Pompeo: Sanctions 'Just a Part' of Iran Regime Behavior-Change Plan

04 November, 2018, 20:34 | Author: Lucy Floyd
  • US sanctions go into force next week but the White House is giving waivers to several nations

At the time, Seener expressed a similar opinion that even as European Union companies played ball with United States sanctions (against their government's wishes), support for Iran from China, Russia, India and South Korea would be too strong too sufficiently isolate the Islamic Republic's economy. But senior administration officials refused to spell out the names on Friday.

On Monday, November 5, the USA will not only be re-imposing the sanctions that were in place before the insane Iranian nuclear deal was entered into, but there'll be over several hundred designations, Pompeo said.

The US had insisted on cutting exports to zero but that seems unlikely as it would increase the price of oil, says Scott Lucas, a professor of worldwide politics at Birmingham University.

US President Donald Trump said on Friday that the country's objective is to force the Iranian regime to "either abandon its destructive behavior or continue down the path toward economic disaster". "These negotiations are still ongoing".

Six of the countries had agreed to "greatly reduced" levels of oil purchases, Pompeo said, and two said they would soon end their imports of Iranian oil.

Another problem is that the product used in the SPV to trade with Iran may also violate secondary sanctions, says Leigh Hansson, head of worldwide trade and national security at Reed Smith.

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The US aims to cripple the Iranian economy to pressure Tehran to halt its nuclear activities and what the US says is broad support for "terrorism" in the region, Pompeo said.

This year's rallies come after the United States administration decided on Friday to reimpose all sanctions lifted under the 2015 nuclear deal with Iran. It has announced plans for a legal framework through which firms can skirt USA sanctions, although few major corporations have been eager to risk the wrath of penalties in the world's largest economy.

The US, which is in the process of becoming the world´s leading producer thanks to its shale oil operations, could meet part of the demand, but lacks export capacity, said the analyst.

"Mr. Trump both tries to decrease Iran's oil exports significantly and also wants prices not to go up".

Speaking with the reporters at the White House on Friday before leaving on a campaign trail, Trump said Iran was not the same country which it was when he started nearly two years ago.

Sanctions on Iran's petroleum sector are scheduled to snap back into effect on November 5. "But Iran is still going to be able to sell oil", especially to China, she said.

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The problem with forcing Iran's hand, says Iran sanctions expert Barak Seener, is that even without the EU, Tehran maintains key support from Asia.

Next, he said, "Russia will attempt to leverage the Iranian sanctions by closely aligning itself with OPEC and increasing oil output in order to enable Saudi Arabia to enforce supply quotas".

India, which is the second biggest purchaser of Iranian oil after China, is willing to restrict its monthly purchase to 1.25 million tonnes or 15 million tonnes in a year (300,000 barrels per day), down from 22.6 million tonnes (452,000 barrels per day) bought in 2017-18 financial year, sources in New Delhi said.

Foreign Minister Mohammad Javad Zarif spoke by telephone with the European Union's foreign policy chief, Federica Mogherini, and his counterparts from Germany, Sweden and Denmark about European measures to counter the U.S. sanctions, the Iranian state news agency IRNA reported.

"The United States remains open to reaching a new, more comprehensive deal with Iran that forever blocks its path to a nuclear weapon, addresses the entire range of its malign actions, and is worthy of the Iranian people", Trump said.

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