US Treasury announces worldwide ban on Iranian airlines starting September 23
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US Treasury announces worldwide ban on Iranian airlines starting September 23

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Summary

The United States will enforce secondary sanctions that effectively prohibit Iranian carriers from operating internationally from September 23, warning that companies providing related services could lose access to the U.S. dollar system.

U.S. Treasury Secretary Scott Bessent said on Monday that, beginning September 23, Iranian airlines will be barred from international operations. He warned that firms that supply fuel, landing services or ticket sales to the carriers could be cut off from the U.S. dollar system.

The measure follows a September 8 sanction that targeted all 27 Iranian airlines, which Washington says are used to transport weapons and illicit cargo. The three main carriers—Mahan Air, Iran Air and Qeshh Air—have already reduced or suspended routes to destinations such as Istanbul, Ankara, Muscat and other regional hubs.

Iran Air’s chief executive, Taher Abdolhai, described the growing economic pressure on the aviation sector as severe, noting that at least 30 aircraft have been damaged in recent conflicts. Data from the Iran Civil Aviation Organization indicated that in 2025, 46.2 million passengers traveled in and out of Iran, with 7.2 million using Iranian airlines for international trips.

Analysts expect the sanctions to affect airports that host Iranian flights, including Istanbul, Najaf, Baghdad, Dubai, New Delhi, Lahore, Beijing, Shanghai, Guangzhou and Phuket, as well as ancillary services such as refueling and ground handling. While the United States cannot directly close foreign airspace, it aims to deter third-party support for the airlines.

Regional experts said Iraq may seek an exemption to preserve tourism revenue, and Pakistan is unlikely to comply due to strong trade ties. China has labeled the sanctions illegal, and Turkey and the United Arab Emirates may respond variably based on their economic interests.

Iranian-American economist Nader Habibi warned that the sanctions could raise ticket prices dramatically, adding to the existing economic decline and currency devaluation in Iran. Aviation consultant Mazen Sammak noted that travelers may turn to land or sea routes through neighboring countries, increasing demand and costs at regional hubs such as Istanbul, Doha, Muscat and Dubai.

The Treasury’s warning that companies assisting Iranian airlines could be “knocked out of the dollar system” means they risk secondary sanctions that restrict access to U.S. financial markets, a tactic consistent with previous U.S. measures targeting Iran’s economy.

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