Netanyahu hails Trump for re-imposing 'most severe' sanctions on Iran

Cheryl Sanders
November 7, 2018

While the administration said it has reduced Iran's daily oil exports by more than a million barrels a day, Pompeo acknowledged the usa granted eight countries waivers to continue buying Iran's oil without penalties for six more months.

President Donald Trump has restored all sanctions, targeting oil exports, shipping and banks, lifted under the 2015 nuclear deal in a bid to pressure Iran.

The US appears to have heeded Alamolhoda's warning as the sanctions, announced today by US secretary of state Mike Pompeo, fell short stopping oil exports from Iran entirely.

"It will be hard for Iran to maximise exports when virtually all trade in oil is cleared in U.S. dollars, putting worldwide oil companies, many national oil companies, traders and banks off limits", said Homayoun Falakshahi, analyst at Wood Mackenzie. "Iranian exports show a decline of more than 1 million barrels per day (bpd) as of October from May", said Edward Bell of Emirates NBD bank.

On the supply side, oil is in ample supply, despite the sanctions against Iran, as output from the world's top three producers - Russia, the USA and Saudi Arabia - rises.

Worst-affected are Iran's important oil, shipping and banking sectors and thousands of Iranians reacted with protests in Tehran, some shouting "death to America". Iran reacted angrily with air defence drills with its President saying that the nation faces a "war situation", raising tensions in West Asia.

"I don't want to totally destroy their country". The U.N.'s atomic energy agency, which was tasked with monitoring the implementation of the agreement, has certified in multiple reports that Iran is in compliance.

Kevin Book, managing director of Clearview Energy Partners research firm in Washington DC, said the first round re-imposed in August have already had a significant impact on the Iranian economy.

The US State Department said the waivers do not include "civil nuclear projects" but that oversight projects at three of Iran's nuclear facilities - Arak, Bushehr, and Fordow - would continue for an unspecified, temporary period of time.

Iran has strongly denounced the USA policy.

South Korea, a USA ally and one of Asia's biggest buyers of Iranian oil, asked Washington for "maximum flexibility" last week, after some of its construction firms cancelled energy-related contracts in Iran due to financing difficulties.

"Here we have a situation where an agreement created to stop Iran acquiring nuclear weapons has been complied with by Iran, an agreement struck in good faith, and it's been torn up by one party".

"We know no government in Europe, Africa and Asia that officially voices support for United States sanctions; except the Zionist regime and a couple of regional countries", Jahangiri added.

Hours earlier, Trump called the sanctions the toughest ever imposed by the United States against Iran.

Pompeo announced on Friday that the administration would allow several countries to continue importing Iranian oil beyond its November 4 deadline.

Other reports by iNewsToday