Can the US ban Iranian airlines worldwide - and what would it mean?

Key Points:

• The US Treasury Secretary Scott Bessent announced that from September 23, all Iranian airlines will effectively be shut out of international operations, with companies warned against providing services such as fuel, landing, or ticket sales to these carriers under threat of being excluded from the US dollar system.
• This move escalates the Trump administration’s "Operation Economic Outcast," targeting Iran’s already weakened economy, specifically aiming to cripple the country’s civil aviation sector, which has suffered from decades of sanctions and recent US attacks damaging aircraft.
• Major Iranian carriers affected include Mahan Air, Iran Air, and Qeshm Air, with international routes to countries like China, India, Iraq, Pakistan, and the UAE, while airports in cities such as Istanbul, Dubai, Beijing, and New Delhi will face operational impacts.
• Some countries like Iraq, Pakistan, China, and Turkey are expected to resist US demands due to economic and cultural ties with Iran, while others like the UAE may comply; Iran could retaliate by closing its airspace to foreign carriers, further disrupting regional aviation.
• The sanctions are likely to cause significant fare increases and travel difficulties for Iranian passengers, forcing them to seek alternative routes via neighboring countries, while Iranian airlines face challenges maintaining their aging fleets amid restricted access to international aviation services.