Iran Halts Baghdad and Muscat Flights Ahead of US Sanctions
Iranian carriers suspend routes to Iraq and Oman as new US Treasury threats target foreign aviation service providers.
Key points
- Iran cancels flights to Baghdad and Muscat starting Wednesday due to impending US sanctions.
- US Treasury warns foreign aviation providers serving Iranian airlines will face exclusion from the dollar system.
- Iranian officials negotiate with Iraq and Oman to redirect flights while maintaining other international routes.
Iran has suspended commercial flights to Baghdad and Muscat effective Wednesday midnight, a move reported by Tasnim News Agency just ahead of new United States sanctions. The cancellations coincide with a directive from US Treasury Secretary Scott Bessent, who warned that all Iranian airlines would be effectively shut down through secondary penalties imposed on foreign aviation partners.
According to a spokesman for Iran’s Civil Aviation Organization, authorities are currently negotiating with Iraq and Oman to potentially redirect some traffic to alternative hubs, such as Najaf Airport, while maintaining operations on other international routes, including those to Istanbul. The suspension marks a significant escalation in the aviation conflict seven months into the broader dispute between Washington and Tehran.
Secondary sanctions target aviation support services
Treasury Secretary Scott Bessent stated on Monday that any foreign entity providing fuel, landing services, or ticket sales to Iranian carriers will be excluded from the US dollar system. While the United States does not have the legal authority to close foreign airspace directly, analysts told Al Jazeera that cutting off these essential ground and refueling operations achieves a similar functional result by isolating Iranian airlines from global logistics networks.
This measure follows a series of stricter restrictions issued earlier this month by the Office of Foreign Assets Control (OFAC), which targeted trade, energy, and financial institutions. The administration also expanded secondary sanctions in late August, warning foreign firms in shipping, technology, and digital assets that doing business with Iran carries its own significant financial risks.
Diplomatic tensions persist amid ongoing negotiations
Despite the hardening economic front, Tehran has signaled openness to diplomatic engagement. Iranian officials indicated they remain willing to participate in talks mediated by Qatar to seek a long-term resolution to the conflict. However, the country maintains a combative stance toward Washington, with security chief Mohsen Rezaei asserting that US threats will not yield results and that Iran is prepared for a decisive confrontation if necessary.
As the new sanctions take effect, the focus shifts to the immediate impact on regional air connectivity and the resilience of Iranian carriers. Observers are closely watching whether the proposed redirection of flights to alternative Iraqi airports will materialize and how foreign aviation providers respond to the threat of exclusion from the dollar system.
