Early Consequences Of Sanctions Against Iran

By Masoud Dalvand

These days, the heated and controversial discussion of Iran’s sanctions has attracted attention and put the ruling mullahs in Iran at a deadly deadlock.

Sanctions against Iran, in particular the sanctions on Iran’s oil, are actions taken by some countries in the world to propose a United States to prevent or restrict Iran’s nuclear program. The sanctions are aimed at removing the mullah’s regime from oil revenues and forcing them to cooperate with the international community to stop the construction of nuclear weapons and nuclear warheads.

These sanctions are imposed through an immediate solution, i.e. boycott of purchases or buyers, or indirect ones, such as boycotting tanker ships or boycotting banks, with the aim of eliminating the purchasers of the oil and turning them to other suppliers of this commodity.

Following US withdrawal from Iran deal or JCPOA on May 8, 2018, the US Treasury Department announced that sanctions against Iran would commence again in the 90th and 180th days after the withdrawal of Iran deal.

Accordingly, the first US embargo against Iran will begin on August 6, 2018, and after this deadlock, the Iranian regime will not be able to buy the US dollar or trade gold or other commodities.

In addition, sanctions against Iran will be imposed in the area of aluminum, steel, coal, Dollar exchange and automobile industry, and significant restrictions will be imposed on transactions with Rial outside Iran.

From now on, international restrictions will apply to the activities of the National Iranian Oil Company and the purchase of oil, petrochemicals and petroleum products from Iran will be subject to sanctions.

The Iranian shipping industry, the activities of the Central Bank of Iran and the Western financial institutions, as well as those whose names were removed from the sanctions list on January 16, 2016, would be subject to further sanctions.

The Consequences of the first phase of the sanctions

At this point, those who came to Iran with a deal with sanctions are back to the sanctions list.

It should be kept in mind that Iran was one of the world’s largest oil producers and issued billions of dollars of oil and gas annually. But Iran’s oil production, along with its GDP, fell dramatically with international sanctions.

At the same time, it should be borne in mind that such sanctions will go beyond the scope of the relationship between Iran and the United States, in such a way that all non-US companies that interact with the Iranian market will aim at unilateral US sanctions.

At a news conference July 2, State Department Policy Planning Director Brian Hook, said that Washington is “safe enough” to supply oil to replace Iran’s crude oil.
The US goal is “to increase the pressure on the Iranian regime to cut its oil revenues and bring it to zero.”

This equilibrium will be offset by OPEC, India and Saudi Arabia.

The Consequences of the second phase of the sanctions

According to US sanctions, the US Treasury Department will review the performance of the Iranian oil purchasers six months after the withdrawal from Iran deal (November 2018) and, if they have not complied with the sanctions law, countries banks that buy Iran oil and pay to the Central Bank of Iran (such as Chinese, Korean or Indian banks) are subject to sanctions. The United States has announced that all countries and companies that will cooperate with Iran after November 4, 2018 will be subject to US sanctions.

What is the real solution to the crisis?

Now and after all the sanctions and political and economic equations, the people of Iran say the last words. They want a government that, instead of investing heavily in terrorism, promote peace and prosperity and peaceful coexistence with its neighbors.

As Mariam Rajavi, President-elect of the National Council of Resistance of Iran (NCRI), recently said in a statement:

“The disastrous state of the economy and the foreign exchange market is the direct product of the regime’s depravity. The free fall of the value of Rial to the world’s lowest is a consequence of the rule of the mullahs who have destroyed everything to preserve their power.

The mullahs have no solution for containing the chaotic state of the economy and all their measures and plans have failed. Sacking the Central Bank’s president, arresting bazaar merchants, spreading lies and false pretenses are no longer effective.

Iran’s crumbling economy cannot be saved unless by toppling the regime.”

Hence, in these days, more courageous than ever, the Iranian people in Tehran, Mashhad, Karaj, Shiraz, Isfahan and Rasht and other cities scream the overthrow of the religious dictatorship and say death to the dictator. It is the right of the Iranian people to live in peace and freedom and in a democratic country, with a prosperous economy. Enough of war and destruction, terrorism and corruption and poverty.

Masoud Dalvand is a blogger and political activist for a #FreeIran. This article was originally published by The Herald Report.
This article was first published by thebaghdadpost

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