The new sanctions of Iran
The new sanctions of Iran
The new sanctions of Iran
A gas flare on an oil production platform in the Soroush oil fields is seen next to an Iranian flag in the Persian Gulf, Iran.
Photo:
raheb homavandi / Reuters
The Trump Administration is imposing new sanctions on Iran on Monday, and some of our friends on the right say it was weakened by Iran's oil exports and access to the global financial system. But it seems that the Treasury Department and the State are trying to apply sanctions in a diplomatically intelligent way that still puts pressure on the regime, assuming the United States goes ahead with the application.
One complaint is that the Administration has exempted eight countries from sanctions on Iran's oil exports. The United States is not saying which countries, but sources say they include Japan, South Korea, China and India. This gives a respite to two allies, South Korea and Japan, who are trying to reduce their dependence on Iranian oil over time.
India and China are disappointments, but then the exemptions are meant to keep some Iranian oil on the world market so that oil prices do not rise. The United States can, and Secretary of State Mike Pompeo says it will, will gradually shrink further as US production continues to increase and replace the loss of Iranian supply.
Even with the exemptions, the expectation of sanctions has already removed 1.1 million barrels of Iranian oil per day from the market. That's a lot of lost revenue for the Iranian economy. Keep in mind, too, that the Administration did not save the European Union from oil sanctions after its refusal to cooperate to help the US. UU To renegotiate the defective nuclear agreement of Barack Obama with Tehran.
Another complaint on the right is that the Treasury is not banning all Iranian financial transactions through the Swift system that guarantees secure cross-border financial messaging. Instead, the Administration will allow Swift to process transactions for humanitarian purposes, such as the drug and food trade.
But Treasury Secretary Steven Mnuchin also says that Swift "must disconnect any Iranian financial institution that we designate as soon as technologically possible to avoid exposure to sanctions." dissuade Europe from seeking an alternative to Swift. The problem is that the EE. UU They will have to monitor and enforce the Swift humanitarian channel so that Tehran does not take advantage of it for other purposes.
I know. UU They retain the flexibility to further tighten sanctions in the coming months, but Monday's measures will deprive Tehran's rulers of more money for their foreign adventures. The United States should expect some reprisal, perhaps with terrorist proxies. As for the EU, its leaders should rethink their resistance and work with the United States to urge Iran to renegotiate the agreement to actually prevent an Iranian nuclear weapon.
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ORIGINAL ARTICLE THE WALL STREET JOURNAL
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SOURCE LINK ERESVIRAL.COM https://www.beviral.online
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