US Likely to Lift Iran-Related Sanctions on Chinese Tanker Company COSCO
- January, 31, 2020 - 12:04
- Economy news
TEHRAN (Tasnim) - The US will likely lift sanctions on units of Chinese tanker company COSCO after Washington accused it of transporting Iranian oil.
Citing two industry sources, Reuters reported that COSCO had been taken off the US sanctions list, but also added that the Chinese energy industry was waiting for official communications from Washington.
Another energy industry source in London said that Washington had indicated it would soon lift the sanctions.
Zhang Zheng, a Shanghai-based investor relations manager at COSCO Shipping Energy Transportation Co Ltd (600026.SS), parent of COSCO Shipping Tanker Dalian, said the company has yet to be informed of any change in its sanctions status.
“The company will make the necessary announcement as and when there are big developments,” Zhang said.
The administration of US President Donald Trump blacklisted the Dalian units of COSCO on Sept. 25 in a move that pushed global freight costs to record highs and disrupted shipping markets.
The Dalian COSCO units only have about 40 tankers, but Washington’s move led to confusion about whether sanctions applied to the parent company’s fleet of more than 1,000 ships.
The Treasury Department had twice issued waivers to allow companies to wind down dealings with the COSCO units, the latest of which is set to expire on Feb. 4, but shipping markets were still unnerved.