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US Sanctions on Iran
In a 2018 interview with Stephen Colbert, former president Jimmy Carter said that “sanctions exhaust rulers, and hurt the people.” More recently, the maximum pressure policy on Iran of former President Donald Trump marked a shift from Carter’s view on U.S. sanctions. The Carter Administration did coincide with the collapse of U.S.-Iranian relations. At the time, however, both countries had reasons to be hopeful. Here is some information about U.S. sanctions on Iran amid the novel coronavirus.

The Fall of the Shah and Jimmy Carter

The U.S. was pressuring Tehran to demolish despotism, and the Shah was compliant. The Nixon doctrine, a doctrine that stressed military support for authoritarian proxies as an impediment to the spread of communism, was eroding.

Despite these transformations, shows like “60 Minutes” were exposing the Shah’s human rights abuses. The most salient of these abuses was the SAVAK, a clandestine police and intelligence service devoted to the torture and murder of suspected communists, which the U.S. funded.

Additionally, the shah had more focus on military strength than social and economic reforms. In hindsight, the Iranian revolution and the collapse of U.S.-Iranian relations may seem inevitable. Critics of Carter argue that his failure to save the hostages signaled the death knell of his Administration.

The Obama Sanctions and the JCPOA

Since that time, the chasm between both countries has grown wider. Washington and Tehran have been rapidly heading toward collision; disaster feels imminent. During the Obama Administration, the U.S. imposed sanctions on the sale of oil and the funding of Iran’s nuclear program. The intent was to bring Iranian officials to the negotiating table.

In 2012, Obama deemed the “grinding” of the Iranian economy a success. During this time, the value of Iran’s currency plummeted. From 2011-2012, the rial lost 38% of its value, deterring many corporations from doing business with Tehran and plunging the economy into economic isolation.

In 2015, the P5+1—the U.S., Germany, China, Russia, France and the U.K.—reached an agreement that would ease U.S. sanctions on Iran in return for restrictions on its nuclear program. This agreement became known as the Joint Comprehensive Plan of Action (JCPOA) or colloquially as the nuclear deal. The International Atomic Energy Agency praised the deal. CIA director, John Brennan, and former national security advisor, Zbigniew Brzezinski, voiced their support for it.

Trump’s Withdrawal from the JCPOA

In 2018, President Trump withdrew from the JCPOA, famously calling it the “worst deal ever.” Critics of the deal argue that in spite of the deal Iran continues to provide support to various terrorist proxies, such as Hezbollah, the Houthis and the Badr Corps, in addition to the Assad government. As Iran’s sphere of influence burgeons in the Arab world, Tehran draws nearer to the Saudi Kingdom’s sphere of influence. Saudi Arabia has been an ally of the U.S. since World War II. Critics of the deal also contend that a sunset clause will leave open the possibility of Iran continuing its nuclear program in the future.

Now, after pressuring the U.N. to multilaterally reimpose sanctions, the Trump Administration has prolonged the arms embargo previously scheduled to end on Oct. 18, 2020. The administration has also reinstated U.S. sanctions on uranium enrichment and ballistic missile development.

The Impact of the Sanctions on Iran’s Coronavirus Response

As the value of the rial continues to dwindle and inflation continues to soar, the price of food and medicine is skyrocketing. In addition, U.S. sanctions have impaired Iran’s ability to afford humanitarian supplies amid the novel coronavirus. Relief International is providing tens of thousands of masks, coveralls and test kits to frontline workers, as well as giving thousands of hand sanitizer bottles to Afghan refugee camps in Iran to mitigate this dire situation. At the moment, the death count in Iran due to COVID-19 is over 60,000.

Conclusion

U.S. sanctions impinge on Iran’s response to the novel coronavirus. From the revolution until now, amicability between Iran and the U.S. has deteriorated. The Iranian people are the victims of this decay. Today, the Iranian economy is suffering from the novel coronavirus, while Iranian and U.S. officials continuously make accusations toward one another.

Blake Dysinger
Photo: Flickr

US Is Extending Iran Sanctions ReliefOn September 28, 2017, White House officials announced that the U.S. is extending sanctions relief for Iran implemented by the 2015 Iran nuclear deal, also known as the Joint Comprehensive Plan of Action (JCPOA). The nuclear deal was coordinated by the international community and ended crippling economic sanctions against Iran by the United States, European Union and United Nations, in exchange for Iran reducing its nuclear capabilities for 10 years and limiting uranium enrichment for 15 years. According to the International Atomic Energy Agency, Iran has been upholding its end of the deal.

The relief from key economic sanctions under the JCPOA plays an important role in Iran’s future economic sustainability. The sanctions on Iran’s nuclear program limited the nation’s ability to engage in trade and its access to oil revenue and international financial institutions. This contributed to a recession in 2012 and 2013 that saw Iran’s GDP growth decline by 6.6 percent in 2012. Inflation rose to over 30 percent, resulting in dramatic price hikes in food and basic necessities, and more than a fifth of the country was left unemployed.

Though the Iran deal is still in its infancy, it has already had significant impacts on Iran’s economy. World Bank estimates place Iran GDP growth at 6.4 percent and is projected to grow by over 4 percent from 2017-2019. Projections by the World Bank show significant boosts in oil production and other industries and potential growth in women’s employment.

The Iran deal also has the potential to fuel Iran’s development goals. Sanctions were lifted a month before Iran’s parliamentary elections and were touted as a significant victory of Iran’s moderate leadership. The elections resulted in large gains for development-minded moderates and economic reformers and significant losses for Iranian conservatives.

However, the sanctions relief for Iran remain controversial stateside. Though President Trump has chosen to continue maintaining the Iran deal, he has called the Iran deal “one of the worst deals” in history, and signaled that the U.S. is extending Iran sanctions relief temporarily and may withdraw or renegotiate the deal come October.

Furthermore, President Trump and Secretary of State Rex Tillerson believe that Iran is not complying with “the spirit” of the deal due to its ballistic missile tests, cyber activities and continued backing of terrorist groups, though no clause in the JCPOA forbids Iran from engaging in these actions. Nonetheless, the White House announced new sanctions outside of the Iran deal on several Iranian individuals and entities connected to malicious Iranian cyber activities.

Carson Hughes

Photo: Flickr