Washington restores tough, unilateral Iran sanctions lifted under nuclear deal

07 August, 2018, 16:20 | Author: Lucy Floyd
  • President Rouhani is facing renewed discontent over living standards which are being squeezed under the threat of US sanctions

If there is a new deal to be crafted, the Trump administration must nix the sunset clause that gave Tehran an early out on restrictions on its nuclear enrichment program after 2025.

Earlier in the day he assailed Iran as "a murderous dictatorship that has continued to spread bloodshed, violence and chaos".

President Donald Trump signed an executive order on Monday restricting purchases of dollar banknotes by Iran, preventing the government from trading gold and other precious metals and blocking the nation from selling or acquiring various industrial metals.

The second phase of USA sanctions, which takes effect on 5 November and will block Iran's oil sales, is due to cause more damage, but several countries including China, India and Turkey have indicated they are not willing to entirely cut their Iranian energy purchases.

Daimler (DDAIF) said in a statement that Iran's automotive markets have been significantly weaker than expected, and it had not yet resumed production or sale of Mercedes cars or trucks in the country.

Iranians believe that their leaders will need to "drink the poison cup" and negotiate with US.

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Iran has chosen to sow discord and destruction throughout the Middle East and President Trump is fighting back.

The European commission today put in place never-before-used legislation to protects the continent's firms from U.S. sanctions which not only target Tehran but their trading partners.

"I remain open to reaching a more comprehensive deal that addresses the full range of the regime's malign activities, including its ballistic missile program and its support for terrorism", Trump said.

Looming US sanctions against Iran will likely hit Tehran's oil sales overseas, and it could lead to a price spike in oil contracts. "The riyal is tanking, unemployment in Iran is rising, and there are widespread protests over social issues and labour unrest".

"They seek to determine the conduct of our economic operators while they are not subject to USA law", an European Union senior official argued.

"Anyone doing business with Iran will NOT be doing business with the United States", the president tweeted. Now, it's there. It's their modus operandi. Another added, "The Iranian people are seeking the same thing". Iran says it will continue to abide by the deal for now, if other countries can help protect it from the economic impact of Washington's decision to pull out. The U.S. move has dismayed America's European allies trying to preserve the nuclear deal.

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Administration officials told The Associated Press that the renewed sanctions were not an attempt to topple the Iranian government.

European Union foreign affairs chief Federica Mogherini and the French, German and British foreign ministers said they deeply regretted Trump's action.

"If there is one piece of global agreements on nuclear non-proliferation that is delivering, it has to be maintained".

Senior US officials said at a briefing on Monday that the plan was to increase economic pressure on Tehran to have "an exponential effect on Iran's already fragile economy".

Trump warned that those who don't wind down their economic ties to Iran "risk severe consequences". "The EU, along with China, Russia, France, Germany and the United Kingdom, was also a signatory to the deal and has not withdrawn".

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