Trump: US out of Iran nuclear agreement
President Donald Trump said on Tuesday he was reimposing economic sanctions on Iran and pulling the US out of an international agreement aimed at stopping Tehran from getting a nuclear bomb.
The decision is likely to raise the risk of conflict in the Middle East, upset European allies of the US and disrupt global oil supplies.
However, Iranian President Hassan Rouhani said that his country would remain committed to a multinational nuclear deal despite Trump’s decision to withdraw. “If we achieve the deal’s goals in co-operation with other members of the deal, it will remain in place. By exiting the deal, America has officially undermined its commitment to an international treaty,” Rouhani said in a televised speech.
During his announcement, Trump said: “In a few moments, I will sign a presidential memorandum to begin reinstating US nuclear sanctions on the Iranian regime. We will be instituting the highest level of economic sanctions.”
Trump said any country that continued to support Iran also risked the imposition of US
sanctions. The 2015 deal, worked out by the US, five other international powers and Iran, eased sanctions on Iran in exchange for Tehran limiting its nuclear programme.
Trump has said that the deal — the signature foreign policy achievement of Trump’s predecessor Barack Obama — did not address Iran’s ballistic-missile programme, its nuclear activities beyond 2025 or its role in conflicts in Yemen and Syria.
Renewing sanctions would make it much harder for Iran to sell its oil abroad or use the international banking system. The Iranian ambassador to SA said he hoped that Trump’s decision to withdraw from the nuclear deal would not affect the relationship between SA and Iran.
Previously‚ sanctions imposed on Iran by the US saw a massive decline in trade between the two countries. Oil sales were hit particularly hard.
In 2004‚ according to StatsSA‚ SA had bought 8-million tonnes of crude oil from Iran and the country was the third-biggest exporter of oil to SA in 2011.
French President Emmanuel Macron said his country would work on a broader agreement covering Iran’s nuclear activity, ballistics programme and regional activities.
France, Germany and Britain said on Tuesday that they were committed to implementing the 2015 Iran nuclear deal despite Trump’s decision to pull out and his threat of sanctions.
Oil prices initially slumped on conflicting headlines, rebounded after Trump’s announcement and then sold off again at the close.
Equities were volatile, but remained modestly lower on the news, while the dollar pulled back against other major currencies.