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EU imposes comprehensive sanctions on Iran, banning trade in steel, raw materials, and multiple products

The European Union has started implementing new economic sanctions on Iran, citing the country’s failure to meet its nuclear obligations.

EU imposes comprehensive sanctions on Iran, banning trade in steel, raw materials, and multiple products

The regulations that came into effect with Council Regulation (EU) 2025/1975 dated 29 September 2025 specifically cover steel, strategic raw materials, energy products, and technology transfers.

Exports from EU member states to Iran of steel products, scrap iron, crude steel, and steel production equipment have been banned. The transport and financing of these products are also heavily restricted.

Additionally, the buying and selling of gold, precious metals, and diamonds destined for Iran are prohibited. In the energy sector, the import, transport, and financing of oil, petrochemical products, and natural gas are restricted, with transition periods allowed for some existing contracts.

The export of high-tech equipment, software, and technical assistance services is also banned, targeting especially the nuclear, defense, and strategic sectors. Exports of shipbuilding and marine technologies are restricted as well, with transition provisions for certain pre-existing contracts.

The sanctions also cover financial transactions, credit provision, investments, and partnerships with Iran. Exceptions are provided for humanitarian purposes and pre-approved projects. Assets of individuals and entities on the sanctions list are frozen, with humanitarian funds allowed in some cases.

EU officials emphasize that these sanctions will cause a significant slowdown in economic relations with Iran and stress that companies, particularly in the steel and raw materials sectors, need to take precautionary measures.

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