The United States has sanctioned multiple entities and an Iran-based individual, stating that the entities had worked as a drone procurement network in support of the Islamic Republic.

The sanctions targeted an individual based in Iran and entities based in China, Taiwan, and Hong Kong, following US President Donald Trump’s National Security Presidential Memorandum-2 to counter “Iran’s aggressive development of missiles and other asymmetric and conventional weapons capabilities.”

The US State Department stressed that all available means, including sanctions on entities based in third countries, would be used “to expose and disrupt Iran’s schemes to procure equipment and items supporting its UAV program, which destabilizes the Middle East and beyond.”

“Iran continues to pursue the development of asymmetric weapons capabilities, including unmanned aerial vehicles, to carry out attacks on the United States, our service members, and our partners and allies in the region,” said Under Secretary of the Treasury for Terrorism and Financial Intelligence John Hurley.

An Iranian Shahed Drone is displayed by the United Against Nuclear Iran at the Conservative Political Action Conference (CPAC) annual meeting in National Harbor, Maryland, US, February 22, 2025.
An Iranian Shahed Drone is displayed by the United Against Nuclear Iran at the Conservative Political Action Conference (CPAC) annual meeting in National Harbor, Maryland, US, February 22, 2025. (credit: REUTERS/BRIAN SNYDER/TPX IMAGES OF THE DAY)

“We will continue to put America first by disrupting Tehran’s ability to further its destabilizing agenda that undermines the stability of the region and threatens the safety of the American people,” Hurley said.

Circumventing sanctions 

The US Treasury Department named the individual sanctioned as Javad Alizadeh Hoshyar, and claimed that as chief executive officer of the Iran-based Control Afzar Tabriz Co Ltd, he procured computer numerical control (CNC) machines and equipment for the Iran Aircraft Manufacturing Industrial Company (HESA), used in the development of commercial and military aircraft.

Control Afzar used Hong Kong-based Clifton Trading Limited as an alternative consignee and intermediary for procurements in the interest of HESA, the Treasury claimed, with the intention of obscuring the involvement of Control Afzar.

The company was also said to have used Taiwan-based Mecatron Machinery Co Ltd, Joemars Machinery, and Electric Industrial Co Ltd to ship CNC machines and equipment to Iran.