Getting Tough

President’s hard line on Iran just what’s needed

President Donald Trump was serious when he promised to put pressure on Iran over nuclear weapons development. And this week he showed just how serious. Back in May, the president withdrew the U.S. from the 2015 deal that lifted some economic sanctions from Iran in exchange for certain nuclear concessions. He gave banks and other businesses 90 days to wind up any dealings with Iran that would put them in conflict with renewed sanctions.

Now the reckoning has begun. Initial sanctions taking effect Monday include measures to keep Iran from obtaining U.S. dollars, keeping overseas bank accounts and conducting business in precious metals, as well as other barriers to trade.

And that’s just the beginning. There is more to come—specifically targeting Iran’s biggest moneymaker, oil.

The president hopes to pressure Iran into accepting more stringent conditions on their nuclear energy program than were required by President Barack Obama in the 2015 agreement. Iran has already seen significant economic impact. Their currency has lost half its value since April. And several major companies like Peugeot, Airbus and Boeing have pulled out of deals with the country.

But critics maintain President Trump’s “bully” position won’t work.

We’ll have to wait and see. But one thing’s for sure: The U.S. can hold out a lot longer than Iran on this. Their economy is already hurting and things will only get worse.

In our view, President Trump’s tough stand is just what’s needed in dealing with a country that has a history of making promises while stalling for more time to develop its nuclear weapons.