US to cut Iran oil exports to zero

WASHINGTON, D.C.: The United States remains determined to force Iran to change its behavior by cutting its oil exports to zero, the State Department said on Monday (Tuesday in Manila), despite resistance from importing countries.

leading negotiations with US allies on a new Iran strategy, said

has enough spare oil capacity to replace Iranian crude. - with Iran would “snap back” on

August 6 for trade in cars and metals and on November 4 for oil and banking transactions.

This has been US policy since President Donald Trump pulled out of the Iran nuclear accord on May 8, but many foreign capitals have been demanding waivers to allow some trade to continue.

Meanwhile, Iranian President Hassan Rouhani has arrived in Switzerland at the start of European trip he billed as of “prime importance” after the US pulled out of the 2015 nuclear deal between Tehran and world powers.

The tour, which also includes a stop in Austria, is part of Tehran’s efforts to secure Europe’s continued support for the landmark agreement aimed at preventing Iran from building the atomic bomb.

Substantial parts of the historic nuclear pact were negotiated in Switzerland before it was signed in July 2015 in Vienna, where Rouhani will head on Wednesday.

The visit comes nearly two months after US President Donald Trump unilaterally pulled out of the agreement, to the ire of the other signatories—China, France, Germany, Britain and Russia— which along with the European Union have continued to back the accord.

Iran has warned it is ready to resume uranium enrichment to 20 percent—above the level permitted in the deal—“within days” if the deal falls apart.

The US ultimatum has also contributed to upward pressure on world oil prices, although Trump believes he has persuaded Saudi Arabia to offset this by ramping up its own production.

“Our goal is to increase pressure on the Iranian regime by reducing to zero its revenue from crude oil sales,” Hook, the State Department’s director of policy and planning, told reporters.

“Now, we are working to minimize disruptions to the global

production capacity.

“Banking sanctions will also snap back on November 4, and we will be aggressively enforcing these provisions to lock up Iran’s assets overseas and deny the Iranian regime access to its hard currency.”

Although the European signatories to the Iran deal— Britain, France and Germany— lobbied hard for Trump to stay in the accord, their companies are likely to acquiesce to the renewed sanctions.

Western diplomats say few ma-

in dealing with Iran to justify the risk of losing access to US trade

But other powers— including major Iran clients like India, China and Turkey—may not be so quick to bow to US demands.

Hook said teams of US diplomats are deploying to explain and defend the policy, but warned: “We are not looking to grant licenses or waivers, because doing so would substantially reduce pressure on Iran.