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US Imposes Sanctions on International Procurement Network Supporting Iran’s UAV Program

In a move aimed at disrupting Iran’s unmanned aerial vehicle (UAV) program, the United States has sanctioned five entities and one individual based in China, Taiwan, Hong Kong SAR, and Iran. The decision was announced by the Department of Treasury on July 31, 2025, as part of President Trump’s National Security Presidential Memorandum-2 to counter Iran’s aggressive development of missiles and other asymmetric and conventional weapons capabilities.

The targeted entities have been found to be involved in the procurement of technology and equipment in support of Iran’s UAV program, which has been widely criticized for destabilizing the Middle East and beyond. The US will use all available means, including sanctions on entities based in third countries, to expose and disrupt Iran’s schemes to procure equipment and items supporting its UAV program.

The Department of Treasury took action pursuant to Executive Order (E.O.) 13382, which targets proliferators of weapons of mass destruction (WMD) and their supporters. This executive order is aimed at countering the financing and proliferation of WMDs, as well as other illicit activities that threaten global security.

The sanctioned entities include:

  • Entity A: Based in Hong Kong SAR, accused of procuring UAV-related components for Iran’s defense industry
  • Entity B: Located in Tehran, Iran, involved in the procurement of UAV technology and equipment from China
  • Entity C: Operating in Taiwan, suspected of providing financial support to Iranian entities linked to the UAV program
  • Entity D: Based in Beijing, accused of exporting drone-related materials to Iran’s military sector
  • Individual E: A Chinese national with ties to Entity D, targeted for allegedly financing Iranian UAV procurement efforts

The US action is part of a broader effort to counter Iran’s destabilizing activities and protect regional security. The Department of Treasury’s Division for Counter Threat Finance and Sanctions will continue to monitor and enforce sanctions against these entities and individuals.

By targeting those involved in the procurement of technology and equipment supporting Iran’s UAV program, the US aims to expose and disrupt Iran’s schemes, ultimately reducing the risk of further destabilization in the region.

Conclusion

The imposition of sanctions on these international procurement networks is a significant step towards countering Iran’s UAV program. The US will continue to work with its allies and partners to address this growing threat and protect global security.

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