US blockade fails: Iran finds a way out
The US has imposed sanctions on Iranian railway companies, airlines, and the automotive industry to curb Iran's use of alternative routes bypassing the naval blockade. According to the Institute for the Study of War (ISW), Iran has shifted to rail and air transport, but the new restrictions are narrowing its international access.
The US has imposed sanctions on three Iranian railway companies, the automotive industry, and airlines, aiming to cut off the alternative routes Iran uses to bypass the naval blockade. According to the Institute for the Study of War (ISW), after the US closed Iran's seaports, the country began transporting more goods by train and plane. ISW cites Bloomberg data from May 2026: since the blockade began, the number of freight trains from Xi'an, China, to Tehran has increased to about two per week, compared to one before the war. In response, the US imposed secondary sanctions on countries supporting Iran's aviation sector and warned foreign companies against transferring aircraft, cargo services, and other support to Iranian airlines. The UAE, Georgia, Oman, Azerbaijan, and Iraq have restricted or suspended operations of Iranian airlines. ISW notes that this will narrow Iran's international air access and deepen its economic isolation. The automotive industry, one of Iran's largest economic sectors after oil and gas, which generates revenue for the Islamic Revolutionary Guard Corps (IRGC), has also been targeted.