Key facts
- The U.S. Treasury Department revoked a general license that authorized the sale of Iranian oil.
- The revocation is effective July 7, 2026.
- The decision follows reports of three tankers being attacked in the Strait of Hormuz.
- A temporary 60-day general license for Iranian oil sales was previously issued on June 21.
- The Strait of Hormuz is a crucial shipping route for commodities.
The U.S. Treasury Department announced Tuesday it is revoking a general license that authorized the sale of Iranian oil, a move that comes after reports of three tankers being struck by unidentified projectiles in and near the crucial Strait of Hormuz. The revocation, effective July 7, 2026, raises concerns about ongoing diplomatic efforts by President Donald Trump's administration to negotiate with Iran.
Previously, on June 21, the department's Office of Foreign Assets Control had issued a temporary 60-day general license authorizing the production, delivery, and sale of Iranian oil, coinciding with a preliminary peace agreement signed between Washington and Tehran aimed at ending their war. The Strait of Hormuz is a vital shipping route for energy imports and other commodities, making developments there closely watched by countries like South Korea.
The U.S. decision to revoke the authorization is linked to Iran's actions in the Strait of Hormuz.