US Sanctions on Iranian Ghost Fleet's Are All Bark and No Bite

On October 11, 2024, the U.S. government rolled out another round of sanctions targeting Iran’s oil sector, this time aimed at what it calls the "ghost fleet." This fleet is made up of oil tankers that engage in illicit practices like turning off their transponders and falsifying documents to move Iranian crude in violation of U.S. sanctions. While this latest move is framed as a critical measure to choke off Iran’s oil revenue, in reality, these sanctions are more of a political statement than an effective deterrent. The countries that continue to buy Iranian oil, namely China, are unfazed by U.S. sanctions. As a result, this so-called crackdown will do little to nothing in curbing Iran’s oil exports.

Here is my take from Making Money on October 7th even before these new sanctions were released by OFAC