U.S. enforces secondary sanctions on Iranian airlines as Hormuz crisis deepens

  • Iran's Civil Aviation Organization canceled flights to Baghdad and Muscat from midnight.
  • Scott Bessent said Iranian carriers face service cutoffs and dollar-system penalties from September 23.
  • Iran pursued Najaf diversions and Oman talks while Istanbul flights remained scheduled.

The United States began enforcing secondary sanctions against 23 Iranian airlines on September 23, barring refueling, landing services and ticket sales while warning violators they could lose access to the dollar settlement system. Flights from Iran to Baghdad and Muscat were canceled from midnight, with Iran's Civil Aviation Organization seeking to reroute Baghdad-bound flights to Najaf and holding talks with Oman; remaining international services, including Istanbul, were scheduled to continue. Treasury Secretary Scott Bessent said aviation providers supporting Iranian carriers risk exclusion from the dollar system. The Treasury Department also designated 27 Iranian airlines as additional sanctions targets, including agents of Mahan Air. Washington alleges Iranian civilian flights transport weapons and combatants. China and Russia rejected the sanctions campaign, while Tehran said it remained open to Qatar-mediated talks on a long-term resolution despite its confrontational rhetoric toward Washington.

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