US Treasury chief says Iran airlines to be ‘shut down’ Sept 23

US Treasury Secretary Scott Bessent warned on Monday that Iranian airlines will face significant challenges operating globally two days following American sanctions, as the Trump administration escalates pressure on Tehran. Speaking to CNBC in an interview on September 23, Bessent stated that all Iranian airlines will be completely shut down worldwide.

In addition to landing, fuel, landing services, and ticket sales, Bessent emphasized that any interaction with the dollar system would result in their complete isolation. This action follows earlier sanctions on Iran's aviation industry and Bessent's pledge to financially cripple Tehran. Iraqi officials confirmed that Baghdad would suspend flights operated by Iranian airlines in response.

Georgia barred Iranian carriers from its land, while Mahan, an Iranian airline, stated it had suspended services to Turkey at the request of the Turkish government. The ongoing conflict between the United States and Iran, which began in late February, has severely impacted global oil prices and further strained relations in the Middle East.

The Treasury Department has also targeted entities supporting Iran's aviation sector, including those outside of Iran. Since the U.S.-Israel alliance initiated attacks in late February, Iran's airspace has been effectively closed, allowing only limited travel by Iranian carriers. Bessent's comments came following a meeting with Chinese Vice Premier He Lifeng for economic discussions ahead of President Donald Trump's summit with Chinese President Xi Jinping on the following Thursday.

With China being a significant economic partner and diplomatic ally for Iran, these sanctions will likely intensify the country's financial challenges.