The United States has sanctioned eight Iranian steel, aluminum and iron companies on, including subsidiaries of the Islamic Republic’s largest steel manufacturer, announced the U.S. Treasury Department on Thursday.

Five of the entities—Tara Steel Trading GmbH, Pacific Steel FZE, Better Future General Trading Co LLC, Tuka Metal Trading DMCC and Metil Steel—are linked to Mobarakeh Steel Company, which is already under U.S. sanctions and is the largest flat steel producer in the Middle East and North Africa region, accounting for approximately 1 percent of Iran’s gross domestic product, according to the Treasury Department.

Mobarakeh Steel Company has allegedly provided millions of dollars annually to Mehr Eqtesad Iranian Investment Company, an entity with close ties to Iran’s paramilitary Basij force, which is controlled by the Islamic Revolutionary Guard Corps, and its Bonyad Taavon Basij, according to the Treasury Department.

Collectively, these subsidiaries generate tens of millions of dollars annually from the sale of Mobarakeh Steel Company products, according to the Treasury Department.

Additionally, three other Iranian metal producers were sanctioned: South Aluminum Company, Sirjan Jahan Steel Complex and Iran Central Iron Ore Company.

South Aluminum Company is an aluminum producer that in April 2020 completed construction of an advanced smelter able to produce 300,000 tons of aluminum products annually, significantly improving Iran’s aluminum ingot production, according to the Treasury Department.

In Iran, aluminum is considered a dual-use industry with portions of refined products used in the defense sector with the remaining available products used in various industries throughout the country, according to Treasury.

Sirjan Jahan Steel Complex is a steel and iron producer that maintains four different manufacturing facilities that have an annual production capacity of more than 6 million tons of steel and iron products, according to the Treasury Department.

Iran Central Iron Ore Company is an iron producer that exports various iron products regionally and to East Asia. Iran Central Iron Ore Company has previously exported approximately 1.5 million tons of iron products around the world with an estimated value of $133 million, according to Treasury.

“The Iranian regime continues to use profits from metals manufacturers and foreign sales agents to fund destabilizing behavior around the world,” said U.S. Treasury Secretary Steven Mnuchin. “The United States remains committed to isolating key sectors of the Iranian economy until the revenues from such sectors are refocused toward the welfare of the Iranian people.”

The development exemplified the administration’s “maximum pressure” campaign since withdrawing the United States from the 2015 Iran nuclear deal, reimposing sanctions under it, along with enacting new penalties against the regime.

Support Jewish Journalism
with 2020 Vision

One of the most intriguing stories of the sudden Coronavirus crisis is the role of the internet. With individuals forced into home quarantine, most are turning further online for information, education and social interaction.

JNS's influence and readership are growing exponentially, and our positioning sets us apart. Most Jewish media are advocating increasingly biased progressive political and social agendas. JNS is providing more and more readers with a welcome alternative and an ideological home.

During this crisis, JNS continues working overtime. We are being relied upon to tell the story of this crisis as it affects Israel and the global Jewish community, and explain the extraordinary political developments taking place in parallel.

Our ability to thrive in 2020 and beyond depends on the generosity of committed readers and supporters. Monthly donations in particular go a long way in helping us sustain our operations. We greatly appreciate any contributions you can make during these challenging times. We thank you for your ongoing support and wish you blessings for good health and peace of mind.