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Title : Iran Prepares For Economic War Against The U.S.
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Iran Prepares For Economic War Against The U.S.

A gas flare on an oil production platform in the Soroush oil fields is seen alongside an Iranian flag in the Persian Gulf, Iran, July 25, 2005. REUTERS/Raheb Homavandi//File Photo

The Economist: Iran braces for economic war with America

Will the coming crunch destabilise the regime?

TEHRAN’S grand bazaar, a weathervane of politics, is on strike again. Shutdowns there foreshadowed Iran’s 1979 revolution. In 2012 they pushed the government into talks that eventually resulted in a deal, signed in 2015, that restricted Iran’s nuclear efforts in exchange for sanctions relief. And Donald Trump’s pull-out from that deal on May 8th drew an instant reaction from traders, who sense something ominous. “Tehran feels like it did before...1979,” says Pejman Abdolmohammadi, an Iranian lecturer at the London School of Economics.

Iran’s business world was already glum. America’s continued curbs on dollar transactions had muted the effect of the lifting of global sanctions in January 2016. But now, merchants say, America is moving from containing the regime to trying to change it. Mr Trump has told firms worldwide that they have three to six months to cut ties with Iran or face sanctions, too. Oil exports, which rose as a result of the deal, are already falling. Maersk, the world’s largest shipping line, no longer takes orders for Iranian oil. South Korea has cut oil imports from Iran by 40%.

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WNU Editor: It looks like the Iranian regime is about to get a big break .... Europe, China, Russia discussing new deal for Iran: newspaper (Reuters)

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