U.S. President Donald Trump aims at rounding off Iran's oil trade which will paralyze the country's economy that will probably give him a victory in the next elections despite the reaction of a number of countries, Vice Director of Center for Iranian Studies (IRAM) said late Thursday.
The first phase of the U.S. sanctions on Iran impacted sectors like automotive, banking and mining and the second phase of the sanctions will mainly target the country's oil imports on which Iran's economy depends on, Hakki Uygur, the vice director said at 'Iran Sanctions, Impacts on Turkey and Region' panel organized by SETA Foundation for Political, Economic and Social Research.
In May, Trump unilaterally withdrew his country from the 2015 landmark nuclear deal signed between Iran and the P5+1 group of nations -- the five permanent UN Security Council members U.S., Russia, China, Britain and France plus Germany. He also announced that he would reinstate sanctions against Tehran, which were lifted by the agreement in exchange for tight restrictions on the country's nuclear program.
The U.S. in August had re-imposed the first round of economic sanctions on Iran, which mainly target the country’s banking sector.
The second phase of sanctions, targeting Iran’s energy sector, is set to go into effect on Nov. 5.
'If Trump could manage to round off the country's oil trade, this will lead to a paralyzed Iran economy,' Uygur underlined.
However, Uygur said, this is not a good way to bring Iran to the table because Iranian people is aware that Trump wants to create a victory out of this process before the next elections.
'Iran has two options. They will either wait for the end of Trump's term which is the dominant attitude now or they will see how the sanctions will work. But, I can say that Iran's hand is strong this time because almost all the countries are against the sanctions,' Uygur explained.
Uygur also said that Turkey, as a neighbor to Iran, wants stability in the region and imports almost half of its oil needs from the country.
'Turkey also imports a significant amount of gas and makes trade to Middle Asia through Iran,' he said.
- Outcome of exemption talks between Turkey-U.S.
Kemal Inat, SETA Assistant General Coordinator and Director of Energy Studies at SETA, said that Turkey will face U.S. sanctions if the country acts against U.S. sanctions on Iran.
'Thus, Turkey has exemption talks with the U.S. but I do not think there will be a success at these talks. If Trump's main aim is Iran's zero oil trade, then he will definitely want Turkey to end oil trade with Iran at one point,' Inat concluded.
By Nuran Erkul Kaya
Anadolu Agency
energy@aa.com.tr