CHANGE: US begins to dismantle Iran nuclear deal sanctions relief.
The Treasury Department announced it had revoked licenses that allowed U.S.-controlled foreign firms to export commercial aircraft parts to Iran as well as permitted Americans to trade in Iranian carpets, pistachios and caviar. It said businesses engaged in any such transactions have to wind down those operations by Aug. 6 or face penalties under U.S. sanctions. Another set of licenses covering other types of commerce, including oil purchases, will be revoked in coming weeks, with firms given until Nov. 4 to end those activities.
The step had been expected since May when Trump pulled the U.S. out of the landmark agreement under which Iran was given relief from sanctions in return for curbs on its nuclear program. Trump said the accord, a signature foreign policy achievement of his predecessor, President Barack Obama, was the worst deal ever negotiated by the United States because it gave Iran too much in return for too little. Trump also complained that the agreement did not cover Iran’s non-nuclear malign behavior.
Other parties to the deal — Britain, China, Germany, France, Russia and the European Union — have criticized the U.S. withdrawal, which has left the agreement at risk of collapse. The Trump administration is stepping up efforts to isolate Iran and its faltering economy from international financial and trading systems.
The Europeans can squawk, but the banks are falling into line:
Foreign banks that kept Iran trading oil through previous sanctions are pulling out under pressure from the latest round of U.S. restrictions, hitting a lifeline for the Iranian economy.
Even banks with no direct U.S. exposure are refusing to deal with Tehran, fearing that they will be cut out of the dollar-based global financial system.
Meanwhile: Iran protests set to continue amid collapsing currency, increasing pressure on regime.
Trump’s Reaganesque attitude towards Iran’s mullahs — “We win, they lose” — is a refreshing change from George W. Bush’s waffling and Barack Obama’s obeisance.