But the European Union, along with other signatories, supports the agreement Washington abandoned and is determined to uphold it.
The EU is pledging to protect any European corporation that wants to continue trading with Iran from U.S. sanctions. Those penalties include potential multibillion-dollar fines and exclusion from the U.S. market.
Brussels has two potential weapons at its disposal. First, there’s the so-called Blocking Regulation.
“The Blocking Regulation would make it illegal for European companies to comply with U.S. sanctions against Iran,” said Agathe Demarais of the Economist Intelligence Unit. “But it’s a rather blunt instrument. It has not been fully implemented by the member states, and it would be extremely surprising to tell European companies that if they comply with U.S. sanctions, they will be fined. That would be a surprising way of protecting companies.”
The second weapon is more subtle: Next month, the EU unveils a new electronic payment system designed to move money in and out of Iran without American scrutiny.
“The intention is to create some economic independence for European companies so that they’re not so vulnerable to American pressure,” said Sanam Vakil of the Chatham House think tank.
But the U.S. Treasury will be monitoring the system closely, making it difficult for European multinationals to use it without Washington noticing.
The commercial realities facing big European companies will likely trump the EU’s defiance.
Read more: Market Place
Iran Briefing | News Press Focus on Human Rights Violation by IRGC, Iran Human Rights
Jun 26, 2019 Comments Off on Who Are the 8 Guards Commanders Sanctioned By U.S.
Jun 26, 2019 Comments Off on MP Boroujerdi: The presence of officials at mixed embassy parties is unacceptable
Jun 25, 2019 Comments Off on US Hits Iran with Cyberattack, Launches New Sanctions to Cripple Iran’s Economy
Jun 24, 2019 Comments Off on Iran is threatening to shoot down more American drones as the US turns up the pressure on Tehran with new sanctions
Jun 25, 2019 Comments Off on US-Iran crisis: Trump lashes out at ‘ignorant and insulting’ statement
Jun 24, 2019 Comments Off on Tehran sets up terror cells in Africa as Western sanctions bite
Jun 22, 2019 Comments Off on The U.S. outguns Iran, but it faces painful realities in the event of a war
Jun 19, 2019 Comments Off on Are Senior Iranian Revolutionary Guard Figures Defecting? Were Others Arrested?
Jun 26, 2019 Comments Off on Who Are the 8 Guards Commanders Sanctioned By U.S.Who Are the 8 Guards Commanders Sanctioned By U.S. Who are the eight Islamic Revolution Guards Corps (IRGC) commanders were among Iranian officials sanctioned by the United States on Monday June 24? The IRGC, designated...
Jun 18, 2019 Comments Off on IRGC chief says Iran’s ballistic missiles capable of hitting ‘carriers in the sea’IRGC chief says Iran’s ballistic missiles capable of hitting ‘carriers in the sea’ The commander of Iran’s elite Revolutionary Guards Corps said on Tuesday that Iran’s ballistic missiles were...
Mar 27, 2019 Comments Off on U.S. sanctions firms accused of helping fund Iran’s Revolutionary GuardsU.S. sanctions firms accused of helping fund Iran’s Revolutionary Guards U.S. sanctions firms accused of helping fund Iran’s Revolutionary Guards The United States on Tuesday imposed fresh sanctions on a network of companies and people in Iran, Turkey and the United Arab Emirates it...