Patrol vessel KN. Pulau Marore-322, owned by Indonesia’s Maritime Security Agency (Bakamla) patrols to inspect the Iranian-flagged Very Large Crude Carrier (VLCC), MT Arman 114, and the Cameroon-flagged MT S Tinos, as they were spotted conducting a ship-to-ship oil transfer without a permit, according to Indonesia’s Maritime Security Agency (Bakamla), near Indonesia’s North Natuna Sea, Indonesia, July 7, 2023 in this handout picture released July 11, 2023. Indonesia’s Maritime Security Agency (Bakamla) / Handout via REUTERS
By Mike Schuler
Despite tightening Western sanctions, Iran’s oil exports reached 587 million barrels in 2024, marking a significant 10.75% increase from the previous year, with China emerging as the dominant buyer, according to United Against Nuclear Iran (UANI), a non-profit organization tracking Iranian oil movements.
The surge in exports highlights the regime’s growing ability to circumvent international restrictions to continue illicitly exporting oil.
China’s role in Iran’s oil trade has become nearly absolute, with Chinese imports accounting for 91% of Iran’s total oil exports in 2024. The nation imported 533 million barrels, representing a substantial 24% increase from 2023, primarily driven by demand from Shandong province’s “teapot” refineries.
“This year’s data trends reveal a regime that adapts quickly to enforcement measures, requiring equally dynamic responses in 2025,” notes UANI.
A significant shift in 2024 saw Iran increasingly relying on its National Iranian Tanker Company (NITC) fleet for direct loadings, while foreign-flagged vessels moved to ship-to-ship (STS) transfers in international waters. This strategic adjustment came in response to heightened sanctions enforcement targeting foreign-flagged vessels involved in Iranian oil transport.
The monitoring efforts led to the identification of 132 new vessels engaged in Iranian oil smuggling in 2024, with the total number of tracked “ghost fleet” tankers reaching 477, according to UANI. These investigations resulted in over 330 flag revocations and contributed to U.S. government sanctions against 139 vessels.
The most prolific sanctions evader, identified by UANI as the OCTANS, conducted eight STS transfers in 2024, handling over 12.5 million barrels of Iranian oil. The majority of these transfers occurred in Malaysia’s Riau Archipelago.
Maritime authorities are now calling for enhanced accountability measures, including targeting tanker captains through sanctions and legal actions, while also proposing incentives for cooperation with U.S. authorities. Meanwhile, U.S. lawmakers, including Senators Ernst and Blumenthal, are pushing for expanded legislation to increase funding for interdictions and expedite tanker seizures.
“In 2025, efforts must prioritize targeting flag states and the companies behind them that continue to provide registration to vessels engaged in transporting sanctioned Iranian oil,” UANI states. “A concerted focus on this issue will be critical to closing the loopholes that allow Iran’s ghost fleet to operate with impunity.”
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