Iran Says US Exit From Deal Will Not Impact Its Oil

Wednesday, 16 May, 2018

That is part of a flurry of diplomatic activity lined up following Tuesday's unilateral withdrawal from what US President Donald Trump called "a disgusting, one-sided deal", a move accompanied by the threat of penalties against any foreign firms doing business in Iran. Washington's decision is casting a dark shadow over the Korean economy, since it heightens the possibility of renewed geopolitical risks in the Middle East.

Contrary to his woeful effort at explanation, this move will not make America safer.

It is a very disturbing situation.

"The final aim of these negotiations is to seek assurances that the interests of the Iranian nation will be defended", Zarif said at a press conference with his Russian counterpart Sergei Lavrov in Moscow.

Despite the USA exit, Britain and Iran expressed their commitment on Sunday to ensuring that the accord is upheld, according to a statement released by British Prime Minister Theresa May's office.

Theresa May has challenged Donald Trump on the impact of sanctions against Iran which will affect United Kingdom firms doing business there, amid a growing European backlash.

"Iran was abiding by the agreement and had stopped working on developing nuclear weapons", said Cecile Shea, a former US diplomat and senior fellow at the Chicago Council on Global Affairs. "I'm not the national security decision-maker", he continued. Although Trump railed against Iranian expansionism, he has proposed pulling 2,000 US special forces out of Syria, which has already emboldened Tehran.

Futures in NY added 0.8 percent after surging to the highest level since November 2014. The rising global oil prices are feared to place a significant burden on South Korea. Total volume traded was about 9 percent above the 100-day average.

He says he watched part of Netanyahu's presentation and that it was "good". The crude draw was largely due to a decline in imports, which fell by the most since November 2016.

After worldwide sanctions on Iran were lifted in 2016, South Korea's imports of Iran's crude oil increased significantly. If the imports of Iranian crude oil decrease, Korea will face difficulties in oil supply and demand in the mid and long term. The extra demand is helping to wipe out an oil glut that has plagued markets.

Israel's prime minister says his government has obtained "half a ton" of secret Iranian documents proving the Tehran government once had a nuclear weapons program.

The White House backed Israel's claims, accusing Iran of "reckless actions" that posed a "severe threat" to stability in the Middle East. "Why would the shareholders of any business want to do business with the world's central banker of worldwide terrorism?" he asked.

However, the sanctions for now only affect companies that operate out of the USA or have significant exposure there. As we know, finance always works hand-in-hand with logistics.

White House national security adviser John Bolton says "regime change" in Iran is not now part of the administration's policy, despite his past suggestions that the United States should push for a new government in Tehran.

Riedel noted that the USA was no longer playing the role it has traditionally occupied in the Middle East. "We need to wait and see what China will do, what Japan will do". As much as $33 billion in payments were made.

Here are six of the firms that will be hit-or not, depending on the details that are still to come.

Iran insists its nuclear program is for civilian use and denies supporting extremism.

While he has committed to remaining in the nuclear agreement, French President Emmanuel Macron floated the idea of a supplemental deal on Iran during a recent visit to Washington.

Iran's ruling mullahs scored an enormous victory in that agreement. When importers of Iranian oil join the sanctions, it will have a significant impact.

Iran's foreign minister Mohammad Javad Zarif launched a diplomatic tour last week to talk the nuclear deal with counterparts, following the USA withdrawal. Zarif and Lavrov also conferred on ways to deal with the legal, economic and political aspects of the United States pull-out of the JCPOA. Considering these factors, the ripple effects may not be as serious as expected. He has visited Russian Federation and China, the two other signatory nations, in a bid to bolster support. Washington's radical measure will be a great shock to not only South Korea but many other countries doing business with Iran.