These sanctions were lifted under the 2015 nuclear deal between Iran and six world powers, but now they will include 300 extra designations in Iran’s oil, shipping, insurance and banking sectors.
Donald Trump announced these sanctions back in May, when he pulled out of what he called the “worst ever” agreement. The other countries involved – Britain, France, Germany, China and Russia – agreed to stay in the deal, but with secondary sanctions imposed by the US on businesses that continue to do business with Iran, this may not actually have a great impact.
While full details of the sanctions are expected later during a press conference with Secretary of State Mike Pompeo and Treasury Secretary Steven Mnuchin later today, we do already know that they target Iran’s oil industry and central banks.
Pompeo advised on Sunday that the Iranian Regime, who needed to be convinced to abandon its “destructive activities”, was the target of these sanctions, not the Iranian people, who have endured enough of “their government’s mismanagement, theft and brutality”.
There are reported to be eight countries that have received temporary sanctions waivers from the US, likely including Iran’s top oil importers China, India, South Korea, Japan and Turkey, to ensure that crude oil prices do not skyrocket, despite the fact that Trump previously advised that the oil imports could be obtained from other countries without impacting the oil market.
Despite these waivers, Iran is expected to suffer greatly, with the International Monetary Fund greatly altering its predictions for Iran’s GDP over the next year from +4% to -1.6%.
Iran Regime feigns indifference
Still, the Regime tries to pretend that the sanctions are not going to hurt, with Foreign Ministry spokesman Bahram Qasemi saying that Iran could manage its own affairs.
Trump disagrees, however, citing that his “maximum pressure” policy on Iran has changed the country and is punishing the Regime.
He said: “Iran is a much different country than it was when I took office. They wanted to take over the whole Middle East. Right now they just want to survive.”
It seems clear that these sanctions, which are tougher than any before, will hamper the Iranian Regime.