The Iranian regime is facing a major challenge as the first round of new US sanctions come into effect on Monday.
Considering the fact that the regime and the Revolutionary Guards (IRGC) control much of what is left of the county’s crumbling economy, major losses await Tehran as this round of sanctions target the regime’s automobile industry, gold and precious metal trade, along with other sectors.
This is considered a prelude to the second round of sanctions, due on November 4, aimed at the regime’s crucial energy sector and Central Bank.
With demonstrations escalating across Iran and protesters overcoming their fears in the face of state authorities and security forces, the ruling regime stands before a monumental crisis of how to contain two very serious domestic and foreign calamities.
US President Donald Trump withdrew his country from the Iran nuclear deal on May 8th, re-imposing all sanctions lifted under the 2015 accord due to the pact’s high flaws, including Tehran’s pursuit of “destabilizing and malign activities” that Washington and its allies oppose.
This first round of US sanctions returning will levy complete bans and severe restrictions on the Iranian regime, including:
“Sanctions on the purchase or acquisition of US dollar banknotes by the Government of Iran; sanctions on Iran’s trade in gold or precious metals; sanctions on the direct or indirect sale, supply, or transfer to or from Iran of graphite, raw, or semi-finished metals such as aluminum and steel, coal, and software for integrating industrial processes; sanctions on significant transactions related to the purchase or sale of Iranian rials, or the maintenance of significant funds or accounts outside the territory of Iran denominated in the Iranian rial; sanctions on the purchase, subscription to, or facilitation of the issuance of Iranian sovereign debt; sanctions on Iran’s automotive sector.”
The US will also be banning any import of rugs and food items from include, such as pistachios, and will refuse to export commercial planes, spare parts and related services to Iran.
On the other hand, the Trump administration also provided 90 days for US multinational companies to end their trades with Iran. Many firms such as Boeing, General Electric, Maersk, Peugot, Siemens and Total have ended their business initiatives in Iran. Over 50 international entities and firms are committed to leaving Tehran, according to the Trump administration.
Furthermore, the Trump administration is emphasizing there will be no doubt in punishing American and foreign-based companies choosing to not abide by new sanctions imposed on Iran. In June, US State and Treasury officials met with their European and Asian counterparts in this regard to further explain the policy behind new US sanctions. Read more