US Eases Iran Oil Sanctions, Approves Trade Until Aug 2026

The U.S. Treasury’s Office of Foreign Assets Control (OFAC) issued General License X, allowing transactions related to the production, sale, delivery, import, export, and offloading of Iranian crude oil, petrochemical products, and petroleum products until August 21, 2026 (12:01 a.m. EDT).

The license applies to activities that are normally necessary for these trades, including shipping, docking, anchoring, crew safety, emergency repairs, environmental protection, storage, vessel management, bunkering, piloting, registration, insurance, classification, and salvage services. It also covers products produced by entities sanctioned under multiple Iran-related sanctions programs.

OFAC said the authorization includes the import of Iranian crude oil, petrochemical products, and petroleum products into the United States, provided those imports are directly connected to authorized sales, delivery, or offloading activities covered by the license.

The license also permits payments owed to Iran, the Government of Iran, or blocked persons for these authorized purchases to be made in U.S. dollar-denominated funds.

However, the authorization does not allow transactions involving persons or entities located in, organized under, owned by, controlled by, or in joint ventures with parties from North Korea, Cuba, the covered regions of Ukraine, or Crimea.

The license further states that it does not override any other sanctions restrictions imposed under separate Executive Orders or other parts of 31 CFR Chapter V that are not specifically referenced in General License X. The document was signed by Bradley T. Smith, Director of OFAC, on June 21, 2026.