{"id":27091,"date":"2019-12-18T10:38:12","date_gmt":"2019-12-18T10:38:12","guid":{"rendered":"https:\/\/www.ncr-iran.org\/en\/issues\/economy\/27091-u-s-state-department-warns-exporters-of-metals-products-to-avoid-iran-s-regime"},"modified":"2023-01-21T10:39:29","modified_gmt":"2023-01-21T09:39:29","slug":"u-s-state-department-warns-exporters-of-metals-products-to-avoid-iran-s-regime","status":"publish","type":"post","link":"https:\/\/www.ncr-iran.org\/en\/news\/economy\/u-s-state-department-warns-exporters-of-metals-products-to-avoid-iran-s-regime\/","title":{"rendered":"U.S. State Department Warns Exporters of Metals Products to Avoid Iran&#8217;s Regime"},"content":{"rendered":"<img decoding=\"async\" class=\" size-full wp-image-54860\" src=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/sites\/2\/2019\/12\/US_State_Department_Warns_Exporters_of_Metals_Products_to_Avoid_Irans_Regime_.jpg\" alt=\"U.S. State Department Iran&#039;s steel industry \" title=\"U.S. State Department Warns Exporters of Metals Products to Avoid Iran&#039;s Regime\" width=\"1000\" height=\"562\" srcset=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2019\/12\/US_State_Department_Warns_Exporters_of_Metals_Products_to_Avoid_Irans_Regime_.jpg 1000w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2019\/12\/US_State_Department_Warns_Exporters_of_Metals_Products_to_Avoid_Irans_Regime_-300x169.jpg 300w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2019\/12\/US_State_Department_Warns_Exporters_of_Metals_Products_to_Avoid_Irans_Regime_-768x432.jpg 768w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2019\/12\/US_State_Department_Warns_Exporters_of_Metals_Products_to_Avoid_Irans_Regime_-696x391.jpg 696w\" sizes=\"(max-width: 1000px) 100vw, 1000px\" \/>\n<p>The United States Department of State has published an advisory to alert persons globally to the U.S. sanctions risks for parties involved in transfers or exports to Iran of graphite electrodes and needle coke, which are essential materials for the Iranian regime\u2019s steel industry.\u00a0\u00a0\u00a0<\/p>\n<p>&#8220;The U.S. Government is taking strong action to deny the Government of Iran revenue derived from Iran\u2019s steel sector, since such funds may be used to advance the Iranian regime\u2019s malign behavior, including its proliferation programs, campaigns of regional aggression, and support for terrorist groups,&#8221;  Activists |     <a href=\"https:\/\/twitter.com\/HouseForeign?ref_src=twsrc%5Etfw\">@HouseForeign<\/a> <a href=\"https:\/\/twitter.com\/SenateGOP?ref_src=twsrc%5Etfw\">@SenateGOP<\/a> <a href=\"https:\/\/twitter.com\/FDD?ref_src=twsrc%5Etfw\">@FDD<\/a> <a href=\"https:\/\/twitter.com\/FDD_Iran?ref_src=twsrc%5Etfw\">@FDD_Iran<\/a> <a href=\"https:\/\/twitter.com\/iran_policy?ref_src=twsrc%5Etfw\">@Iran_Policy<\/a> <a href=\"https:\/\/twitter.com\/publicaffairsub?ref_src=twsrc%5Etfw\">@PublicAffairsUB<\/a> <a href=\"https:\/\/twitter.com\/ubaltmain?ref_src=twsrc%5Etfw\">@Ubaltmain<\/a> <a href=\"https:\/\/twitter.com\/Univ_System_MD?ref_src=twsrc%5Etfw\">@Univ_System_MD<\/a><\/p>\n<p> \u2014 Ivan Sascha Sheehan (@ProfSheehan) <a href=\"https:\/\/twitter.com\/ProfSheehan\/status\/1200063148503568385?ref_src=twsrc%5Etfw\">November 28, 2019<\/a><\/p><\/blockquote>\n<p>p&gt;Transfers or exports to Iran of graphite electrodes or needle coke create significant sanctions risk for entities and individuals, including but not limited to producers and exporters of graphite electrodes and needle coke, port operators, shippers, shipping companies, and vessel operators and owners.\u00a0 Sanctions risks may be present even if the intended end-user is not in Iran\u2019s steel sector, the State Department said.\u00a0<\/p>\n<p>Several U.S. government sanctions authorities may apply to such transfers or exports, and those who engage in such transfers are at risk regardless of their nationality or location.\u00a0 The consequences of being designated related to such transfers or exports are substantial, including potential blocking sanctions.\u00a0 Businesses should be aware of the risks created from transferring or exporting needle coke and graphite electrodes to Iran and implement effective due diligence policies, procedures, and internal controls to ensure compliance with applicable legal requirements.\u00a0<\/p>\n<p>Graphite electrodes are mainly used in electric steelmaking, due to their high levels of electrical conductivity and ability to withstand high temperatures.\u00a0 Electric steelmaking uses electric arc furnaces to create steel by melting down other recycled steel products.\u00a0 Graphite electrodes are the main heating element during this process.\u00a0 After this process is complete, the molten steel is poured into ladles and cast into new steel products.\u00a0<\/p>\n<p>Needle coke is needle-shaped carbon material characterized by low electrical resistance and strong shock resistance and is the main input used to create graphite electrodes.\u00a0 Needle coke can be derived from petroleum or coal, both of which can be used to produce the graphite electrodes needed for electric steelmaking through a multi-step baking process.\u00a0<\/p>\n<p>Executive Order 13871 (Imposing Sanctions with Respect to the Iron, Steel, Aluminum, and Copper Sectors of Iran):\u00a0 E.O. 13871 authorizes the blocking of property of any person determined by the Secretary of the Treasury, in consultation with the Secretary of State, to have knowingly engaged in a significant transaction for the sale, supply, or transfer to Iran of significant goods or services used in connection with the iron, steel, aluminum, or copper sectors of Iran&#8217;s regime.\u00a0 Such goods or services could include exports of graphite electrodes or needle coke.\u00a0<\/p>\n<p>The Iran Freedom and Counter-Proliferation Act of 2012 (IFCA):\u00a0 IFCA Section 1245(a)(1) requires the Secretary of State to impose 5 or more of the sanctions described in section 6(a) of the Iran Sanctions Act of 1996 with respect to a person (individual or entity) if the Secretary of State determines that the person knowingly sells, supplies, or transfers graphite, directly or indirectly, to or from Iran if the graphite (1) is to be used in connection with the energy, shipping, or shipbuilding sectors of Iran or any sector of the economy of Iran determined to be controlled directly or indirectly by Iran\u2019s <a href=\"https:\/\/www.ncr-iran.org\/en\/news\/iran-world\/27063-u-s-slaps-new-sanctions-targeting-iran-s-irgc-qf-weapon-smuggling-network-and-mahan-air-general-sales-agents?highlight=WyJpcmdjIiwiaXJnYydzIiwiJ2lyZ2MiLCInaXJnYydzIiwiaXJnYydzY29tbWFuZCIsImlyZ2Mnc3BhcmEtbWlsaXRhcnkiLCJpcmdjJ3NyZXNlYXJjaCJd\" target=\"_blank\" rel=\"noopener noreferrer\">Revolutionary Guard Corps (IRGC)<\/a>; or (2) is sold, supplied, or transferred to or from an Iranian person included on the list of specially designated nationals and blocked persons maintained by the Office of Foreign Assets Control of the Department of the Treasury.\u00a0 Of note, the sanctions menu described in section 6(a) of the Iran Sanctions Act of 1996 includes blocking sanctions.\u00a0<\/p>\n<p>Additional Iran-related Authorities:\u00a0 Industry should exercise enhanced due diligence prior to conducting any transfer or export of graphite electrodes or needle coke to Iran, regardless of whether Iran\u2019s steel industry is involved in the transaction.\u00a0 The industry should understand that the particulars of a transfer or export of graphite electrodes or needle coke to Iran such as the shipping line used or intended end-user could also cause such activities to be covered by other Iran sanctions-related authorities.\u00a0<\/p>\n<p>\u00a0<\/p>\n<blockquote class=\"twitter-tweet\" data-conversation=\"none\">\n<p>Message to Iranians\u2019 rally in London\u2013 July 27, 2019: <br \/>We urge Britain, Europe &amp; all states to stop accommodating the mullahs. Do not help them scale down the sanctions. Stand up to them. Place the IRGC, the MOIS, Khamenei\u2019s office,Hassan Rouhani [&amp; Javad Zarif] on the terror list<\/p>\n<p> \u2014 Maryam Rajavi (@Maryam_Rajavi) <a href=\"https:\/\/twitter.com\/Maryam_Rajavi\/status\/1156940966969917440?ref_src=twsrc%5Etfw\">August 1, 2019<\/a><\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p>The United States Department of State has published an advisory to alert persons globally to the U.S. sanctions risks for parties involved in transfers or exports to Iran of graphite [&#8230;]<\/p>\n","protected":false},"author":3,"featured_media":54860,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[178],"class_list":{"0":"post-27091","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-save"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - 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