Iran's $1 Bn Oil Smuggling Trade Thrives, Benefitting Iranian Proxies, Iraq | Firstpost America

Iran's $1 Bn Oil Smuggling Trade Thrives, Benefitting Iranian Proxies, Iraq | Firstpost America

Iran and its proxies are at the centre of a massive $1 billion fuel smuggling operation. Exploiting subsidised fuel policies, up to 750,000 metric tons of heavy fuel oil are diverted monthly from asphalt plants and exported, mostly to Asia. The scheme involves forged documents, blending Iraqi and Iranian fuel to bypass US sanctions and control by powerful Iran-backed militias like Asaib Ahl al-Haq and Kataib Hezbollah. This network operates through Iraq's ports, using fictitious projects and manipulated fuel allocations. Despite US warnings of sanctions, the lucrative trade highlights the deep ties between Iraq's government, militias, and Iran's influence. More in our report.