US Blockade and Bureaucracy Hit Iranian Trade

Serdar HocamAuthor & Editor

Iran's foreign trade experienced a sharp decline due to the US blockade and bureaucratic errors, leaving thousands of trucks stranded at border gates and sending inflation soaring.

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Iran trade plummets under US blockade, bureaucratic errors

Focusing on land trade to bypass the US naval blockade, Iran has faced an economic crisis due to bureaucratic setbacks and congestion. Thousands of trucks remain stranded at border gates, while large declines have been recorded in both oil and non-oil exports.

Truck Crisis at Border Gates

Iran's efforts to increase land trade have resulted in more than 3,700 cargo trucks becoming stranded at the Turkish and Pakistani borders.

It was reported that drivers carrying iron ore, cement, and gas have been waiting at the border for days and struggling with harsh conditions.

Sharp Decline in Exports and Imports

According to Tehran records, Iran's non-oil exports fell by nearly 30 percent as of August down to $15 billion.

The country's imports also decreased by approximately 25 percent compared to the same period last year, dropping to the $17 billion level.

Oil Exports at Rock-Bottom Levels

According to data from maritime intelligence firm Vortexa, daily oil exports dropped to around 210,000 barrels in August.

This figure was recorded as the lowest level seen since 2020.

Alternative Routes and Inflation

Iran has attempted to alleviate some of the difficulties by increasing shipments of wheat, corn, and cooking oil from Russia via the Caspian Sea.

These contractions and supply issues have caused inflation to soar within the country and prices to rise for the public.