NextFin news, The United States government announced on Monday, September 22, 2025, that Iranian diplomats attending the United Nations General Assembly (UNGA) in New York City are now restricted from shopping at wholesale club stores such as Costco, Sam's Club, and BJ's Wholesale Club, as well as from purchasing luxury goods without prior approval from the US State Department.
The US State Department stated that these measures are intended to impose "maximum pressure on the Iranian regime" by limiting the movement and shopping privileges of the Iranian UNGA delegation. The diplomats are also confined to areas strictly necessary for transit to and from the UN headquarters to conduct official business.
According to a public notice from the State Department's Office of Foreign Missions, which was scheduled for publication in the Federal Register on Tuesday, Iranian diplomats and their dependents must obtain explicit permission before obtaining or retaining memberships at any wholesale club stores in the United States. This includes but is not limited to Costco, Sam's Club, and BJ's Wholesale Club.
Furthermore, Iranian diplomats must seek approval before purchasing luxury items valued over $1,000 or vehicles costing more than $60,000. The list of restricted luxury goods includes watches, furs, jewelry, handbags, wallets, perfumes, tobacco, alcohol, and cars.
These restrictions are part of the Trump administration's broader campaign of visa and diplomatic limitations targeting Iran, coinciding with the annual UN General Assembly where representatives from around 150 member states, including heads of state and government, gather in New York.
The US move specifically singles out Iran, unlike other travel and diplomatic restrictions that apply to multiple sanctioned countries. The rationale behind the restrictions is to prevent Iranian regime officials from exploiting diplomatic travel to the UN as a means to acquire goods unavailable to the Iranian public due to international sanctions and economic isolation.
Wholesale clubs like Costco have become popular among Iranian diplomats for bulk purchasing consumer goods, which are often shipped back to Iran. The US government views these benefits as requiring regulation and approval.
In addition to shopping restrictions, Iranian diplomats in the US are limited to a 25-mile radius around Columbus Circle in Manhattan, a rule also applied to diplomats from Cuba and Venezuela.
The announcement comes amid escalating diplomatic tensions and renewed UN sanctions on Iran related to its nuclear program, with Britain, France, and Germany citing Tehran's limited cooperation with international nuclear inspectors.
The Associated Press contributed to this report.
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