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S. 556Senate119th Congress (2025-2027)In Committee

Enhanced Iran Sanctions Act of 2025

A bill to impose sanctions with respect to persons engaged in logistical transactions and sanctions evasion relating to oil, gas, liquefied natural gas, and related petrochemical products from the Islamic Republic of Iran, and for other purposes.

Sponsored by Dan SullivanSen. Dan Sullivan (R-AK)
Introduced February 12, 2025

AI-Generated Summary

Updated November 24, 2025 at 2:47 AM UTC

The Enhanced Iran Sanctions Act of 2025 expands U.S. sanctions to target anyone involved in the logistical chain that moves Iranian oil, gas, LNG, or petrochemical products. It blocks the property of sanctioned foreign persons, makes them ineligible for U.S. visas, and sets up a new interagency working group and international coordination to enforce the measures. The law also allows limited waivers and adds reporting duties for the private sector.

Key Provisions

  • The President must sanction any foreign person (including banks, insurers, LNG facilities, etc.) that knowingly participates in the processing, export, or sale of Iranian oil, gas, LNG, or petrochemical products, or is owned/controlled by such a person.
  • Sanctions include blocking any of the person’s property or interests in the United States and making the person’s visas inadmissible, revoking any existing visas immediately.
  • Limited exceptions are provided for the importation of goods (excluding technical data) and for cases where admission is needed to meet U.N. obligations or law‑enforcement activities.
  • The President may grant waivers of the sanctions for up to 180 days (renewable to a total of two years) if certified as vital to U.S. national interests, with reporting requirements to Congress; waiver authority ends on February 1 2029.
  • Violations of the sanctions or related regulations are punishable under the International Emergency Economic Powers Act.
  • Within 180 days, the Secretary of State must create an Interagency Working Group on Iranian Sanctions, including State, Treasury, Justice, and other agencies, to coordinate enforcement and to form a multilateral contact group with allied nations.
  • The State Department’s reporting requirements are amended to require private‑sector reporting of persons identified under the new sanctions or attempting to evade them using proceeds from Iranian oil, gas, LNG, or petrochemical sales.

Legislative Activity

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SenateIntro Referral Latest Action

Read twice and referred to the Committee on Foreign Relations.

Foreign Relations Committee

February 12, 2025

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SenateIntro Referral

Introduced in Senate

February 12, 2025

SenateIntro Referral

Read twice and referred to the Committee on Foreign Relations.

Foreign Relations Committee

February 12, 2025

Bill Text

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Introduced in SenateIssued February 12, 2025

II

119th CONGRESS

1st Session

S. 556

IN THE SENATE OF THE UNITED STATES

February 12, 2025

Mr. Sullivan (for himself, Mr. Blumenthal, Mr. Cornyn, and Mr. Ricketts) introduced the following bill; which was read twice and referred to the Committee on Foreign Relations

A BILL

To impose sanctions with respect to persons engaged in logistical transactions and sanctions evasion relating to oil, gas, liquefied natural gas, and related petrochemical products from the Islamic Republic of Iran, and for other purposes.

1.

Short title

This Act may be cited as the Enhanced Iran Sanctions Act of 2025.

2.

Statement of policy

It is the policy of the United States—

(1)

that, in accordance with the Iran Nuclear Weapons Capability and Terrorism Monitoring Act of 2022 (22 U.S.C. 8701 note; Public Law 117–263), the United States must—

(A)

ensure that the Islamic Republic of Iran does not acquire a nuclear weapons capability;

(B)

protect against aggression from the Islamic Republic of Iran manifested through its missiles and drone programs; and

(C)

counter regional and global terrorism of the Islamic Republic of Iran in a manner that minimizes the threat posed by state and non-state actors to the interests of the United States;

(2)

to fully enforce sanctions against all persons involved in the international logistical chain that provide support to the energy sector of the Islamic Republic of Iran;

(3)

through such sanctions, to deny the Islamic Republic of Iran the financial resources required—

(A)

to fund and facilitate international terrorism;

(B)

to finance the development of weapons of mass destruction;

(C)

to engage in destabilizing efforts abroad; and

(D)

to repress the rights of Iranian citizens; and

(4)

to strengthen coherence among members of the international community in enforcing sanctions on the malign activity of the Islamic Republic of Iran.

3.

Definitions

In this Act:

(1)

Admitted; alien

The terms admitted and alien have the meanings given those terms in section 101(a) of the Immigration and Nationality Act (8 U.S.C. 1101(a)).

(2)

Appropriate congressional committees

The term appropriate congressional committees means—

(A)

the Committee on Foreign Relations, the Committee on the Judiciary, and the Committee on Banking, Housing, and Urban Affairs of the Senate; and

(B)

the Committee on Foreign Affairs, the Committee on the Judiciary, and the Committee on Financial Services of the House of Representatives.

(3)

Foreign person

The term foreign person means a person that is not a United States person, including the government of a foreign country.

(4)

Knowingly

The term knowingly, with respect to conduct, a circumstance, or a result, means that a person has actual knowledge, or should have known, of the conduct, the circumstance, or the result.

(5)

Property; interest in property

The terms property and interest in property have the meanings given the terms property and property interest, respectively, in section 576.312 of title 31, Code of Federal Regulations, as in effect on the day before the date of the enactment of this Act.

(6)

United States person

The term United States person means—

(A)

an individual who is a United States citizen or an alien lawfully admitted for permanent residence to the United States;

(B)

an entity organized under the laws of the United States or any jurisdiction within the United States, including a foreign branch of such an entity; or

(C)

any person in the United States.

4.

Imposition of sanctions with respect to persons engaged in logistical transactions of oil, gas, liquefied natural gas, and petrochemical products from the Islamic Republic of Iran

(a)

In general

On and after the date of the enactment of this Act, the President shall impose the sanctions described in subsection (b) with respect to any foreign person, including any bank or foreign financial institution, insurance provider, flagging registry, pipeline construction or operation facility for liquefied natural gas, that—

(1)

the President determines knowingly engaged in, on or after such date of enactment, any transaction involved in, relating or incident to the processing, export, or sale of oil, condensates, gas, liquefied natural gas, or other petrochemical products in whole or in part from the Islamic Republic of Iran;

(2)

is a subsidiary, successor, or alias of a foreign person described in paragraph (1);

(3)
(A)

directly or indirectly owns or controls a 50 percent or greater interest in or is owned or controlled by a 50 percent or greater interest of a foreign person or foreign persons subject to sanctions pursuant to paragraph (1) or (2); and

(B)

directly or indirectly conducts a significant transaction with, for, or on behalf of a foreign person described in paragraph (1), (2), or (3) of section 3(b) of the Stop Harboring Iranian Petroleum Act (22 U.S.C. 8572);

(4)

the President determines is a corporate officer of a foreign person described paragraph (1), (2), or (3); or

(5)

is an immediate family member of a foreign person described in paragraph (1), (2), or (3).

(b)

Sanctions described

The sanctions described in this subsection are the following:

(1)

Blocking of property

The President shall, pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.), block and prohibit all transactions in property and interests in property of a foreign person subject to sanctions pursuant to subsection (a)(1) if such property and interests in property are in the United States, come within the United States, or are or come within the possession or control of a United States person.

(2)

Aliens inadmissible for visas, admission, or parole

(A)

Visas, admission, or parole

In the case of an alien subject to sanctions pursuant to subsection (a), the alien is—

(i)

inadmissible to the United States;

(ii)

ineligible to receive a visa or other documentation to enter the United States; and

(iii)

otherwise ineligible to be admitted or paroled into the United States or to receive any other benefit under the Immigration and Nationality Act (8 U.S.C. 1101 et seq.).

(B)

Current visas revoked

(i)

In general

The visa or other entry documentation of an alien described in subparagraph (A) shall be revoked, regardless of when such visa or other entry documentation was issued.

(ii)

Immediate effect

A revocation under clause (i) shall—

(I)

take effect immediately; and

(II)

automatically cancel any other valid visa or entry documentation that is in the alien’s possession.

(c)

Exceptions

(1)

Exception relating to importation of goods

(A)

In general

The requirement to impose sanctions under this section shall not include the authority or a requirement to impose sanctions on the importation of goods.

(B)

Good defined

In this paragraph, the term good means any article, natural or manmade substance, material, supply, or manufactured product, including inspection and test equipment, and excluding technical data.

(2)

Exception to comply with international obligations and law enforcement activities

Sanctions under subsection (b)(2) shall not apply with respect to an alien if admitting or paroling the alien into the United States is necessary—

(A)

to permit the United States to comply with the Agreement regarding the Headquarters of the United Nations, signed at Lake Success June 26, 1947, and entered into force November 21, 1947, between the United Nations and the United States, or other applicable international obligations; or

(B)

to carry out or assist authorized law enforcement activity in the United States.

(d)

Waiver

(1)

In general

The President may, on a case-by-case basis for a period of not more than 180 days, waive the application of sanctions imposed with respect to a foreign person under this section if the President—

(A)

certifies to the appropriate congressional committees that the waiver is vital to the national interests of the United States; and

(B)

submits with the certification required under subparagraph (A) a detailed justification explaining the reasons for the waiver.

(2)

Renewal of waiver

The President may, on a case-by-case basis, renew a waiver issued under paragraph (1) for additional periods of not more than 180 days each up to a total of 2 years if the President—

(A)

determines that the renewal of the waiver is vital to the national interests of the United States; and

(B)

not less than 15 days before the waiver expires, submits to the appropriate congressional committees a report on the renewal of the waiver that includes—

(i)

a justification for the renewal of the waiver; and

(ii)

a detailed plan to phase out the need for any such waiver issued with respect to such foreign person.

(3)

Termination of waiver authority

The authority to issue a waiver under this subsection shall terminate on February 1, 2029.

(e)

Implementation; penalties

(1)

Implementation

The President may exercise all authorities provided under sections 203 and 205 of the International Emergency Economic Powers Act (50 U.S.C. 1702 and 1704) to carry out subsection (b)(1).

(2)

Penalties

A person that violates, attempts to violate, conspires to violate, or causes a violation of subsection (b)(1) or any regulation, license, or order issued to carry out that subsection shall be subject to the penalties set forth in subsections (b) and (c) of section 206 of the International Emergency Economic Powers Act (50 U.S.C. 1705) to the same extent as a person that commits an unlawful act described in subsection (a) of that section.

(f)

Rule of construction

Section 4(a)(3)(A) shall be construed to be consistent with Frequently Asked Questions 398 through 402, published by the Office of Foreign Assets Control on August 11, 2020, and August 13, 2014, or any successors to such frequently asked questions.

5.

Interagency Working Group on Iranian Sanctions

(a)

Establishment

Not later than 180 days after the date of the enactment of this Act, the Secretary of State shall establish a working group to be known as the Interagency Working Group on Iranian Sanctions (referred to in this section as the Working Group).

(b)

Membership

The Working Group shall be composed one or more representatives from each of the following:

(1)

The Department of State.

(2)

The Department of the Treasury.

(3)

The Department of Justice.

(4)

Such other Federal departments or agencies as the Secretary of State determines appropriate.

(c)

Chair

The President shall designate a Chair of the Working Group.

(d)

Multilateral contact group

(1)

Establishment

The Working Group shall endeavor to establish a multilateral contact group with like-minded nations to coordinate international efforts to enforce sanctions imposed with respect to the Islamic Republic of Iran.

(2)

Duties

The multilateral contact group shall—

(A)

share information on evolving sanctions frameworks to identify areas of difference or enforcement gaps;

(B)

share information on newly-designated entities,

(C)

raise awareness of new sanctions evasion practices; and

(D)

coordinate on new measures to curb Iranian malign activity, including uranium enrichment activities, ballistic missile production, and support for terrorism.

6.

Private sector reporting on persons engaged in sanctionable activities or sanctions evasion

Section 36(b) of the State Department Basic Authorities Act of 1956 (22 U.S.C. 2708(b)) is amended—

(1)

in paragraph (13), by striking ; or and inserting a semicolon;

(2)

in paragraph (14), by striking the period at the end and inserting ; or; and

(3)

by adding at the end the following paragraph:

(15)

the identification a person described in section 4(a) of the Enhanced Iran Sanctions Act of 2025 or any person that has attempted or is attempting to evade sanctions imposed under such Act with proceeds generated by the sale of intercepted oil, gas, liquefied natural gas, petrochemical products, or related products from the Islamic Republic of Iran.

.