US authorizes Strait of Hormuz wind - down activities , imposes new Iran sanctions

What Happened

The US Treasury Department's Office of Foreign Assets Control (OFAC) issued a general license authorizing limited wind-down activities in the Strait of Hormuz, including safety and environmental transactions and offloading of cargo involving newly sanctioned vessels. Simultaneously, OFAC imposed sanctions on 20 ships, 24 entities, and 10 individuals linked to Iran. The wind-down license is valid until September 12 and prohibits new commercial contracts. Treasury Secretary Scott Bessent claimed that Supreme Leader Khamenei is 'hiding in seclusion while his regime crumbles,' and that the US will continue to isolate regime elites. The measures follow the July 7 revocation of a license allowing the sale of Iranian oil, after US officials alleged Iran had attacked ships in the Strait of Hormuz, which a US official called 'wholly unacceptable.'

Key Actors

Why It Matters

The measures tighten the US 'maximum pressure' campaign against Iran, combining sanctions with a temporary carve-out for maritime safety in a critical chokepoint. The Strait of Hormuz is essential for global oil transit, and the US response links Iran's maritime aggression directly to expanded sanctions, signaling that attacks on shipping will carry economic consequences targeting both Iran's oil revenue and its shadow financial networks.

Watch For

The September 12 expiration of the wind-down license; any reported incidents in the Strait of Hormuz that could trigger further sanctions or military responses; compliance of shipping and financial entities with the new designations; and Iran's reaction, including potential diplomatic moves or retaliatory actions.