US issues general license for wind-down activities in Hormuz as new Iran sanctions imposed

Lead

The US Treasury Department announced that it has issued a "general license" authorizing limited activities in the Strait of Hormuz, according to a department press release on Tuesday. The Treasury's Office of Foreign Assets Control (OFAC) simultaneously issued new sanctions against individuals, ships, and groups involved with Iran, the statement read.

The statement noted that the permitted activities are for "wind-down" purposes, allowing for "limited safety and environmental transactions." In addition, the general license allows for the offloading of cargo involving individuals and ships listed under the new sanctions.

Twenty ships are listed under the new sanctions, along with 24 entities and 10 individuals. According to the general license, wind-down operations are permitted until September 12, and any payments made under the license must be made via specific protocols within the US. OFAC emphasized that the license does not allow for any new commercial contracts with newly or previously sanctioned groups and individuals.

Coverage comparison

The Jerusalem Post reported the issuance of the general license and the new sanctions, including the specific numbers of ships, entities, and individuals affected. It also quoted US Treasury Secretary Scott Bessent as saying that Iranian Supreme Leader Mojtaba Khamenei is "hiding in seclusion while his regime crumbles," as the US imposed fresh sanctions against Iran's shadow exchange houses and other Iran-linked individuals. Bessent said, "Treasury will continue using every tool at its disposal to isolate him and other regime elites from the global financial system. We will preserve these assets for the Iranian people."

The Jerusalem Post also noted that a previously-issued general license authorizing the sale of Iranian oil was revoked by the Treasury on July 7 following Iran's attacks on ships in the Strait of Hormuz. A US official warned at the time that Iran would face consequences for its actions.

Other outlets focused on the revocation of the oil-sale license. The South China Morning Post reported that the US Treasury Department revoked a license for Iranian oil sales, calling Iran's actions in the Strait of Hormuz "wholly unacceptable." A US official told Agence France-Presse, "Iran's actions in the Strait were wholly unacceptable to the United States and will be met with consequences," after attacks on tankers in the key waterway.

Yonhap News Agency reported that the Treasury Department said Tuesday it is revoking a general license that authorized the sale of Iranian oil, after three tankers were reported to have come under attack in and near the Strait of Hormuz. The revocation raised concerns that it could affect ongoing diplomatic efforts by US President Donald Trump's administration to engage in negotiations with Iran to reopen the waterway, wind down the Islamic Republic's nuclear program, and end the Middle East war.

Key claims

* The US Treasury Department revoked a general license that had authorized the sale of Iranian oil, according to multiple reports. The waiver announced in June had originally allowed Iran to produce, sell, and deliver crude oil and related products until August 21.

* Three tankers were attacked in the Strait of Hormuz, according to several reports. The South China Morning Post reported that a Qatari LNG vessel was among those struck, and that a Saudi crude tanker was damaged. The LNG tanker was at risk of exploding, prompting maritime authorities to raise the threat level for vessels transiting the waterway to "severe." There was no claim of responsibility for the attacks, but a US official, speaking on condition of anonymity, said initial indications were that Iran had fired at two commercial vessels. Yonhap cited the United Kingdom Maritime Trade Operations (UKMTO) Centre, a British entity, as reporting that three tankers were struck by unidentified projectiles in the Strait of Hormuz or in an area east of Limah, Oman.

* On June 21, the Treasury's Office of Foreign Assets Control issued a temporary 60-day general license authorizing the production, delivery, and sale of Iranian oil, as Washington and Tehran signed a preliminary peace agreement aimed at ending their war, as reported by Yonhap.

* The Strait of Hormuz is a key shipping route for oil, natural gas, fertilizer, and other commodities, as noted by Yonhap, which said South Korea and other countries rely heavily on the waterway for their energy imports.

* The new sanctions list 20 ships, 24 entities, and 10 individuals, as reported by the Jerusalem Post.

* US Treasury Secretary Scott Bessent stated that Iranian Supreme Leader Mojtaba Khamenei is "hiding in seclusion while his regime crumbles," according to the Jerusalem Post. Bessent said the Treasury will continue to isolate Khamenei and other regime elites from the global financial system.

Perspectives

The US government, as represented by the Treasury Department and its officials, has characterized Iran's actions in the Strait of Hormuz as "wholly unacceptable" and has imposed sanctions in response. Treasury Secretary Scott Bessent described the Iranian Supreme Leader as hiding while his regime crumbles, signaling an adversarial stance. The coverage also notes that the revocation of the oil-sale license raised concerns about ongoing diplomatic efforts with Iran, highlighting a potential tension between punitive measures and negotiation attempts.