The sanctions target what U.S. officials described as a procurement network supporting Iran’s defense sector amid continuing regional tensions and stalled diplomatic efforts tied to the conflict involving Tehran and its regional allies.

The Treasury Department said the measures were aimed at entities and individuals allegedly involved in facilitating the acquisition of sensitive materials and technology for Iran’s military-industrial apparatus, including components linked to the production of Shahed unmanned aerial vehicles.

The action comes days before U.S. President Donald Trump is expected to travel to China for talks with Chinese President Xi Jinping, at a time when negotiations tied to the broader Iran conflict have shown little progress.

“Under Trump’s decisive leadership, we will continue to act to Keep America Safe and target foreign individuals and companies providing Iran’s military with weapons for use against U.S. forces,” Treasury Secretary Scott Bessent said in a statement.

The Treasury did not immediately disclose the full list of sanctioned parties in the initial announcement, but said several of the targeted entities operated from China and Hong Kong and were involved in supplying materials tied to Iran’s drone manufacturing capabilities.

Iran’s Shahed drones have become a central component of the country’s military strategy and have drawn international scrutiny over their deployment across regional conflicts. Western governments have repeatedly accused Tehran of expanding its drone production and export networks despite existing sanctions regimes.

The latest measures freeze any U.S.-based assets belonging to the designated parties and generally prohibit Americans from conducting business with them. Secondary sanctions risks may also apply to foreign financial institutions engaging with sanctioned entities.

Washington has steadily expanded sanctions targeting Iran’s defense procurement channels since the outbreak of heightened regional hostilities, focusing increasingly on overseas intermediaries and companies accused of supplying dual-use technology and industrial materials.

When Ukrainian corporal Vadym Lietunov ran from the wreckage of his frontline position in late February, he believed he was heading toward safety. Instead, he entered a Russian dugout, beginning nearly two weeks of captivity underground with an enemy soldier who would eventually surrender alongside him.

Lietunov, a 34-year-old serviceman from the southern Ukrainian city of Odesa, had arrived at his frontline post only a day before heavy bombardment began. According to his account, Russian forces subjected the position to repeated attacks for six to seven hours daily using kamikaze drones and mortar fire.He and another Ukrainian soldier, identified as Sasha, spent their days repairing the damaged dugout, putting out fires with bottles of urine and rebuilding protective walls using sacks filled with clay.

“The enemy knew we were there. It was trying to kill us,” Lietunov said while receiving treatment at a rehabilitation center in Odesa after the incident.The attacks intensified when Russian drone operators deployed a Molniya drone carrying an anti-tank mine. One explosion near the dugout entrance left both soldiers concussed.

Several similar strikes followed before another drone dropped a mine directly above their foxhole.The blast destroyed the roof and fatally wounded Sasha, tearing off both of his legs. Lietunov said he tried to pull his fellow soldier free but quickly realized he was dead. Expecting another strike within minutes, he fled the destroyed position wearing only socks and ran toward what he believed was a nearby Ukrainian shelter.

He found a fortified dugout hidden among trees, with a blanket covering the entrance. Shouting for help, he entered and saw a uniformed soldier aiming an automatic rifle at him.“I thought my guys were inside,” Lietunov said. “Then I heard his accent. He was Russian.”The soldier, later identified as Nikita, ordered him into a small underground chamber and assured him he would not be shot because he was unarmed.

On the wall hung a makeshift Christian cross built from wooden planks with the words “save and protect” written across it.Although Nikita initially promised to release him the next morning, he did not. Lietunov said he spent the first days expecting execution at any moment and concluded that survival depended on gaining the trust of his captor.

Drawing on psychology books he had read as a teenager, Lietunov began observing Nikita closely. He described the Russian soldier as a former prisoner and drug addict who had been released from jail to fight in Ukraine. According to Lietunov, Nikita had previously fled combat, been detained, and then returned to the front. His commander, whom he described as Chechen, communicated orders by radio.

Nikita searched Lietunov’s clothes and belongings, reportedly looking for drugs and hidden tracking devices, influenced by Russian state narratives portraying Ukrainian soldiers as drug users fitted with GPS transmitters.The dugout itself reflected the harsh conditions facing frontline troops on both sides. Lietunov said Nikita received only a small daily ration delivered by drone: a packet of porridge, jam, and a bottle of water.

Letters from Russian schoolchildren were pasted on the walls, each carrying nearly identical messages of support.Despite frequently insisting that Russia had the strongest army in the world, Nikita was cold, hungry, and isolated, Lietunov said.He also described his captor as unstable. At times, Nikita would place a gun against his forehead and threaten to kill him. On several occasions, he stopped without explanation.

“He would say, ‘I’m going to kill you right now,’ and then suddenly change his mind,” Lietunov said.To avoid provoking suspicion, Lietunov deliberately presented himself as weak and harmless. He later developed gangrene in one of his toes and, believing he might die there, asked Nikita to shoot him outside so his body could be recovered by Ukrainian forces.Nikita refused, according to Lietunov, fearing exposure to drones and artillery.

Meanwhile, Lietunov’s own brigade, the 118th, assumed he had likely been killed. His commander informed his mother, Mariia, that there was a 95% chance her son would not return. She fainted after hearing the news, he said.His wife, Alesya, remained convinced he was alive. The couple, who have a five-year-old son named Andriy, had already endured years of war since Lietunov joined the military hours after Russia’s full-scale invasion in February 2022.

He had previously served in air defense and participated in operations linked to the liberation of Kherson.Inside the dugout, survival increasingly depended on water and trust. Nikita gave Lietunov one square of chocolate a day and a bottle cap of water. The Russian soldier complained about shortages and said troops were often forced to collect rainwater and even drink urine.

At one point, Nikita suggested surrendering to Ukrainian forces. Lietunov responded by describing the treatment of prisoners under the Geneva Conventions, including food, cigarettes, and regular conditions of detention. He said the subject came up five times.Eventually, when the dugout ran out of water, the two men left together in heavy fog. A Ukrainian drone hovered above them.

Lietunov used the moment to signal his identity, hanging a sign with his call-sign, “Cartman,” and his brigade number beside a tree.Initially, Ukrainian forces believed both men were Russian soldiers and prepared another strike. According to Lietunov, only after commanders checked his social media accounts did they realize the thin figure below was their missing comrade.A drone later dropped a radio, allowing direct communication with his brigade.

Lietunov carefully avoided provoking Nikita, fearing any sudden move could lead to violence. He arranged food deliveries, handing most of his share to the Russian soldier.“He had told me that when he was full, he was kind,” Lietunov said.Russian forces also continued sending supplies. One drone reportedly delivered an explosive device disguised as a log filled with TNT, which Nikita was ordered to place in the forest.

Lietunov said he remained uncertain until the final moment whether Nikita would surrender or kill them both.The standoff ended when thick fog allowed a Ukrainian armored vehicle to approach. Both men climbed into the back and were taken to Ukrainian brigade headquarters.There, Lietunov was reunited with fellow soldiers who had believed him dead. Nikita surrendered without resistance and destroyed his phone before entering custody.

Video recorded at the base showed him calmly stating that he had taken Vadym prisoner.Ukrainian security officers later transferred Nikita for interrogation. Lietunov said he requested that the Russian be treated properly, honoring a promise made during captivity. Officials indicated he could eventually be exchanged for Ukrainian prisoners of war.Now recovering after losing a toe, Lietunov remains on crutches in Odesa, reunited with his family.

“I was a prisoner,” he said. “But in the end, I came out with a prisoner.”

Ukrainian Ambassador to Japan Yurii Lutovinov told Reuters the policy change by Prime Minister Sanae Takaichi was “a very big step forward,” even though Japan still restricts exports to active conflict zones.

“This allows us to talk,” Lutovinov said, adding that any future transfer would require a defense technology agreement between the two countries.Kyiv is also seeking Japanese investment for domestic air-defense systems to reduce dependence on U.S.-made Patriot missiles and is discussing Tokyo’s possible participation in NATO’s arms-funding mechanism for Ukraine.

Japan has linked Ukraine’s security to its own concerns over China’s growing military power and tensions around Taiwan, with Tokyo viewing the war as part of a broader global security challenge.

The inauguration was held on Sunday to mark the first anniversary of what North Korea described as the end of an operation to “liberate” Russia’s Kursk border region, where North Korean troops were deployed to help repel a Ukrainian incursion, according to the Korean Central News Agency (KCNA).

Kim attended the ceremony alongside visiting Russian Defense Minister Andrei Beloussov and Vyacheslav Volodin, speaker of Russia’s State Duma, underscoring the growing importance of military cooperation between Moscow and Pyongyang since Russia’s invasion of Ukraine.

KCNA reported that Kim placed flowers before the remains of dead soldiers and participated in a burial ritual by throwing dirt over one coffin, describing the fallen troops as symbols of “the Korean people’s heroism.”In a speech carried by KCNA, Kim said the soldiers’ spirits would support “a victorious march by the Korean and Russian people” and praised joint operations for frustrating what he called a U.S.-led Western “hegemonic plot and military adventurism” on the Russia-Ukraine front.

North Korea and Russia publicly acknowledged in April 2025 that their forces had fought together in Kursk, a rare admission of direct North Korean military involvement in a foreign conflict.Neither government has disclosed the exact number of North Korean troops deployed.

South Korea’s intelligence service estimated last year that around 15,000 North Korean soldiers were sent to Russia and roughly 2,000 were killed.In a separate meeting with Beloussov, Kim said North Korea would continue to fully support Russia’s efforts to defend its sovereignty and security interests, KCNA said.

Russia’s state news agency TASS reported that Beloussov told Kim Moscow was prepared to sign a bilateral military cooperation plan covering the 2027–2031 period, signaling that security ties could deepen further beyond battlefield coordination.

Russian President Vladimir Putin, in a letter read aloud by Volodin during the ceremony, said the museum would serve as “a clear symbol of the friendship and solidarity” between the two countries and expressed confidence that their comprehensive strategic partnership would continue to strengthen, KCNA reported.

Since the start of the Ukraine war, Kim has increasingly prioritized relations with Moscow, supplying troops as well as conventional weapons, according to South Korean, U.S. and allied officials.

In return, analysts and Western governments believe Pyongyang has received economic assistance and could seek advanced Russian military technology, including systems that may strengthen its nuclear weapons and ballistic missile programs.Military analysts say North Korean troops initially suffered heavy losses because of limited combat experience and unfamiliarity with modern drone warfare and battlefield conditions in the Kursk region.

However, Ukrainian military and intelligence officials have said the North Korean contingent gradually adapted and became an important element of Russia’s strategy of sustaining manpower pressure by deploying large numbers of troops in prolonged fighting.

The opening of the museum adds a symbolic domestic dimension to Pyongyang’s wartime support for Moscow, presenting the casualties as national sacrifice while reinforcing the political legitimacy of its expanding alignment with Russia.

In an interview with CNN, Zelenskiy stated that Ukraine has so far experienced no disruption in the delivery of such systems or related intelligence support, but cautioned that an extended Middle East conflict could place existing supply arrangements under pressure.

He noted that Ukraine has secured portions of its U.S. weaponry through a program under which NATO countries finance purchases for Kyiv, enabling access to critical systems including anti-ballistic missiles for Patriot platforms.

“Through this program, we can include and buy anti-ballistic missiles for Patriot systems and some other weapons which is very important for us,” Zelenskiy said, adding that similar mechanisms were not available through European partners.

The Ukrainian leader emphasized that U.S. supply volumes remain limited due to constrained production capacity, acknowledging that Washington has provided only a relatively small number of such systems.“We understand why, because the production in the United States is not so big,” he said, warning that delays in de-escalation or ceasefire efforts in the Middle East could exacerbate supply risks.

Zelenskiy also highlighted Ukraine’s growing role in sharing military expertise abroad, particularly in countering drone threats. He said Kyiv had signed agreements with Saudi Arabia, Qatar and the United Arab Emirates to provide training and technical know-how developed during its conflict with Russia, where Iranian-designed drones have been widely deployed.

He added that Ukraine intends to expand such cooperation with other countries, focusing initially on knowledge transfer and training missions.

Authorities in Russia’s Leningrad region confirmed that additional mobile fire units would be deployed to protect strategic facilities, including the major Baltic ports of and , which have faced repeated attacks in recent weeks. Governor said the units would include reservists serving on voluntary contracts, tasked specifically with countering unmanned aerial vehicle (UAV) threats.

Kyiv has described the strikes as retaliatory measures against Russia’s sustained aerial bombardment of Ukrainian cities. Ukrainian forces have increasingly targeted Russia’s energy infrastructure, aiming to disrupt export revenues that remain a key source of funding for Moscow’s war effort.

The attacks have had a measurable impact on Russia’s oil logistics. According to data cited by the Center for Research on Energy and Clean Air, oil shipments from Ust-Luga and Primorsk fell by roughly half in the week following a March 23 drone strike compared to the same period a year earlier.

Despite these disruptions, Russia’s oil revenues have shown resilience. The reported that Russian oil export earnings nearly doubled to $19 billion in March, reflecting elevated global prices amid broader geopolitical tensions, including conflict in the Middle East.
President had previously authorized the use of reservists to guard energy infrastructure under legislation signed last year, as Ukraine expanded its use of long-range drones to strike deeper into Russian territory.

The intensifying exchange of strikes underscores a shift in the conflict toward targeting economic assets, with both sides seeking to degrade the other’s capacity to sustain prolonged military operations.

According to the report, the satellite, identified as TEE-01B and developed by Earth Eye Co., was acquired in late 2024 by the Aerospace Force of Iran’s Islamic Revolutionary Guard Corps after being launched from China.

The newspaper said Iranian commanders directed the satellite to track key U.S. military installations, citing time-stamped coordinates, orbital analysis and imagery purportedly showing surveillance activity before and after missile and drone strikes carried out in March.

The report added that Iran gained access to satellite control infrastructure through Emposat, a Beijing-based firm operating commercial ground stations across multiple regions, enabling data transmission and operational support.China’s foreign ministry denied the allegations, saying in a statement that claims linking Beijing to the reported activities were fabricated.

“Recently, some forces have been keen on fabricating rumors and maliciously associating them to China,” the ministry said, adding that China “firmly opposes this kind of practice driven by ulterior motives.”Reuters could not independently verify the Financial Times report.

The development, if confirmed, would underscore the increasing role of commercial satellite capabilities in modern conflict, particularly in providing real-time intelligence for targeting and surveillance operations.

Zelensky has conducted a series of high-level visits to Gulf and regional states, including Saudi Arabia, United Arab Emirates, Qatar, Jordan and Syria, positioning Kyiv as a provider of security expertise in a region where influence has often tilted toward Russia.

Analysts say Ukraine’s battlefield experience, particularly in countering Iranian-designed drones used by Russian forces, has enabled it to offer specialized anti-drone capabilities abroad.

Ukrainian officials said more than 200 experts were deployed to multiple countries in response to escalating drone activity during the regional conflict.

Ukrainian Foreign Minister Andriy Sybiga said Moscow was reacting negatively to Kyiv’s expanding ties in the Gulf, accusing Russia and Iran of spreading disinformation aimed at undermining Ukraine’s role in the region.

The diplomatic push marks a shift from 2022, when Kyiv relied heavily on Western partners for military assistance following Russia’s invasion. The proliferation of drone warfare has since allowed Ukraine to develop niche capabilities that are now in demand internationally.

While details of the security agreements remain undisclosed, analysts say Ukraine may seek financial backing from Gulf states to scale its defense technologies. Some observers suggest Kyiv could leverage these partnerships to secure investment and sustain its military innovation sector.

However, analysts caution that the outreach has yet to produce a strategic breakthrough. Many Middle Eastern states have maintained balanced relations with both Kyiv and Moscow, avoiding sanctions on Russia while positioning themselves as mediators in the conflict.

The durability of Ukraine’s expanded role may also depend on the trajectory of the U.S.-Iran ceasefire and continued demand for its defense capabilities in the region.

Ukrainian defence manufacturer Fire Point is developing a new air defence system aimed at intercepting ballistic missiles at a cost below $1 million per strike, positioning it as a lower-cost alternative to existing Western systems, a senior company executive said.

The company, known for producing the Flamingo cruise missile, is in discussions with European firms to launch the system as early as next year, with an initial interception target set for the end of 2027, according to co-founder and chief designer Denys Shtilierman.

The initiative comes as governments expand air defence capabilities amid ongoing conflicts in Ukraine and the Middle East, which have driven demand for missile interception systems. Existing platforms such as the U.S.-made Patriot system have faced supply constraints due to extensive deployment, while Europe’s SAMP/T system remains limited in production.

Shtilierman said current interception costs remain high, noting that systems like Patriot developed by Raytheon Technologies and Lockheed Martin often require multiple missiles per target, each costing several million dollars.

Fire Point’s objective is to significantly reduce these costs through technological adaptation and battlefield experience gained during the war with Russia.Ukraine’s defence sector has expanded rapidly since Russia’s 2022 invasion, with domestic companies leveraging operational experience to develop cost-efficient systems.

Fire Point has emerged as a leading producer of long-range drones used in strikes deep inside Russian territory and is now extending its capabilities into missile and air defence technologies.The company is also advancing development of ballistic missile systems.

Shtilierman said its FP-7 missile, with a range of about 300 kilometres, is nearing initial deployment, while a larger FP-9 missile capable of reaching up to 850 kilometres is entering testing. The latter could potentially place Moscow within operational range.

Missile analyst Fabian Hoffmann of the Norwegian Defence University College said that wider deployment of such systems could strain Russian air defences, although he noted that the timeline for a new interception system by 2027 remained ambitious.

Fire Point is simultaneously seeking regulatory approval for a proposed $760 million investment by a Middle Eastern conglomerate, which would value the company at approximately $2.5 billion. Ukrainian authorities are expected to decide on the deal by October, as all defence-related investments remain subject to government oversight during wartime.

Ukrainian media have identified the prospective investor as Edge Group, although neither the company nor regulators have publicly confirmed the transaction. Shtilierman said the investment could enable expansion into satellite launch capabilities, including plans for a low-orbit satellite network supported by a potential launch facility in the United Arab Emirates.

He said the company has already developed technology for solid rocket boosters and is in preliminary agreements with Western partners, although the project remains at an early stage.Fire Point is also seeking approval to export its drone systems to Gulf countries, where demand has risen amid heightened regional tensions.

The company said it has the capacity to produce up to 2,500 long-range drones per month, with each unit costing around 50,000 euros.

Production of its Flamingo missiles, currently limited to three units per cycle at a cost of about 600,000 euros each, is expected to increase once a new in-house engine enters mass production and a rocket fuel plant in Denmark becomes operational later this year.

Shtilierman said export of missile systems remains more restricted due to regulatory barriers, though interest from international buyers continues to grow as countries seek cost-effective defence solutions.

Zelenskiy said the framework deal, signed ahead of talks with Mohammed bin Salman, establishes a basis for future contracts, joint technological development and investment between the two countries.

“We are ready to share our expertise and systems with Saudi Arabia and to work together to strengthen the protection of lives,” Zelenskiy said on Telegram, adding that Saudi capabilities were also of interest to Ukraine.

The visit comes as Kyiv reassesses its external support network in the fifth year of its war with Russia. A report by the Washington Post said the United States is weighing redirecting weapons supplies intended for Ukraine to the Middle East, where tensions linked to a conflict with Iran are straining American stockpiles.

Zelenskiy’s outreach to Gulf partners signals an effort to diversify defence cooperation and secure alternative funding and technology flows as geopolitical priorities shift.

Earlier this month, Ukraine sent more than 220 military and security experts to several Middle Eastern countries to advise on countering drone attacks targeting critical infrastructure.

According to video released by Zelenskiy’s office, the delegation included air defence specialists and officials from Ukraine’s SBU security service.

The group conducted workshops for Saudi officials, reported to the Saudi General Staff and is preparing to share operational experience in air defence.

Zelenskiy said Ukraine expects financial compensation and access to technology in exchange for providing such assistance.Drones have become a central feature of the battlefield in Ukraine’s war with Russia, prompting Kyiv to accelerate domestic production and innovation to offset Moscow’s manpower advantage.

Zelenskiy told Reuters this week that, with sufficient financing, Ukraine could produce up to 2,000 drone interceptors per day, underscoring the scale of its defence manufacturing ambitions.

The agreement with Saudi Arabia reflects a convergence of interests as Middle Eastern states seek to strengthen air defence capabilities against drone threats, while Ukraine looks to leverage its battlefield experience for strategic and economic gains.