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Iran Airlines Cancel Flights As US Sanctions Hit
Iranian aviation authorities said 2 routes were canceled as U.S. sanctions threatened penalties for airports and service providers that handle Iranian carriers.
Effective Wednesday, Iran suspended flights to Baghdad and Muscat ahead of new United States sanctions taking effect. Treasury Secretary Scott Bessent announced Monday that secondary sanctions would shut down Iranian airlines.
Treasury Secretary Scott Bessent told CNBC that airports providing fuel or landing services to Iranian carriers face exclusion from the dollar system. This secondary sanctions strategy cuts off essential operational support for Iranian aviation.
The Civil Aviation Organization is "negotiating so that flights whose destination is Baghdad can be redirected to Najaf Airport." Flights to Istanbul and other international destinations will operate as scheduled.
Tehran signaled Saturday it remains open to Qatar-mediated talks for long-term resolution. Security chief Mohsen Rezaei told Al Jazeera, "It is in Washington's interest to accept these conditions," maintaining a combative stance.
President Donald Trump's administration expanded secondary sanctions in late August across shipping and technology sectors. The Treasury Department's OFAC issued stricter measures earlier this month, marking seven months into the U.S.-Iran conflict.
The main Iranian airlines were forced on Wednesday to cancel international flights, on the first day of the entry into force of new US sanctions whose impact remains difficult to measure.
Iranian airlines were forced to cancel some international flights on Wednesday after the United States tightened sanctions on Iran's aviation industry to further paralyze the country's economy.