U.S. hits Iran’s rail and automotive sectors with new sanctions

The United States imposed new sanctions on Iran on Thursday, targeting Tehran’s rail and automotive sectors, according to the U.S. Treasury Department, as Reuters reports.

The new measures expand economic pressure on Iran, after on Tuesday the Treasury sanctioned 10 individuals and entities in Iran, Hong Kong and Pakistan accused of procuring weapons and components for Iran’s Ministry of Defense, under Operation “Economic Outcast.”

Treasury Secretary Scott Bessent has declared that Washington “will not tolerate any support for the regime” and will continue to identify, expose and isolate Tehran’s helpers. The sanctions aim to damage Iran’s ability to rebuild its weapons programs, raising the cost for those who support the military supply chain.

The measures come at a time when the Iranian currency has fallen to a historic low — over 2.5 million rials to the dollar — and the seven-month war continues to weigh on Iran’s economy, while ceasefire talks through mediators remain uncertain.