The US Treasury Department sanctioned Iran’s automotive and rail industries under Operation Economic Outcast, targeting companies it describes as important sources of revenue for Tehran. The Office of Foreign Assets Control designated Iran Khodro Diesel, SAIPA Iranian Automobile Manufacturing Company and two SAIPA subsidiaries, as well as the state-owned Islamic Republic of Iran Railway Company and Raja Passenger Trains Company. Treasury said Iran Khodro Company and SAIPA control more than 90% of Iran’s domestic auto market. The measures also cover foreign suppliers, including UAE-based Integrated Auto Parts and Turkey-based Troy Trading Arac Parcalari Sanayi Ve Ticaret. Treasury Secretary Scott Bessent said the campaign has severely reduced Iran’s ability to finance its military and regional proxies. The action follows sanctions on all Iranian airlines last month and comes as the US military campaign against Iran enters its seventh month after President Trump rejected a short-term ceasefire proposal from Iranian officials.