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Reading: Shadow fleet under fire: Irans strait shutdown could squeeze Russias war chest, Chinas oil lifeline
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Shadow fleet under fire: Irans strait shutdown could squeeze Russias war chest, Chinas oil lifeline

Last updated: March 7, 2026 12:08 am
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Shadow fleet under fire: Irans strait shutdown could squeeze Russias war chest, Chinas oil lifeline
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Tehrans strike campaign threatens to disrupt shadow shipping networks and sanctions-evasion routes, raising energy costs for Moscow and Beijing and potentially squeezing Russias war funding and Chinas industrial and military supply chains.

As of Monday, the Iranian regime declared the crucial Strait of Hormuz — between Hormuz Island, Iran, and the Omani enclave of Khasab — closed, under threat of vessels being “torched.”

Oil tanker traffic immediately fell sharply as merchant seamen now fear missile strikes, but the conflict has also affected the so-called “shadow fleet” of unflagged or surreptitiously flagged oil tankers connected to economically isolated countries like Cuba, Iran and Russia.

The U.S. has already set up a quasi naval quarantine of , while countries like Mexico have been warned against sending oil to malign regimes.

European partners have also taken action against “shadow fleet” vessels, tightening the vise on China and particularly Russia amid the new unrest.

Belgiums army on Monday interdicted a shadow-fleet tanker called the MT Ethera as it transited the North Sea.

Belgian Defense Minister Theo Francken told GCaptain News that the tanker was redirected to Zeebrugge by an escort and would be seized by Brussels.

“Operation Blue Intruder was carried out by a team of exceptionally brave service members. Excellent work,” he said, as the outlet also reported the ship was tied to a confidant of Khamenei.

The MT Ethera is reportedly linked to the son of senior political adviser Ali Shamkhani, whose family reportedly controls an entire fleet of tankers that may be used to facilitate Iranian and Russian oil trade.

A consortium of Western powers also enforces the Ural Price Cap, which was dropped to about $44 per barrel last month. Named for the Ural Mountains, the price cap is meant to keep Russian oil below free-market rates.

This newly emboldened Western targeting of the so-called “gray market” of shadow-fleet oil indicates potential problems for nations that rely on it, such as .

China reportedly relies heavily on Iran for otherwise sanctioned oil, while Russia could see further belt-tightening that could adversely affect the cash flow needed to continue its war in Ukraine.

Additionally, CENTCOM this week posted a video of a U.S. strike on a drone-carrying Iranian ship, and Cmdr. Brad Cooper said more than 30 such Tehran-linked vessels have been sunk since the offensive began, according to Naval Today.

“In the last few hours alone, we struck an Iranian drone carrier roughly the size of a World War II-era aircraft carrier, and it is currently on fire,” Cooper told the outlet.

The reported obliteration of the Ayatollah and the next 48 successors, by President s count, along with the arrest of Venezuelan dictator Nicolas Maduro, leaves not only the shadow fleet but also its customer nations suppliers in shambles.

Just as OPEC rate hikes affect American energy prices, the deconstruction of the shadow fleet could also lead to inflation in China.

Fox News Digital reached out to the Treasury Department for more information on the effects of the shadow fleet, as it oversees the U.S. Office of Foreign Assets Control (OFAC).

In the past few weeks, 30 people or entities tied to enabling illegal Iranian oil sales and/or benefiting its weapons production as part of Trumps “maximum pressure” campaign.

“OFAC targeted additional vessels operating as part of Irans shadow fleet, which transport I

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