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Thursday, October 29, 2026

'Iran imports at least $2 billion in military supplies despite US blockade - Reuters'

 Iran has used a secret network of more than 5,000 military agencies to import at least $2 billion worth of equipment, explosives and heavy-duty trucks since January 2025, bypassing Western sanctions and the US naval blockade, a Reuters investigation published on Thursday found.

One agency alone, identified as MOD 346428, imported $2.3 billion in military-related goods between January 2025 and June 2026, according to shipping records examined by Reuters.

The shipments included rocket fuel ingredients, explosives, aircraft parts, industrial machinery and hundreds of heavy-duty trucks that could be adapted for military use, with goods recorded as originating in China, Russia, Germany and other countries.

The findings provide details of how Iran has continued to obtain materials used in missile and drone production during the US-Israeli war, which began in February, despite attacks on its weapons production facilities.

Thousands of agencies linked to defense ministry

Reuters identified more than 5,000 agencies whose names begin with MOD, referring to Iran's Ministry of Defense, and which share the Tehran address of the Ministry of Defense and Armed Forces Logistics.

Although their registration records list February 11, 1979, as their founding date, most were established in 2013, when Iran was facing severe economic sanctions, the investigation found.

Reuters and Israeli-American risk consultancy 240 Analytics traced the agencies through Iranian banking records, corporate filings and shipping documents, including around 19,000 import records.

Some entities were linked to the Islamic Revolutionary Guard Corps (IRGC) and large Iranian foundations known as bonyads.

The agencies use intermediaries and overseas companies to purchase goods with proceeds from oil sales that bypass sanctions, according to the investigation.

In 97% of the shipments reviewed, transactions were recorded as settled "without currency transfer," allowing purchases to be made using funds held outside Iran.

Banking records also showed that 36 agencies held about $1.2 billion in foreign currency deposits at the end of 2024, while the wider network held around $1.8 billion in local currency, Reuters reported.

The news agency said it found no evidence that the numbered agencies identified in the documents had been individually sanctioned by Western governments.

A satellite image taken on February 8, 2025, shows a customs yard containing Iveco trucks imported by Irans military, in Tehran, Iran. The yard matches the location of a video posted the same day and verified by Reuters showing the trucks. Janes, the UK-based open-source defence intelligence company, confirmed the make of the trucks seen in the social media video.

Missile materials and hundreds of trucks imported

The investigation found that Iran continued importing materials that could be used in missiles and drones after the war began on February 28.

In the first six months of 2026, deliveries included detonators, explosives, aircraft engine components and rocket fuel ingredients.

In February, shortly before the war, Iran imported 93 metric tons of Chinese titanium and hundreds of tons of chemicals that could be used in rocket propellants and explosives, according to customs records.

Between January 2025 and June 2026, MOD 346428 also imported 435 Iveco trucks, some of which matched models used as disguised mobile missile launchers, Reuters reported.

The same agency imported thousands of Toyota Hilux and Land Cruiser vehicles, as well as Toyota Tundra trucks, models that Iranian forces have used for military purposes.

The investigation also traced imports of chemicals to the port of Bandar Abbas, where an explosion in April 2025 killed at least 70 people and injured more than 1,200.

Reuters said it could not determine whether chemicals in one of the shipments it identified were responsible for the explosion.

A combination image shows a projectile reaching an imported Iveco truck (left) and explosion after imported Iveco truck was hit by a projectile at a location given as Iran during what US Central Command (CENTCOM) says are strikes targeting Iranian mobile missile-launch capabilities, in this screengrab taken from a handout video released on March 5, 2026. U.S. Central CommandHandout via REUTERS

It also could not establish that all imported goods were intended for weapons production, noting that many materials and machines have both civilian and military uses.

Imports continued during war and blockade

The materials entered Iran through several routes, including cargo vessels crossing the Caspian Sea from Russia, trucks traveling from Central Asia and freight aircraft arriving from China, Reuters reported.

Monthly imports by the identified military agency fell by 47% to $54 million in March, shortly after the war began, but recovered to $77 million by May.

The investigation identified five shipments of Russian detonators worth $7.6 million since January 2025, including a $1.9 million delivery in June 2026.

An Iveco truck is parked in a parking yard in Tehran, Iran in this screengrab obtained from a social media video released on February 8, 2025. Social Mediavia REUTERS

Since the war began, $27 million worth of goods purchased by Iran's military were recorded as originating in the United Arab Emirates, mostly arriving by sea.

The Reuters data also listed hundreds of millions of dollars in trucks, aircraft components and electronics as coming from Germany and other European Union countries.

Reuters cautioned that some customs records identified shipments only through product codes and declared countries of origin, which it could not always independently verify.

Western companies and governments respond

China's Foreign Ministry told Reuters it was unaware of the reported shipments and rejected attempts to link Beijing to the regional conflict.

"We firmly oppose attempts to maliciously link regional hostilities to China or smear China's reputation," the ministry said.

Italian truck manufacturer Iveco said it had safeguards to prevent its vehicles from reaching prohibited users and destinations but could not control products resold by third parties.

Toyota said it did not conduct business in Iran and had no knowledge of the purchases described in the investigation.

The European Union said it was examining information about Iran's efforts to strengthen its missile and drone programs.

A US Treasury spokesperson said Washington had cut off Iran's economic lifelines and would continue enforcing sanctions.

"While the regime may continue its desperate attempts to evade our powerful sanctions, fund its military and weapons programs, and access foreign currency, we are always 10 steps ahead," the spokesperson said.

Iranian government bodies and companies contacted by Reuters, including the country's presidency and its UN delegation in Geneva, did not respond to requests for comment.

https://www.iranintl.com/en/202610290508

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