American hawk fights Chinese dragon with sanctions in Iranian quagmire

Eslam Mohamed

Since US President Donald Trump announced the imposition of the first package of sanctions against Iran, they have been a sword on the necks of foreign companies dealing with the mullah regime, and Tehran has since lost huge sums after it became a feared destination for foreign investment.

Chinese exception

However, Chinese companies have been the exception, as they have formed a lifeline in recent years for the black market economy in Iran, which has become an arena of geopolitical rivalry between Washington and Beijing.

The United States has long pursued Chinese individuals, groups, and entities involved in breaching US sanctions on Tehran, especially during the era of former US President Barack Obama.

On Tuesday, May 19, the US Treasury imposed penalties on Chinese company Shanghai Scientific Logistics, accusing it of working as a sales agent for Iranian airline Mahan Air, which has been subject to US sanctions since 2011. Washington froze the company’s assets in the United States and also warned of the possibility of imposing new sanctions on anyone who deals with this company.

US Treasury Secretary Stephen Mnuchin said in the statement, “We will not hesitate to target entities that continue to establish commercial relations with Mahan Air.” The statement pointed out that the airline runs non-scheduled flights to Venezuela to transport technicians and equipment from Iran in support of Venezuela’s socialist regime led by Nicolas Maduro.

A senior US administration official close to Trump told Reuters last week that the United States was considering taking measures in response to sending a fuel shipment from Iran to Venezuela, which is facing a fuel crisis.

Venezuela’s deep economic crisis has pushed millions of its citizens to move abroad. Washington does not recognize the government of President Maduro, instead considering opposition leader Juan Guaido to be the country’s legitimate president.

Mahan Air is accused of spreading the corona virus in Iran and from there to Middle Eastern countries due to its violation of the flight ban to China, the source of the outbreak.