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RegionTürkiye and Its Neighbourhood

MediumI Geo-Economics & Chokepoints29 September 2026, Tuesday

US sanctions on Iran extend to a company based in Türkiye

On 29 September the US Treasury sanctioned 10 individuals and entities it says supplied parts to Iran's drone, solid-fuel missile and military aircraft programmes. The list includes a company in Türkiye run by a Pakistani businessman.

Location: ISTANBUL

According to the US Treasury's statement of 29 September, the 10 individuals and entities were designated under Executive Order 13382, which targets proliferators of weapons of mass destruction. The statement said the network supplied electronic components, connectors and dual-use parts to Iran's Ministry of Defence and Armed Forces Logistics (MODAFL). The parts were said to be used in unmanned aerial vehicle, solid-fuel ballistic missile and military aircraft programmes.

The list includes Pakistan-based Cavalier Dynamics and its sister companies in Saudi Arabia and Türkiye. The company in Türkiye appears as Cavalier Dynamics Teknoloji Ticaret A.Ş. and, according to the Treasury, is run by group chairman Waseem Pasha Tajammal. Hong Kong's EC Mojo Technology and Iran's Kavoshcom Asia are also listed. Al Jazeera wrote that the action is part of the 'Economic Outcast' operation Bessent launched in August. The scale of the company's activity in Türkiye could not be verified because the sources do not give it.

Talay assessment

Bottom line

A single company has limited economic impact, but Türkiye being named once again as a transit point for Iranian supply networks raises compliance risk. Washington's targeting of third-country intermediaries in wartime means Turkish banks and exporters need to watch for secondary sanctions triggers. A rise in the number of Türkiye-linked names on new lists cannot be ruled out.

Likely effects

  • Turkish bankingNegativeWeeks

    Correspondent banks tighten screening of Iran-linked transactions, and the paperwork burden grows for exports of dual-use electronics.

  • Türkiye–US relationsNegative1–6 months

    With Ankara's F-35 and trade agenda still in play, sanctions lists create a technical area of friction.

  • Iran's supply chainUncertain1–6 months

    As intermediary companies are shut down one by one, Iran turns to costlier and slower routes; this does not halt drone production altogether.

Possibilities, ranked

  1. 1
    One-off listing55%

    The Türkiye link stays limited to this company, and banks quietly tighten their compliance steps.

    Watch: Entries with addresses in Türkiye on OFAC's next Iran lists

  2. 2
    Widening targeting35%

    In later rounds, other intermediaries and financial channels in Türkiye are added to the list.

    Watch: The number of entities with addresses in Türkiye in Treasury statements

  3. 3
    Diplomatic solution10%

    Ankara and Washington set up a joint mechanism on compliance, and listing pressure eases.

    Watch: Statements after the Trade Minister's visit to the US

Probabilities are calibrated judgement based on the sources, not measurement, and are revised as new information arrives. Not investment advice.

Market reaction

Indicators affected

  • Added to sanctions list▼ 10 persons/entities
  • Companies listed in Türkiye▼ 1

Sources

  1. US Treasury — Operation Economic Outcast Takes Down Iranian Military Procurement Networks
  2. Al Jazeera — US sanctions 10 entities for allegedly supporting Iran's military