The US imposed sanctions on six Hong Kong and China-based entities on accusations they aided Iran's drone procurement network, Reuters reported Thursday.
The Treasury Department said the firms supplied components for Iran's UAV and ballistic missile programs, acting on behalf of sanctioned Iranian companies, according to the report. The sanctions freeze US. assets of targeted firms and prohibit American dealings with them.
Treasury Secretary Scott Bessent said Iran seeks new ways to bolster its UAV program through front companies, adding that the agency vows to disrupt Iran's weapons supply chain, Reuters wrote.
Liu Pengyu, spokesperson for China's embassy, called the sanctions "illegal," and defended its "reasonable and legal" cooperation with Iran, according to the report.
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