United States President Donald Trump has launched a threat of massive\neconomic sanctions against countries still maintaining trade relations\nwith Iran. Via the Truth Social platform on Saturday (22\/8), Trump\ndescribed the move as the most devastating economic operation ever\ndirected against a country. Trump stressed that Washington would apply\neconomic pressure and isolation on an unprecedented scale. Responding to\nthis, Iranian Foreign Minister Abbas Araghchi assessed Trump\u2019s statement\nas merely an attempt to divert attention from America\u2019s internal crises,\nincluding swelling debt and surging interest costs.<\/p>\n
As an OPEC member, crude oil is the backbone of Iran\u2019s economy.\nBefore the conflict heated up, Iran was able to export 1.3 million to\n1.5 million barrels per day (bpd) with revenues reaching US$3.45 billion\nper month. However, military escalation and the closure of the Strait of\nHormuz in March triggered a ship blockade by the US. Data shows a\nsignificant impact on Iran\u2019s oil trade volume throughout the current\nyear.<\/p>\n
Governor of the Central Bank of Iran, Abdolnaser Hemmati, confirmed a\nsharp decline in non-oil trade. In the period from 21 March to 16\nAugust, the value of Iran\u2019s non-oil exports was recorded at US$15\nbillion, while imports reached US$17 billion. Overall, Iran\u2019s total\ntrade slumped 24% compared to the previous year.<\/p>\n
Although the United Arab Emirates has announced an indefinite\nembargo, a number of countries such as China, Turkey and Pakistan\ncontinue to maintain trade relations. Frederic Schneider of the Middle\nEast Council on Global Affairs noted that China still absorbs most of\nIran\u2019s oil exports, which had touched a record 1.7 million bpd through\ninformal channels.<\/p>\n
International law expert Shantanu Singh explained that legally, the\nUS does not have the authority to impose a total embargo without\nauthorisation from the UN Security Council. Unilateral US sanctions are\nonly effective in restricting the use of financial institutions and the\nUS dollar system.<\/p>\n
Trump\u2019s efforts to isolate Iran completely are predicted to face a\ndead end at the multilateral level. As permanent members of the UN\nSecurity Council, Russia and China hold veto rights that can cancel any\ninternational embargo resolution proposed by Washington.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/trump-threatens-countries-aiding-iran-how-effective-are-us-sanctions-1787392228", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }