India's Iran exports set to fall further amid Dubai halt, US sanctions

Since 1979, the United States has been enforcing a series of sanctions against Iran, according to the US State Department. These sanctions were implemented following the seizure of the US embassy in Tehran during the Iranian Revolution, as stated by the US Treasury Secretary Scott Bessent in a recent op-ed. The Financial Times reported on Bessent's warning of an "economic D-Day" coming for Iran, marking the beginning of what he described as "the single greatest financial offensive ever marshalled against an adversary".

The Congressional Research Service (CRS) report on US sanctions on Iran details the purpose and scope of these measures. The report states that the sanctions aim to "deter, constrain, and encourage change in the adversarial behavior of the Iranian regime". The document emphasizes that the US sanctions on Iran are among the most extensive and comprehensive ever imposed on any nation by the United States.

The financial penalties associated with these sanctions are extensive and wide-ranging. They prohibit nearly all US trade with Iran, block Iranian government assets within the country, and restrict foreign assistance and arms sales, as outlined in the CRS report. In 2013, the Department of the Treasury's Office of Foreign Assets Control permitted the sale of food, medicine, and medical devices to Iran.

Additionally, the US is allowed to provide telecommunications equipment to Iranians to assist them in bypassing the regime's attempts to cut off internet access.