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The Blockade on Iran Is Now Hitting Home
Analysts use the best available information to try to determine how effective the United States' blockade of Iranian shipping has been in putting pressure on Tehran. But inevitably, they do not have the complete picture, particularly when there is unadvertised activity cloaked in secrecy.
The Maritime Executive has tried to estimate how effective the U.S. naval blockade has been, based on the curtailment of Iranian imports and exports through the Strait of Hormuz and on calculations of when Iranian oil stocks held afloat off China and Malaysia will run dry as a revenue source.
Iranian oil exports, 90% of which previously went to China, are likely to run out imminently as the last stocks held afloat are drained, with the last revenues received before the end of the year. (Estimate based primarily on Kpler data)
Iran denies collapse is close as US claims IRGC running out of money
Iranian authorities have remained defiant despite the financial strain, saying they want to lift the US blockade and pressure on their terms.
Tehran, Iran – Iranian authorities have rejected claims that Iran is unable to support its regional allies, but acknowledged that the United States’ sanctions and the war have created financial challenges.
US Central Command chief Brad Cooper claimed last week that a combination of military attacks and a naval blockade of Iran’s southern ports “has dealt severe blows” to the country.
The admiral said the US had prevented at least $25bn in Iranian crude exports and helped freeze approximately $350m in cryptocurrency assets. This means the Iranian Revolutionary Guard Corps (IRGC) are now unable to pay their soldiers and Iran-linked regional groups suffering from financial shortfalls.
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