, directly or indirectly, by one or more blocked persons is automatically designated and blocked as well.

The sanctions also prohibit US persons or businesses from transacting with the designated firms unless authorised by a license from the Office of Foreign Assets Control (OFAC). This includes a blanket ban on contributing funds, goods, or services to or from any of the blocked companies.

Can sanctioned companies appeal?

The US Treasury clarified that its intention is not punitive but to encourage behavioural change.

Companies that believe they have grounds for removal can submit petitions to:

Email: [e-mail]

Or contact the OFAC directly through official channels.

Petitioners can also refer to the Department of State’s Delisting Guidance for more information on navigating the appeal process.

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