South Africa Helps Iran Skirt US Aviation Embargoes
A global conflict tracker has revealed how South Africa helped Iran circumvent the United States’ sanctions on the Islamic Republic’s aviation industry.
A global conflict tracker has revealed how South Africa helped Iran circumvent the United States’ sanctions on the Islamic Republic’s aviation industry.
Aviation expert and author Babak Taghvaee from the Crisis Watch said on X that Iran’s MahanAir, affiliated with the Revolutionary Guards (IRGC), received two RJ85 passenger aircraft on Thursday.
“The aircraft are purchased by means of a South African and a Congo-based company and were just transferred to Iran by means of a stop in India,"he said, claiming that two more will be delivered Friday. He also shared aerial maps tracking the two aircraft -- TN-AKO and TN-AKP -- before reaching Chabahar port city in southeastern Iran.
According to an agreement between the Islamic Republic of Iran and the Taliban, the RJ85s purchased by Mahan Air, which were transferred from the Indian city of Hyderabad to Chabahar were later sent to Afghanistan, he claimed.
According to Taghvaee, “Every year in December, IRGC-affiliated companies and airlines, including Mahan Air, secretly transfer their illegally purchased aircraft and helicopters to Iran.” “So far, two of these RJ85s with sham Congolese registration codes have been flown to Iran,” he added.
Last December, four Airbus A340s aircraft departed South Africa for Uzbekistan but were diverted to Iran, with the country’s authorities announcing afterwards that they have purchased them.
Iran has suffered from shortages of civilian airliners since the 1990s and used a variety of ways to lease older planes or buy spare parts through intermediaries, but the technical state of its fleet has been deteriorating.
The 2015 nuclear agreement (JCPOA) suspended sanctions on purchases of Western aircraft and Iran began talks to buy new planes from Boeing and Airbus. A few Airbus planes were delivered but the Trump administration never approved the sale of US planes until Washington withdrew from the JCPOA in May 2018.
Parviz Mohammadnezhad Ghazimahalleh said on Thursday that the the attack which cut off 70% of the country's petrol stations was a “physical” one. “They entered the system via a USB or a program from inside,” he added without specifying the identities of the people involved.
On Monday, the cyberattack which crippled gas stations across Iran was claimed by the hacking group "Gonjeshk-e-Darande" or Predatory Sparrow which announced the attack on X, claiming that they took out “a majority of the gas pumps throughout Iran.”
Iran accuses “Gonjeshk-e-Darande” of having links to Israel. The group rose to prominence as a hacktivist two years ago for a similar cyberattack on fuel distribution centers across Iran on the eve of the second anniversary of the bloody suppression of the November 2019 protests. In a separate incident, they claimed responsibility for hacking the state railway company.
It is the second time such an attack has taken place, Ghazimahalleh said, accusing the responsible officials of “negligence” and “carelessness.”
The remarks came a day after Hadi Beigi-Nezhad, another member of the Energy Commission of Iran’s parliament, said a cyber virus had infected the fuel system, attributing it to an individual and a network that had infiltrated the country.
Last year, “Gonjeshk-e-Darande” garnered attention for successfully penetrating the computer systems of major steel companies in Iran.
Tejarat News, an economic news website, announced on Thursday that the majority of gas stations in Tehran province have been reconnected to the online distribution system.
Out of a total of 330 gas stations in the province, 239 are now connected to the national fuel system, Tejarat News quoted a local official as saying.
Also on Thursday, Morteza Mahmoudvand, another Iranian lawmaker, blamed “Zionists” and Israel’s intelligence agency Mossad for the fuel system attack and urged “an equilibrium of fear” in order to fight what he called the country’s enemies.
Equilibrium of fear means doing to them what they do to us, added Mahmoudvand, who is a member of the National Security and Foreign Policy Commission of the Iranian parliament.
He claimed that Israel’s cyber operations against Iranian targets will go on even after the Gaza conflict. We need to prepare ourselves in digital, technological and virtual domains not to be vulnerable to future attacks, he went on to say.
This is while the Islamic Republic has already been involved in several cyber operations against Israeli targets.
Earlier in the month, Iran-linked hackers targeted a water facility in the rural area of County Mayo in Ireland, leaving the residents without water for two days.
The attack was carried out by pro-Iran Cyber Av3ngers group which wrote a message on the infected computer system and claimed that the facility was targeted because it used Unitronics Vision Series programmable logic controllers (PLCs), an Israeli-made piece of equipment.
In November, Microsoft’s Threat Analysis Center reported that the Islamic Republic has intensified its cyberattacks and influence operations since 2020, targeting the likes of Israel and Bahrain, one of the Persian Gulf states to make peace with Israel under the 2020 Abraham Accords, brokered by the US.
The only avenue open to Iran is to make deals with Chinese companies and start EV assembly, like fossil-fuel vehicles it produces.
China, dominating the global electric vehicle (EV) manufacturing landscape, holds the largest market share among the top five producers in 2023. Germany and the United States trail, while France and the UK see a rise in EV production. Collectively, these nations wield substantial influence on the global EV manufacturing scene.
The recent UN Climate Change Conference, COP 28, emphasized international efforts to combat climate change, with a focus on EV adoption and greenhouse gas reduction. Major EV brands like Tesla, Kia/Hyundai, and Mercedes spearhead the transition to battery power, while newcomers such as Rivian diversify the market, influencing its ongoing evolution.
In Iran, IKCO introduced the Tara EV, the country's inaugural all-electric vehicle, set for release in March 2024. Developed by IKCO's Jetco division, the Tara EV boasts a 45-kWh battery pack, providing a 300 km range on a full charge. Iran's Minister of Industry, Abbas Ali-Abadi, announced plans for three locally produced EV models by the first half of the upcoming Iranian year (beginning in March).
With ambitions for increased EV manufacturing and imports to meet rising demand, the government aims to deploy 100,000 electric taxis in key cities this year that suffer from chronic air pollution. Significant projects, including the launch of Oxygen, Iran's first all-electric car, and MAPNA group's plan for 20 EV charging stations nationwide.
However, Iran grapples with challenges within its auto sector, encapsulated by the term "Car Mafia." This network, alleged to thrive due to the state-owned auto sector's monopoly and inadequate government oversight, faces accusations of financial wrongdoing, evading US sanctions, and contributing to mismanagement. The "car mafia" obstructs the import of reasonably priced cars, manipulating the production of pricier, inferior local vehicles. This term encapsulates various issues within Iran's auto sector, including the impeachment of the industry minister and corruption allegations, portraying it as a formidable and dishonest force negatively impacting the auto industry and vehicle quality.
China’s Dominance in Iran Future EV Market
China's dominant position in the EV industry poses a significant challenge for Iran's plans, particularly concerning the production and processing of essential minerals like cobalt. The reliance on China raises doubts about the feasibility and affordability of Iran's comprehensive EV strategy, emphasizing the need to address China's hegemony over critical minerals for a reliable supply chain.
Global concerns emerge as China's control over vital minerals triggers reactions and export restrictions, impacting the global EV supply chain. The US responds with proposed regulations to limit tax breaks for EVs using minerals or batteries manufactured in China, reflecting the international repercussions of China's dominance in the EV sector.
Despite China and Iran's intentions to collaborate on EV manufacturing, Iran faces challenges in providing sufficient electricity for EV charging amid a natural gas crisis. The gas shortage would impede widespread EV adoption, necessitating steps to encourage renewable energy, which is substantially underdeveloped in Iran.
While automobile companies in Iran claim to be jointly producing electric cars with China, studies indicate that, in the current situation, most automobile companies in Iran are not profitable. Due to government meddling, Iran's state-owned automakers suffer significant losses of $3.7 million a day, or more than $1 billion annually. These automakers battle with demand while being huge businesses, which drives up prices. The issues are made worse by mismanagement, corruption. It will need quick action at the highest governmental levels to stop the car industry from collapsing and to find solutions to its problems.
Concerns about transparency arise in the Iran-China joint development of electric vehicles (EVs), especially considering the paucity of detailed information. This lack of openness raises the possibility that certain Iranian automakers, dubbed the "car mafia," might exploit the circumstances to import EVs rather than actively supporting home production.
The potential dominance of the Chinese in Iran's EV industry and the nation's reliance on vital minerals for battery manufacture underscore the serious flaws in the partnership. The success of Iran's EV plan depends on a clear roadmap, transparent implementation, and strict regulations to counter opportunistic activities in the automotive sector.
To advance a sustainable EV policy in Iran, a commitment to openness, robust regulation, and a shift towards renewable energy sources is essential. Immediate investments in EVs and addressing transportation industry challenges are crucial, emphasizing the need for a proactive and transparent approach to ensure the success of Iran's EV plan.
