Europe's Ships Caught Up in Shadowy Oil Trade with Iran and Russia

European ships have been involved in Iran's oil trade, and some of them have ended up in Russia's shadow fleet. In September 2026, U.S. aircraft and drones struck three tankers involved in Iran's oil trade, disabling one and destroying another.

The U.S. warned that if Iran fired on American ships, Washington would destroy its tankers. CENTCOM commander Adm. Brad Cooper said firing at two American warships would cost Iran three vessels.

Iranian oil travels aboard both Iranian and international tankers, with 62% of the roughly 430 active in the trade being falsely flagged and 87% sanctioned.

A study by Windward identified a Russian shadow fleet of around 600 vessels, which carried about 70% of Russia's seaborne oil exports in June 2024. The underlying Kyiv School of Economics research estimated that these shadow tankers were often operating through offshore companies and frequently changing flags.