Iran’s international aviation network faces a major disruption beginning from September 23, when US Treasury Secretary Scott Bessent warned that foreign companies serving Iranian airlines could face secondary sanctions. Washington’s economic pressure campaign against Tehran is growing and it will affect airports, fuel suppliers, ticketing companies and other businesses that support Iranian carriers.
Bessent said on Monday that all Iranian airlines would be “shut down around the world” from September 23. His remarks, reported by Reuters and other news organisations, show that the US is trying to limit the international operations of Iranian carriers by targeting the overseas businesses they depend on rather than simply imposing measures on the airlines themselves.
That deadline is September 23.
The consequences for companies that are continuing to provide services to Iranian airlines are inevitable, Bessent said in an interview with CNBC. Foreign companies could lose access to the US dollar banking system if they continue to supply fuel, landing services or tickets to Iranian carriers, he said.
The warning means that the effect of the proposed measures could extend well beyond Iran. Iranian airline operators on international routes need overseas airports to operate basic services, such as refuelling and landing. Airlines also rely on ticketing and payment systems to sell seats and accept international payments.
If companies decide to stop providing these services because of the threat of US sanctions, Iranian carriers could find it much harder to maintain international routes. The extent of the disruption will depend on how foreign aviation companies, airports and financial institutions respond to Washington’s warning.
Pressure Extends Beyond Iranian Airlines
The latest threat follows an expansion of US sanctions on Iran’s aviation sector. In September, the US Treasury announced sanctions against 36 aviation-related targets, including the remaining Iranian airlines that had not previously been sanctioned and foreign companies and intermediaries connected to Iran's aviation activities.
Iranian aviation has already been under restrictions for years, which have restricted access to new aircraft, spare parts and maintenance services. So more pressure on international airports and financial services might make it a lot harder for Iranian carriers to operate overseas.
The new approach is based on secondary sanctions, which can affect companies outside Iran if Washington determines that they are supporting sanctioned entities. That’s a way for the US to extend its sanctions’ reach to include firms that don’t need to be based in Iran.
Countries Begin Restricting Iranian Flights
Other countries have already taken steps against Iranian airlines in response to the increased US pressure. Iraq is also considering the increased pressure on Iranian airlines, as well and it was reported that Iraq was likely to halt flights by US-sanctioned Iranian carriers. Georgia has also restricted Iranian carriers from using its airspace and territory and Mahan Air has suspended flights to Turkey, following a request from Ankara.
Turkey and Oman have also agreed to halt Mahan Air flights to their territories after discussions with the United States, Reuters reported. The effects of US sanctions on Iranian aviation are even worse in the US, when the sanctions are imposed by the U.S., which is imposed on companies and governments outside Iran.
Iranian authorities had not yet issued a formal response to Bessent’s latest warning in the reports after his comments. The practical effects of the measures will become clearer as the September 23 deadline approaches and international aviation providers decide whether to continue serving Iranian carriers.
China Factor Adds Significance
The remarks came shortly after Bessent spoke with Chinese Vice Premier He Lifeng in New York. Talks between US and Chinese officials have been about Iran's financial relationships and Washington's efforts to cut Tehran's access to international financial networks.
China is an economic partner of Iran and Beijing’s stance on the US sanctions campaign is especially important. Bessent reported that Chinese financial officials were in talks about compliance with US sanctions on Iran, too.
The aviation measures are part of a larger US strategy to limit Iran's access to international commercial and financial networks. For Iranian airlines, the immediate challenge is whether overseas airports, fuel providers, ticketing companies and financial institutions will continue to support their international operations.
What Happens From September 23?
This isn’t just a routine order from the United States to stop all Iranian aircraft from flying. Rather, the proposed pressure works by threatening secondary sanctions on companies that continue to supply essential services to Iranian carriers.
As a result, the actual impact could differ on routes and countries depending on whether local businesses comply with Washington's restrictions. Iranian airlines also may have difficulty accessing fuel, landing access and ticketing support at international destinations where companies choose to avoid sanctions exposure.
With the September 23 deadline approaching, attention is now on how airlines, airports and governments respond. And the changes could further isolate Iran’s already heavily sanctioned aviation industry and make international travel operated by Iranian carriers more difficult.
The situation remains fluid today and more announcements from the US Treasury, Iranian authorities, foreign governments and aviation companies are expected to clarify the scope and implementation of the measures.
