Monday, 21 May, 2018

Secretary of State says 'hopeful' US, Europe can strike deal over Iran

Iran deal 'not dead', says France Trump's Threatened Sanctions Against Iran Could Cost US, European Firms Billions
Nellie Chapman | 16 May, 2018, 23:11

France pledged on Friday to push back against the threat of USA sanctions against French companies doing business with Iran, in the wake of Washington's withdrawal from the worldwide nuclear agreement with Tehran.

Iranians gather in Tehran to protest U.S. President Donald Trump's decision to leave the 2015 nuclear deal.

During his announcement, President Trump stated that the United States would institute the "the highest level of economic sanctions" against Iran and would impose sanctions on any nations that assist Iran obtain weapons of mass destruction. And firms would not be able to generate new business. A muted reaction from Iran would paint the U.S.as the aggressor, allowing Iran to more latitude to skirt USA enforcement.

Oil-rich Saudi Arabia has long said it would match any Iranian weapons development, but Jubeir's renewed vow came after US President Donald Trump pulled the United States out of an accord created to prevent Tehran's alleged quest for the bomb.

While Israel was strongly in support of President Trump's decision, Britain, France and Germany came out against the withdrawal.

"It's time that European countries opened their eyes", Le Maire said on Europe 1 radio. The EU has in the past found this unacceptable, he added, though it was unclear still how European leaders would respond. S., the deal has become shaky.

However, Saudi Arabia - the de-facto head of OPEC - signaled this week it could up its own production to make up for lost barrels from Iran.

Iran said it had asked Europe's Airbus to announce whether it would go ahead with a plane deal with Tehran following the USA pullout.

"It is not yet clear which concrete sanctions the USA will impose".

"These missiles are Iranian manufactured and delivered to the Houthis".

According to Credit Suisse, the last time Iran was subject to global sanctions (between 2010 and 2016) its oil exports fell from 2.2 million barrels per day to around 1.1 million barrels.

Mnuchin did not spell out what the administration would consider as a "significant reduction" in purchases of oil.

The deal between Iran and six world powers eased sanctions on Tehran in exchange for it limiting its nuclear program to prevent atomic bomb capabilities. It is unclear whether the drop will be as significant as previously, as European Union countries are struggling to keep the deal afloat and seeking to avoid taking part in the USA embargo. Total did not respond to requests for comment.

During the last round of sanctions, India enjoyed waivers allowing limited Iranian oil imports paid for in rupees instead of USA dollars.

"It's possible", Bolton said. "As those sanctions kick in, it will have an even broader effect as well", he said. PSA Peugeot Citroen, for example, sold over 3.6 million vehicles worldwide past year.

"There are few issues more important to the security of the USA than the potential spread of nuclear weapons or the potential for even more destructive war in the Middle East".

For these multinationals, part of Iran's value lies in its potential for growth-the country has been deprived of investment for years and has a young demographic.

Iranian state television said the USA decision was "illegal, illegitimate and undermines global agreements".

Israel and Iran have exchanged fire in Syria - with U.S. officials warning it is most likely place in the world to escalate into war. While Airbus is a European company, it still announced that they will comply with the new U.S. sanctions. Exports to the country rose more modestly, from 6.47 billion euros to 10.8 billion euros.

He said Trump's withdrawal also meant multiple cases of "significant non-performance" with the nuclear deal, and "clear non-compliance" with resolution 2231 of the UN Security Council, which endorsed the deal.

"These sanctions do impact all of the major industries", Munchin added. "They are very strong sanctions", Mnuchin said.