The US ambassador to Germany has warned of sanctions against firms linked to the Nord Stream 2 gas pipeline from Russia, the American embassy in Berlin confirmed Sunday.

A letter envoy Richard Grenell sent to several businesses "reminds that any company operating in the Russian energy export pipeline sector... is in danger under CAATSA of US sanctions," an embassy spokesman told AFP.

The Countering America's Adversaries Through Sanctions Act (CAATSA) adopted in 2017 targets Iran, Russia, and North Korea.

Close Donald Trump ally Grenell's letter "is not meant to be a threat, but a clear message of US policy," the spokesman said.

"The only thing that could be considered blackmail in this situation would be the Kremlin having leverage over future gas supplies," he said.

Construction has already begun on Nord Stream 2, set to double the capacity of an existing pipeline across the Baltic Sea.

Firms including Germany's Wintershall and Uniper, Dutch-British Shell, France's Engie and Austria's OMV are involved in the project.

Combined with the planned TurkStream pipeline across the Black Sea, Nord Stream 2 would do away with the need to transport natural gas to Europe via Ukraine — robbing the country of a factor shielding it from Russian aggression, Grenell said.

The two countries are in conflict over the eastern part of Ukraine and the annexation of the Crimean peninsula by Russia in 2014.

"Firms supporting the construction of the two pipelines are actively undermining the security of Ukraine and Europe," Grenell wrote.

Washington's fears about the pipeline are shared by a number of eastern European Union countries including Poland, and the European Parliament last month passed a resolution condemning the construction.

But German Chancellor Angela Merkel, backed by France and Austria, has so far insisted it is a "purely economic project" that will ensure cheaper, more reliable gas supply.

The veteran leader — a key player in Moscow-Kiev peace talks — says Ukrainian interests will be protected as some Russian gas will still be transported via the country once Nord Stream 2 is online.

German Foreign Minister Heiko Maas also weighed in on the transatlantic row last week, saying "European energy policy should be decided in Europe, not in the United States." 
&nbsp;

A letter envoy Richard Grenell sent to several businesses 'reminds that any company operating in the Russian energy export pipeline sector... is in danger under CAATSA of US sanctions,' an embassy spokesman said.

The US ambassador to Germany has warned of sanctions against firms linked to the Nord Stream 2 gas pipeline from Russia, the American embassy in Berlin confirmed Sunday. A letter envoy Richard Grenell sent to several businesses "reminds that any company operating in the Russian energy export pipeline sector... is in danger under CAATSA of US sanctions," an embassy spokesman told AFP. The Countering America's Adversaries Through Sanctions Act (CAATSA) adopted in 2017 targets Iran, Russia, and North Korea. Close Donald Trump ally Grenell's letter "is not meant to be a threat, but a clear message of US policy," the spokesman said. "The only thing that could be considered blackmail in this situation would be the Kremlin having leverage over future gas supplies," he said. Construction has already begun on Nord Stream 2, set to double the capacity of an existing pipeline across the Baltic Sea. Firms including Germany's Wintershall and Uniper, Dutch-British Shell, France's Engie and Austria's OMV are involved in the project. Combined with the planned TurkStream pipeline across the Black Sea, Nord Stream 2 would do away with the need to transport natural gas to Europe via Ukraine — robbing the country of a factor shielding it from Russian aggression, Grenell said. The two countries are in conflict over the eastern part of Ukraine and the annexation of the Crimean peninsula by Russia in 2014. "Firms supporting the construction of the two pipelines are actively undermining the security of Ukraine and Europe," Grenell wrote. Washington's fears about the pipeline are shared by a number of eastern European Union countries including Poland, and the European Parliament last month passed a resolution condemning the construction. But German Chancellor Angela Merkel, backed by France and Austria, has so far insisted it is a "purely economic project" that will ensure cheaper, more reliable gas supply. The veteran leader — a key player in Moscow-Kiev peace talks — says Ukrainian interests will be protected as some Russian gas will still be transported via the country once Nord Stream 2 is online. German Foreign Minister Heiko Maas also weighed in on the transatlantic row last week, saying "European energy policy should be decided in Europe, not in the United States."

US threatens sanctions over Russia-Germany gas pipeline

All countries that were granted waivers from the <a href="http://www.wionews.com/world/donald-trump-us-president-marks-another-year-of-controversies-185674">United States</a> to continue buying a certain amount of Iranian oil imports are complying with <a href="http://www.wionews.com/world/us-sanctions-wont-change-iran-policies-javad-zarif-184363">US sanctions</a>, a senior Iranian energy official said, noting that Tehran was hopeful to find new buyers.

The United States withdrew from a nuclear deal with Iran last year and snapped sanctions in place to choke Iran’s oil and banking industries, while temporarily allowing eight customers to keep buying crude from the Islamic Republic.

"China, India, Japan, South Korea and other countries that were granted waivers from America to import Iranian oil are not willing to buy even one barrel more from Iran," Amir Hossein Zamaninia, Iran’s deputy oil minister for trade and international affairs, was quoted as saying by the Oil Ministry's news agency SHANA.

However, without giving details, Zamaninia said: "Despite US pressures on Iranian oil market, the number of potential buyers of Iranian oil has significantly increased due to a competitive market, greed and pursuit of more profit."

The 180-day exemptions were also granted to Italy, Greece, Taiwan and Turkey.

Washington seeks to bring Iranian oil exports to zero in order to curb Tehran's missile and nuclear programmes and counter its growing military and political influence in the Middle East.

Iran has urged European countries, which are still committed to the nuclear deal, to oppose the sanctions by creating a financial mechanism that facilitates payments of Iranian oil sales.

Zamaninia said the mechanism, known as SPV (Special Purpose Vehicle for trade), would be "helpful but could not resolve the problems since US influence will affect any European action".

All countries that were granted waivers from the United States to continue buying a certain amount of Iranian oil imports are complying with US sanctions, a senior Iranian energy official said, noting that Tehran was hopeful to find new buyers.

All countries that were granted waivers from the United States to continue buying a certain amount of Iranian oil imports are complying with US sanctions, a senior Iranian energy official said, noting that Tehran was hopeful to find new buyers. The United States withdrew from a nuclear deal with Iran last year and snapped sanctions in place to choke Iran’s oil and banking industries, while temporarily allowing eight customers to keep buying crude from the Islamic Republic. "China, India, Japan, South Korea and other countries that were granted waivers from America to import Iranian oil are not willing to buy even one barrel more from Iran," Amir Hossein Zamaninia, Iran’s deputy oil minister for trade and international affairs, was quoted as saying by the Oil Ministry's news agency SHANA. However, without giving details, Zamaninia said: "Despite US pressures on Iranian oil market, the number of potential buyers of Iranian oil has significantly increased due to a competitive market, greed and pursuit of more profit." The 180-day exemptions were also granted to Italy, Greece, Taiwan and Turkey. Washington seeks to bring Iranian oil exports to zero in order to curb Tehran's missile and nuclear programmes and counter its growing military and political influence in the Middle East. Iran has urged European countries, which are still committed to the nuclear deal, to oppose the sanctions by creating a financial mechanism that facilitates payments of Iranian oil sales. Zamaninia said the mechanism, known as SPV (Special Purpose Vehicle for trade), would be "helpful but could not resolve the problems since US influence will affect any European action".

Iran says despite US sanctions, it has found new 'potential' oil buyers

India's finance ministry has exempted rupee payments made to the National Iranian Oil Co (NIOC) for crude oil imports from a steep withholding tax, according to a government order reviewed by Reuters.

The exemption, put in place December 28 but backdated to November 5, will allow Indian refiners to settle about $1.5 billion of outstanding payments to NIOC. Those have been building up since Tehran was put under stringent US sanctions in early November.

The two countries on November 2 signed a bilateral agreement to settle oil trades through an Indian government-owned bank, UCO Bank, in the Indian currency, which is not freely traded on international markets.&nbsp;

However, the income of a foreign company that is deposited in an Indian bank account is subject to a withholding tax of 40 per cent plus other levies, leading to a total take by the authorities of 42.5 per cent.

That made the agreement unworkable for Iran and led to the freeze in payments by the refiners until the exemption could be introduced.

Iran will be able to use the rupee funds for a range of expenses - including&nbsp;imports from India, the cost of its missions in the country, direct investment in Indian projects, and its financing of Iranian students in India, according to another government document reviewed by Reuters. It can also invest the funds in Indian government debt securities.

"In the previous round of sanctions Iran was allowed to use funds for imports from India but this time we have expanded the scope for use of funds to benefit both nations," said an Indian government official, who declined to be named because of the sensitivity of the issue.

The move may help India fix its trade balance, which is currently tilted in favour of Iran.

PAYMENTS TO START SOON

The tax exemption order, though, only refers to crude oil. That means it does not apply to imports of other commodities, such as fertiliser, liquefied petroleum gas and wax.

India, Iran`s top oil client after China, has turned to paying for Iranian oil in rupees as major banking channels dealing in global currencies are closed off by the US sanctions.

"Passing of this notification eases constraints for Indian refiners to make payment," said Sanjay Sudhir, joint Secretary in India`s oil ministry.

An official from India`s top refiner and Iran`s top customer in the country, Indian Oil Corp, said his company would start making payments to Iran from January.

The finance ministry did not respond to a request for comment. Indian Oil Corp and UCO Bank also did not respond.

Last month, the United States introduced the sanctions aimed at crippling Iran`s oil revenue-dependent economy because of its nuclear and ballistic missile programmes and its support for militant proxies in the Middle East.&nbsp;

Washington did, though, give a six-month waiver from sanctions to eight nations, including India, and allowed them to import some Iranian oil.

India`s overall imports from Iran totalled about $11 billion in April-November 2018, with oil accounting for about 90 per cent of the imports.

Iran will be able to register as a foreign portfolio investor, allowing it to invest in Indian government debt.

The direct investment provision could help Iran in participating in Indian oil refiner Chennai Petroleum Corp Ltd`s expansion plans. Iran owns 15.4 per cent of the company.

Iran which used to be the third biggest oil supplier to India slipped to No. 6 in November, according to ship-tracking data and industry sources.

India's finance ministry has exempted rupee payments made to the National Iranian Oil Co (NIOC) for crude oil imports from a steep withholding tax, according to a government order reviewed by Reuters.

India's finance ministry has exempted rupee payments made to the National Iranian Oil Co (NIOC) for crude oil imports from a steep withholding tax, according to a government order reviewed by Reuters. The exemption, put in place December 28 but backdated to November 5, will allow Indian refiners to settle about $1.5 billion of outstanding payments to NIOC. Those have been building up since Tehran was put under stringent US sanctions in early November. The two countries on November 2 signed a bilateral agreement to settle oil trades through an Indian government-owned bank, UCO Bank, in the Indian currency, which is not freely traded on international markets. However, the income of a foreign company that is deposited in an Indian bank account is subject to a withholding tax of 40 per cent plus other levies, leading to a total take by the authorities of 42.5 per cent. That made the agreement unworkable for Iran and led to the freeze in payments by the refiners until the exemption could be introduced. Iran will be able to use the rupee funds for a range of expenses - including imports from India, the cost of its missions in the country, direct investment in Indian projects, and its financing of Iranian students in India, according to another government document reviewed by Reuters. It can also invest the funds in Indian government debt securities. "In the previous round of sanctions Iran was allowed to use funds for imports from India but this time we have expanded the scope for use of funds to benefit both nations," said an Indian government official, who declined to be named because of the sensitivity of the issue. The move may help India fix its trade balance, which is currently tilted in favour of Iran. PAYMENTS TO START SOON The tax exemption order, though, only refers to crude oil. That means it does not apply to imports of other commodities, such as fertiliser, liquefied petroleum gas and wax. India, Iran`s top oil client after China, has turned to paying for Iranian oil in rupees as major banking channels dealing in global currencies are closed off by the US sanctions. "Passing of this notification eases constraints for Indian refiners to make payment," said Sanjay Sudhir, joint Secretary in India`s oil ministry. An official from India`s top refiner and Iran`s top customer in the country, Indian Oil Corp, said his company would start making payments to Iran from January. The finance ministry did not respond to a request for comment. Indian Oil Corp and UCO Bank also did not respond. Last month, the United States introduced the sanctions aimed at crippling Iran`s oil revenue-dependent economy because of its nuclear and ballistic missile programmes and its support for militant proxies in the Middle East. Washington did, though, give a six-month waiver from sanctions to eight nations, including India, and allowed them to import some Iranian oil. India`s overall imports from Iran totalled about $11 billion in April-November 2018, with oil accounting for about 90 per cent of the imports. Iran will be able to register as a foreign portfolio investor, allowing it to invest in Indian government debt. The direct investment provision could help Iran in participating in Indian oil refiner Chennai Petroleum Corp Ltd`s expansion plans. Iran owns 15.4 per cent of the company. Iran which used to be the third biggest oil supplier to India slipped to No. 6 in November, according to ship-tracking data and industry sources.

India exempts rupee payments for Iran oil from hefty taxes: Government order

The arrival of the USS John C Stennis aircraft carrier group in the Gulf to deter Iran from further testing ballistic missiles is likely to dampen Indian hopes that the Trump administration’s exemption of the port of Chabahar from sanctions against the Islamic republic would help it tighten economic relations with Central Asia and further regional integration.

The group’s presence in the Gulf, the first by a US aircraft carrier in eight months, came amid mounting tension between the United States and Iran following the Trump administration’s withdrawal from the 2015 international agreement that curbed Iran’s nuclear programme and the imposition of harsh sanctions against the Islamic republic. It raised the spectre of a potential military conflagration.

The deployment for a period of two months coincided with a suicide attack on a Revolutionary Guards headquarters in Chabahar that killed two people and wounded 40 others.

Saudi and Iranian media reported that Ansar al-Furqan, a shadowy Iranian Sunni jihadi group that Iran claims is supported by the kingdom as well as the United States and Israel, had claimed responsibility for the attack.

Saudi pan-Arab daily Asharq Al-Awsat asserted that the attack “reflects the anger harboured by the (city’s Baloch) minority against the government.” The paper said the Iranian government had expelled thousands of Baloch families from Chabahar and replaced them with Persians in a bid to change its demography. It asserted that Iran was granting nationality to Afghan Shiites who had fought in Syria and Iraq and was moving them to Chabahar.

The paper went on to say that “anti-regime Baloch movements have recently intensified their operations against Tehran in an attempt to deter it from carrying out its plan to expel and marginalise the Baloch from their ancestral regions.”

Saudi Arabia, a staunch supporter of the US’s confrontational approach towards Iran, has pumped large amounts of money into militant, ultraconservative Sunni Muslim anti-Shiite and anti-Iranian religious seminaries along the border between the Pakistani province of Balochistan and the Iranian province of Sistan and Baluchistan that is home to Chabahar, according to militants.

The funding was designed to create the building blocks for a potential covert effort to destabilise Iran by stirring unrest among its ethnic minorities.

The deployment was, according to US officials in response to Iran’s test-firing of a ballistic missile capable of carrying multiple warheads. The US sanctions are in part designed to force Iran to drop its development of ballistic missiles. Iranian officials insist the missiles program is defensive in nature.

&nbsp;“We are accumulating risk of escalation in the region if we fail to restore deterrence,” said US Secretary of State Mike Pompeo.

The spectre of increased military tension in the Gulf with the arrival of the aircraft carrier group and of potentially Saudi and US-backed political violence in Iran and a troubling security situation in Afghanistan threatened to diminish the impact of Washington’s granting Indian investment in Chabahar an exemption from its economic sanctions against Iran.

Indian and Iranian officials fear that the United States’ stepped up military posture and heightened tensions could undermine their efforts to turn Chabahar, which sits at the top of the Arabian Sea, into a hub for trade between India and Central Asia rendering the US waiver worthless.

The officials have their hopes pinned on efforts to engineer a peace process in Afghanistan. US special envoy Zalmay Khalilzad alongside representatives of the UAE, Saudi Arabia and Pakistan met this week with the Taliban. The talks are intended to negotiate an end to Afghanistan’s 17-year old war.

An Afghan government delegation, in what diplomats saw as a sign of progress, hovered in the corridors but did not take part in the meeting because of the Taliban’s insistence that it will only talk to the United States. Talks with the Taliban have so far stalled because of the group’s insistence on a timetable for the withdrawal of all foreign troops from Afghanistan.

US officials said the aircraft carrier group, beyond seeking to deter Iran, would also support the US war effort in Afghanistan where the United States has ramped up airstrikes in an effort to press the Taliban into peace talks.

The talks were an opportunity, particularly for Saudi Arabia, whose utility as an ally is being questioned by the US Congress in the wake of the October 2 killing of journalist Jamal Khashoggi in the Saudi consulate in Istanbul, and Pakistan, which the United States accuses of supporting the Taliban, to demonstrate their utility.

US President Donald Trump asked Pakistani prime minister Imran Khan in a letter earlier this month to help bring the Taliban to the negotiating table.

While Saudi Arabia and Pakistan have an interest in using their close ties to the Taliban to help forge an end to the Afghan war, it's not immediately clear that they want to see reduced tensions facilitate the emergence of Chabahar as an Indian-backed hub.

A Saudi think tank, the Arabian Gulf Centre for Iranian Studies (AGCIS) renamed the International Institute of Iranian Studies that is believed to be backed by Saudi crown prince Mohammed bin Salman, argued in a study last year that Chabahar posed “a direct threat to the Arab Gulf states” that called for “immediate countermeasures.”

Written by Mohammed Hassan Husseinbor, identified as an Iranian political researcher, the study warned that Chabahar posed a threat because it would enable Iran to increase greater market share in India for its oil exports at the expense of Saudi Arabia, raise foreign investment in the Islamic republic, increase government revenues, and allow Iran to project power in the Gulf and the Indian Ocean.

Noting the vast expanses of Iran’s Sistan and Baluchistan province, Husseinbor went on to say that “It would be a formidable challenge, if not impossible, for the Iranian government to protect such long distances and secure Chabahar in the face of widespread Baluch opposition, particularly if this opposition is supported by Iran’s regional adversaries and world powers.”

Similarly, Pakistan is heavily invested in Gwadar, the Chinese-backed port in Balochistan that is a crown jewel of the $45 billion-plus China Pakistan Economic Corridor (CPEC), a pillar of the People’s Republic’s Belt and Road initiative. Gwadar is a mere 70 kilometres up the coast from Chabahar.

"Pakistan sees India as an existential threat and the idea of India being in any way present on Pakistan's western flank in Afghanistan will always raise alarm bells in Islamabad," said South Asia scholar Michael Kugelman.

If the arrival of the USS John C Stennis aircraft carrier group in the Gulf heralds heightened tension, Pakistan may have less reason to worry. 
 
(Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

The arrival of the USS John C Stennis aircraft carrier group in the Gulf to deter Iran from further testing ballistic missiles is likely to dampen Indian hopes that the Trump administration’s exemption of the port of Chabahar from sanctions against the Islamic republic would help it tighten economic relations with Central Asia and further regional integration.

The arrival of the USS John C Stennis aircraft carrier group in the Gulf to deter Iran from further testing ballistic missiles is likely to dampen Indian hopes that the Trump administration’s exemption of the port of Chabahar from sanctions against the Islamic republic would help it tighten economic relations with Central Asia and further regional integration. The group’s presence in the Gulf, the first by a US aircraft carrier in eight months, came amid mounting tension between the United States and Iran following the Trump administration’s withdrawal from the 2015 international agreement that curbed Iran’s nuclear programme and the imposition of harsh sanctions against the Islamic republic. It raised the spectre of a potential military conflagration. The deployment for a period of two months coincided with a suicide attack on a Revolutionary Guards headquarters in Chabahar that killed two people and wounded 40 others. Saudi and Iranian media reported that Ansar al-Furqan, a shadowy Iranian Sunni jihadi group that Iran claims is supported by the kingdom as well as the United States and Israel, had claimed responsibility for the attack. Saudi pan-Arab daily Asharq Al-Awsat asserted that the attack “reflects the anger harboured by the (city’s Baloch) minority against the government.” The paper said the Iranian government had expelled thousands of Baloch families from Chabahar and replaced them with Persians in a bid to change its demography. It asserted that Iran was granting nationality to Afghan Shiites who had fought in Syria and Iraq and was moving them to Chabahar. The paper went on to say that “anti-regime Baloch movements have recently intensified their operations against Tehran in an attempt to deter it from carrying out its plan to expel and marginalise the Baloch from their ancestral regions.” Saudi Arabia, a staunch supporter of the US’s confrontational approach towards Iran, has pumped large amounts of money into militant, ultraconservative Sunni Muslim anti-Shiite and anti-Iranian religious seminaries along the border between the Pakistani province of Balochistan and the Iranian province of Sistan and Baluchistan that is home to Chabahar, according to militants. The funding was designed to create the building blocks for a potential covert effort to destabilise Iran by stirring unrest among its ethnic minorities. The deployment was, according to US officials in response to Iran’s test-firing of a ballistic missile capable of carrying multiple warheads. The US sanctions are in part designed to force Iran to drop its development of ballistic missiles. Iranian officials insist the missiles program is defensive in nature. “We are accumulating risk of escalation in the region if we fail to restore deterrence,” said US Secretary of State Mike Pompeo. The spectre of increased military tension in the Gulf with the arrival of the aircraft carrier group and of potentially Saudi and US-backed political violence in Iran and a troubling security situation in Afghanistan threatened to diminish the impact of Washington’s granting Indian investment in Chabahar an exemption from its economic sanctions against Iran. Indian and Iranian officials fear that the United States’ stepped up military posture and heightened tensions could undermine their efforts to turn Chabahar, which sits at the top of the Arabian Sea, into a hub for trade between India and Central Asia rendering the US waiver worthless. The officials have their hopes pinned on efforts to engineer a peace process in Afghanistan. US special envoy Zalmay Khalilzad alongside representatives of the UAE, Saudi Arabia and Pakistan met this week with the Taliban. The talks are intended to negotiate an end to Afghanistan’s 17-year old war. An Afghan government delegation, in what diplomats saw as a sign of progress, hovered in the corridors but did not take part in the meeting because of the Taliban’s insistence that it will only talk to the United States. Talks with the Taliban have so far stalled because of the group’s insistence on a timetable for the withdrawal of all foreign troops from Afghanistan. US officials said the aircraft carrier group, beyond seeking to deter Iran, would also support the US war effort in Afghanistan where the United States has ramped up airstrikes in an effort to press the Taliban into peace talks. The talks were an opportunity, particularly for Saudi Arabia, whose utility as an ally is being questioned by the US Congress in the wake of the October 2 killing of journalist Jamal Khashoggi in the Saudi consulate in Istanbul, and Pakistan, which the United States accuses of supporting the Taliban, to demonstrate their utility. US President Donald Trump asked Pakistani prime minister Imran Khan in a letter earlier this month to help bring the Taliban to the negotiating table. While Saudi Arabia and Pakistan have an interest in using their close ties to the Taliban to help forge an end to the Afghan war, it's not immediately clear that they want to see reduced tensions facilitate the emergence of Chabahar as an Indian-backed hub. A Saudi think tank, the Arabian Gulf Centre for Iranian Studies (AGCIS) renamed the International Institute of Iranian Studies that is believed to be backed by Saudi crown prince Mohammed bin Salman, argued in a study last year that Chabahar posed “a direct threat to the Arab Gulf states” that called for “immediate countermeasures.” Written by Mohammed Hassan Husseinbor, identified as an Iranian political researcher, the study warned that Chabahar posed a threat because it would enable Iran to increase greater market share in India for its oil exports at the expense of Saudi Arabia, raise foreign investment in the Islamic republic, increase government revenues, and allow Iran to project power in the Gulf and the Indian Ocean. Noting the vast expanses of Iran’s Sistan and Baluchistan province, Husseinbor went on to say that “It would be a formidable challenge, if not impossible, for the Iranian government to protect such long distances and secure Chabahar in the face of widespread Baluch opposition, particularly if this opposition is supported by Iran’s regional adversaries and world powers.” Similarly, Pakistan is heavily invested in Gwadar, the Chinese-backed port in Balochistan that is a crown jewel of the $45 billion-plus China Pakistan Economic Corridor (CPEC), a pillar of the People’s Republic’s Belt and Road initiative. Gwadar is a mere 70 kilometres up the coast from Chabahar. "Pakistan sees India as an existential threat and the idea of India being in any way present on Pakistan's western flank in Afghanistan will always raise alarm bells in Islamabad," said South Asia scholar Michael Kugelman. If the arrival of the USS John C Stennis aircraft carrier group in the Gulf heralds heightened tension, Pakistan may have less reason to worry. (Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

Chabahar port: Stepped up US military posture in Gulf threatens India's interests

North Korea on Sunday condemned the US&nbsp;administration for stepping up sanctions and pressure on <a href="http://www.wionews.com/world/north-korea-still-maintaining-ballistic-missile-sites-us-think-tank-176984">the nuclear-armed country</a>, warning of a return to "exchanges of fire" and that disarming Pyongyang could be blocked forever.

The North's stinging response came after the United States said on Monday it had introduced sanctions on three North Korean officials, including a top aide to North Korean leader Kim Jong Un, for alleged human rights abuses.

Denuclearising North Korea has made little progress since Kim Jong Un and US&nbsp;President Donald Trump met in Singapore in June in a historic summit. The two sides have yet to reschedule working-level talks between US&nbsp;Secretary of State Mike Pompeo and senior North Korean official Kim Yong Chol, which were cancelled abruptly in November.

While crediting Trump for his "willingness" to improve relations with the North, also known as DPRK, Pyongyang accused the US&nbsp;State Department of being "bent on bringing the DPRK-US&nbsp;relations back to the status of last year which was marked by exchanges of fire."

North Korea's foreign ministry said in a statement that Washington had taken "sanctions measures for as many as eight times against the companies, individuals and ships of not only the DPRK but also Russia, China and other third countries..."

If the US&nbsp;administration believed that heightened sanctions and pressure would force Pyongyang to abandon its nuclear weapons, "it will count as (its) greatest miscalculation, and it will block the path to denuclearisation on the Korean peninsula forever - a result desired by no one," according to the statement.

The foreign ministry statement was released under the name of the policy research director of the Institute for American Studies.

North Korea on Sunday condemned the US administration for stepping up sanctions and pressure on the nuclear-armed country, warning of a return to "exchanges of fire" and that disarming Pyongyang could be blocked forever.

North Korea on Sunday condemned the US administration for stepping up sanctions and pressure on the nuclear-armed country, warning of a return to "exchanges of fire" and that disarming Pyongyang could be blocked forever. The North's stinging response came after the United States said on Monday it had introduced sanctions on three North Korean officials, including a top aide to North Korean leader Kim Jong Un, for alleged human rights abuses. Denuclearising North Korea has made little progress since Kim Jong Un and US President Donald Trump met in Singapore in June in a historic summit. The two sides have yet to reschedule working-level talks between US Secretary of State Mike Pompeo and senior North Korean official Kim Yong Chol, which were cancelled abruptly in November. While crediting Trump for his "willingness" to improve relations with the North, also known as DPRK, Pyongyang accused the US State Department of being "bent on bringing the DPRK-US relations back to the status of last year which was marked by exchanges of fire." North Korea's foreign ministry said in a statement that Washington had taken "sanctions measures for as many as eight times against the companies, individuals and ships of not only the DPRK but also Russia, China and other third countries..." If the US administration believed that heightened sanctions and pressure would force Pyongyang to abandon its nuclear weapons, "it will count as (its) greatest miscalculation, and it will block the path to denuclearisation on the Korean peninsula forever - a result desired by no one," according to the statement. The foreign ministry statement was released under the name of the policy research director of the Institute for American Studies.

Denuclearisation is at risk, warns North Korea; condemns UN sanctions

The United States on Monday imposed sanctions on three North Korean officials as it called the regime's human rights record among the world's worst, in an abrupt shift from <a href="http://www.wionews.com/world/trump-will-grant-kim-jong-uns-wishes-after-denuclearisation-south-korea-president-181032">President Donald Trump</a>'s efforts to woo the regime.

In actions required by Congress, the Trump administration said it would seize any US assets of Choe Ryong Hae, described as the right-hand man of <a href="http://www.wionews.com/world/satellite-images-show-activity-at-north-korean-missile-base-report-181786">leader Kim Jong Un</a>, and two others over their roles in suppression of freedom of speech.

"Standing up for such rights and freedoms is a foreign policy priority that represents the best traditions of the United States," State Department spokesman Robert Palladino said.

"Human rights abuses in North Korea remain among the worst in the world and include extrajudicial killings, forced labour, torture, prolonged arbitrary detention, rape, forced abortions and other sexual violence," he said.

The State Department is required by a 2016 law to produce a report on North Korean human rights for Congress twice a year.

But its submission on Monday -- International Human Rights Day -- was the first since October 2017 as Trump championed diplomacy with North Korea that focused squarely on its nuclear program.

"The United States has consistently condemned the North Korean regime for its flagrant and egregious abuses of human rights and fundamental freedoms, and this administration will continue to take action against human rights abusers around the globe," Treasury Secretary Steven Mnuchin said in a statement announcing the sanctions.

Trump, however, has openly played down human rights concerns when preserving relationships with allies, notably Saudi Arabia.

The sanctions will seize any assets of the three officials in the United States and ban any US-based financial transactions with them.

Such restrictions may have little impact on officials in one of the world's most closed countries but will have a clear symbolic force as North Korea seeks greater acceptance by the United States.

Kim and Trump held the first-of-a-kind summit in June in Singapore as North Korea seeks a historic declaration of the end of the 1950-53 Korean War.

Trump, who saw the summit as a highlight in his foreign affairs record, has said that he and Kim are "in love" and as recently as this month voiced respect for the North Korean leader.

But Trump's hopes of arranging a follow-up summit have been at a standstill, with the North Koreans abruptly calling off a meeting in New York last month with Secretary of State Mike Pompeo.

North Korea has been insisting on a relaxation of wide-ranging sanctions on the country, while the United States said that the UN Security Council should only ease pressure once Pyongyang takes concrete steps to end its nuclear program.

Choe is a lifetime confidant of Kim's father, Kim Jong Il, and in the past has been described as the effective number-two in controlling the military.

He is often trusted to make foreign trips or deliver high-profile announcements. At a major military parade last year, he warned that North Korea was ready to "beat down enemies with the power of nuclear justice."

When Choe briefly vanished from official media in 2014, North Korea watchers feared he suffered a fate similar to Kim's uncle, Jang Song Thaek, who was executed as a traitor, but Choe quickly re-emerged in prominent roles.

The Treasury Department noted that Choe is head of the ruling Workers Party's Organization and Guidance Department, which enforces ideological discipline and ensures that all officials keep in line.

Another of the officials targeted was Jong Kyong Thaek, the minister of state security, which is in charge of counter-intelligence operations.

The third sanctioned official was Pak Kwang Ho, who is involved in widespread censorship as director of the Propaganda and Agitation Department.

The United States on Monday imposed sanctions on three North Korean officials as it called the regime's human rights record among the world's worst, in an abrupt shift from President Donald Trump's efforts to woo the regime.

The United States on Monday imposed sanctions on three North Korean officials as it called the regime's human rights record among the world's worst, in an abrupt shift from President Donald Trump's efforts to woo the regime. In actions required by Congress, the Trump administration said it would seize any US assets of Choe Ryong Hae, described as the right-hand man of leader Kim Jong Un, and two others over their roles in suppression of freedom of speech. "Standing up for such rights and freedoms is a foreign policy priority that represents the best traditions of the United States," State Department spokesman Robert Palladino said. "Human rights abuses in North Korea remain among the worst in the world and include extrajudicial killings, forced labour, torture, prolonged arbitrary detention, rape, forced abortions and other sexual violence," he said. The State Department is required by a 2016 law to produce a report on North Korean human rights for Congress twice a year. But its submission on Monday -- International Human Rights Day -- was the first since October 2017 as Trump championed diplomacy with North Korea that focused squarely on its nuclear program. "The United States has consistently condemned the North Korean regime for its flagrant and egregious abuses of human rights and fundamental freedoms, and this administration will continue to take action against human rights abusers around the globe," Treasury Secretary Steven Mnuchin said in a statement announcing the sanctions. Trump, however, has openly played down human rights concerns when preserving relationships with allies, notably Saudi Arabia. The sanctions will seize any assets of the three officials in the United States and ban any US-based financial transactions with them. Such restrictions may have little impact on officials in one of the world's most closed countries but will have a clear symbolic force as North Korea seeks greater acceptance by the United States. Kim and Trump held the first-of-a-kind summit in June in Singapore as North Korea seeks a historic declaration of the end of the 1950-53 Korean War. Trump, who saw the summit as a highlight in his foreign affairs record, has said that he and Kim are "in love" and as recently as this month voiced respect for the North Korean leader. But Trump's hopes of arranging a follow-up summit have been at a standstill, with the North Koreans abruptly calling off a meeting in New York last month with Secretary of State Mike Pompeo. North Korea has been insisting on a relaxation of wide-ranging sanctions on the country, while the United States said that the UN Security Council should only ease pressure once Pyongyang takes concrete steps to end its nuclear program. Choe is a lifetime confidant of Kim's father, Kim Jong Il, and in the past has been described as the effective number-two in controlling the military. He is often trusted to make foreign trips or deliver high-profile announcements. At a major military parade last year, he warned that North Korea was ready to "beat down enemies with the power of nuclear justice." When Choe briefly vanished from official media in 2014, North Korea watchers feared he suffered a fate similar to Kim's uncle, Jang Song Thaek, who was executed as a traitor, but Choe quickly re-emerged in prominent roles. The Treasury Department noted that Choe is head of the ruling Workers Party's Organization and Guidance Department, which enforces ideological discipline and ensures that all officials keep in line. Another of the officials targeted was Jong Kyong Thaek, the minister of state security, which is in charge of counter-intelligence operations. The third sanctioned official was Pak Kwang Ho, who is involved in widespread censorship as director of the Propaganda and Agitation Department.

US sanctions top Kim aides over North Korea human rights record

Iran's President Hassan Rouhani said US sanctions were "economic terrorism", as he sought to foster a united front from visiting regional officials on Saturday.&nbsp;

Addressing parliament speakers from Afghanistan, China, Pakistan, Russia and Turkey, Rouhani said they had all suffered economic pressure from the US.

"We are facing an all-out assault which is not only threatening our independence and identity but also is bent on breaking our longstanding ties," he said.

Washington has reimposed an oil embargo and other damaging sanctions on Iran since withdrawing in May from a landmark 2015 nuclear deal between Tehran and major powers.&nbsp;

"America's unjust and illegal sanctions against the honourable nation of Iran have targeted our nation in a clear instance of terrorism," Rouhani said.&nbsp;

"Economic terrorism is designed to create panic in the economy of a country and fear in other countries in order to prevent investment."

The conference in Tehran was a second annual meeting of parliament speakers focused on terrorism and regional cooperation. The first was held last December in Islamabad.

Most participating countries have faced harsh sanctions and other economic pressure as part of the Trump administration's use of trade as a diplomatic weapon.&nbsp;

A <a href="http://www.wionews.com/opinions/g20-summit-bring-a-truce-in-us-china-trade-relations-181105">brief truce</a>&nbsp;in Trump's trade war with China was again in doubt this week after the&nbsp;<a href="http://www.wionews.com/world/huaweis-meng-wanzhou-faces-us-fraud-charges-linked-to-iran-bail-hearing-continues-monday-182324">arrest of Chinese telecom giant Huawei's chief financial officer,</a> who was detained in Canada to face fraud charges in the US.&nbsp;

Washington has continued to pile fresh sanctions on Russia that began over its military intervention in Ukraine, while Turkey also faced penalties this year over the detention of an American pastor.&nbsp;

'We are all punished'&nbsp;

Trump has also cancelled hundreds of millions of dollars in aid to Pakistan, accusing it of failing to crack down on militancy.

"When they put pressure on China's trade, we are all harmed... By punishing Turkey, we are all punished. Any time they threaten Russia, we too consider our security to be endangered," Rouhani said.

"When they impose sanctions on Iran, they deprive all of us of the benefits of international trade, energy security and sustainable development. And in fact, they impose sanctions on everyone.

"We are here to say that we don't intend to tolerate such insolence."

Rouhani warned Europe which has strongly objected to the US withdrawal from the nuclear deal&nbsp;that much is at stake in its efforts to bypass US sanctions and maintain trade with Iran.

"They should know that by sanctioning Iran, they would harm our ability to fight drugs and terrorism," Rouhani said, referring to Iran's efforts to combat smuggling, particularly from Afghanistan.&nbsp;

The European Union is working on a payment system, known as the "special purpose vehicle", to keep money flowing into Iran, but has struggled to find a host since many countries fear repercussions from the Trump administration.&nbsp;

Iran's President Hassan Rouhani said US sanctions were "economic terrorism", as he sought to foster a united front from visiting regional officials on Saturday. Addressing parliament speakers from Afghanistan, China, Pakistan, Russia and Turkey, Rouhani said they had all suffered economic pressure from the US.

Iran's President Hassan Rouhani said US sanctions were "economic terrorism", as he sought to foster a united front from visiting regional officials on Saturday. Addressing parliament speakers from Afghanistan, China, Pakistan, Russia and Turkey, Rouhani said they had all suffered economic pressure from the US. "We are facing an all-out assault which is not only threatening our independence and identity but also is bent on breaking our longstanding ties," he said. Washington has reimposed an oil embargo and other damaging sanctions on Iran since withdrawing in May from a landmark 2015 nuclear deal between Tehran and major powers. "America's unjust and illegal sanctions against the honourable nation of Iran have targeted our nation in a clear instance of terrorism," Rouhani said. "Economic terrorism is designed to create panic in the economy of a country and fear in other countries in order to prevent investment." The conference in Tehran was a second annual meeting of parliament speakers focused on terrorism and regional cooperation. The first was held last December in Islamabad. Most participating countries have faced harsh sanctions and other economic pressure as part of the Trump administration's use of trade as a diplomatic weapon. A brief truce in Trump's trade war with China was again in doubt this week after the arrest of Chinese telecom giant Huawei's chief financial officer, who was detained in Canada to face fraud charges in the US. Washington has continued to pile fresh sanctions on Russia that began over its military intervention in Ukraine, while Turkey also faced penalties this year over the detention of an American pastor. 'We are all punished' Trump has also cancelled hundreds of millions of dollars in aid to Pakistan, accusing it of failing to crack down on militancy. "When they put pressure on China's trade, we are all harmed... By punishing Turkey, we are all punished. Any time they threaten Russia, we too consider our security to be endangered," Rouhani said. "When they impose sanctions on Iran, they deprive all of us of the benefits of international trade, energy security and sustainable development. And in fact, they impose sanctions on everyone. "We are here to say that we don't intend to tolerate such insolence." Rouhani warned Europe which has strongly objected to the US withdrawal from the nuclear deal that much is at stake in its efforts to bypass US sanctions and maintain trade with Iran. "They should know that by sanctioning Iran, they would harm our ability to fight drugs and terrorism," Rouhani said, referring to Iran's efforts to combat smuggling, particularly from Afghanistan. The European Union is working on a payment system, known as the "special purpose vehicle", to keep money flowing into Iran, but has struggled to find a host since many countries fear repercussions from the Trump administration.

Iran seeks regional front against US 'economic terrorism'

US Vice President Mike Pence on Saturday warned that US sanctions and pressure on China would remain in place until Beijing reforms its trade practices.

"We've put tariffs on $250 billion in Chinese goods and that number could more than double," he told CEOs from around the region.

"We hope for better, but the United States will not change course until China changes its ways.''

Meanwhile, Pence also said the United States will join forces with Australia in the development of a new naval base to be built in Papua New Guinea.

"The United States will partner with Papua New Guinea and Australia on their joint initiative at Lombrum Naval Base," Pence said ahead of a regional summit. "We will work with these two nations to protect the sovereignty and maritime rights in the Pacific Islands. "

Pence's remark comes a day after President Donald Trump on Friday said that <a href="http://www.wionews.com/world/trump-opens-door-to-trade-deal-with-china-soon-177793">he might not punish China with more import tariffs</a> as the country has shown willingness to make a deal to defuse trade tensions.&nbsp;

"China wants to make a deal," Trump told reporters. "They sent a list of things that they are willing to do," news agency AFP quoted the president.

(With inputs from agencies)&nbsp;

US Vice President Mike Pence on Saturday warned that US sanctions and pressure on China would remain in place until Beijing reforms its trade practices. "We've put tariffs on $250 billion in Chinese goods and that number could more than double," he told CEOs from around the region.

US Vice President Mike Pence on Saturday warned that US sanctions and pressure on China would remain in place until Beijing reforms its trade practices. "We've put tariffs on $250 billion in Chinese goods and that number could more than double," he told CEOs from around the region. "We hope for better, but the United States will not change course until China changes its ways.'' Meanwhile, Pence also said the United States will join forces with Australia in the development of a new naval base to be built in Papua New Guinea. "The United States will partner with Papua New Guinea and Australia on their joint initiative at Lombrum Naval Base," Pence said ahead of a regional summit. "We will work with these two nations to protect the sovereignty and maritime rights in the Pacific Islands. " Pence's remark comes a day after President Donald Trump on Friday said that he might not punish China with more import tariffs as the country has shown willingness to make a deal to defuse trade tensions. "China wants to make a deal," Trump told reporters. "They sent a list of things that they are willing to do," news agency AFP quoted the president. (With inputs from agencies)

US sanctions to remain until China reforms its trade practices: Pence

Iran and Iraq could raise their annual bilateral trade to US $20 billion from the current level of US $12 billion, President Hassan Rouhani said on Saturday, amid concerns in Tehran over the economic impact of renewed US&nbsp;sanctions.

Rouhani's remarks, made after a meeting with visiting Iraqi President Barham Salih, came about two weeks after the United States restored sanctions targeting Iran’s key oil industry as well as its banking and transportation sectors.

"... through bilateral efforts, we can raise this figure (for bilateral trade) to US $20 billion in the near future," Rouhani said in comments broadcast live on Iranian state television.

"We held talks on trade in electricity, gas, petroleum products and activities ... in the field of oil exploration and extraction," Rouhani said.

Iraqi officials told Reuters last week that Iraq had agreed to trade Iraqi food items in return for Iranian gas and energy supplies.

Baghdad is seeking US&nbsp;approval to allow it to import Iranian gas for its power stations. Iraqi officials say they needs more time to find an alternative source than a 45-day waiver granted to it by the United States.

"It will be important to create free trade zones at our shared border and to connect the two countries' railways," Salih said.

"We will not forget your support for the Iraqi people in the fight against (Iraqi dictator) Saddam (Hussein). Neither do we forget Iran's stand in the recent fight against terrorism," added Salih, an Iraqi Kurd.

Iran wields wide influence in Iraq, its smaller Arab neighbour, where its Revolutionary Guards played a key role in training and arming the mainly Shi’ite militias that helped defeat Islamic State.

Iraq imports a wide range of goods from Iran, including food, agricultural products, home appliances, air conditioners and spare car parts. The goods element of Iranian imports to Iraq was worth about US $6 billion in the 12 months ending March 2018, or about 15 per cent of Iraq’s total imports for 2017.

Energy contracts also contribute to the total volume of bilateral trade.

Iraqi central bank officials said in August that their country’s economy was closely linked to non-Arab Iran, which is engaged in several proxy wars with Saudi Arabia in the region.

Iran and Iraq could raise their annual bilateral trade to US $20 billion from the current level of US $12 billion, President Hassan Rouhani said on Saturday, amid concerns in Tehran over the economic impact of renewed US sanctions.

Iran and Iraq could raise their annual bilateral trade to US $20 billion from the current level of US $12 billion, President Hassan Rouhani said on Saturday, amid concerns in Tehran over the economic impact of renewed US sanctions. Rouhani's remarks, made after a meeting with visiting Iraqi President Barham Salih, came about two weeks after the United States restored sanctions targeting Iran’s key oil industry as well as its banking and transportation sectors. "... through bilateral efforts, we can raise this figure (for bilateral trade) to US $20 billion in the near future," Rouhani said in comments broadcast live on Iranian state television. "We held talks on trade in electricity, gas, petroleum products and activities ... in the field of oil exploration and extraction," Rouhani said. Iraqi officials told Reuters last week that Iraq had agreed to trade Iraqi food items in return for Iranian gas and energy supplies. Baghdad is seeking US approval to allow it to import Iranian gas for its power stations. Iraqi officials say they needs more time to find an alternative source than a 45-day waiver granted to it by the United States. "It will be important to create free trade zones at our shared border and to connect the two countries' railways," Salih said. "We will not forget your support for the Iraqi people in the fight against (Iraqi dictator) Saddam (Hussein). Neither do we forget Iran's stand in the recent fight against terrorism," added Salih, an Iraqi Kurd. Iran wields wide influence in Iraq, its smaller Arab neighbour, where its Revolutionary Guards played a key role in training and arming the mainly Shi’ite militias that helped defeat Islamic State. Iraq imports a wide range of goods from Iran, including food, agricultural products, home appliances, air conditioners and spare car parts. The goods element of Iranian imports to Iraq was worth about US $6 billion in the 12 months ending March 2018, or about 15 per cent of Iraq’s total imports for 2017. Energy contracts also contribute to the total volume of bilateral trade. Iraqi central bank officials said in August that their country’s economy was closely linked to non-Arab Iran, which is engaged in several proxy wars with Saudi Arabia in the region.

Rouhani sees Iran, Iraq expanding trade despite US sanctions

By Tom Harper

As the US begins to enforce what are possibly the strongest sanctions on Iran to date, headlines have been dominated by the bellicose rhetoric of the Trump administration and Tehran. This comes on the heels of Washington’s withdrawal from the Joint Comprehensive Plan of Action (JCPOA) negotiated by Trump’s predecessor, Barack Obama, alongside Britain, France, Russia and China.

The marked difference between the latest sanctions and previous rounds has been the criticism of them voiced by European states, who previously had accepted what had been imposed by Washington. So has US unlateralism gone too far?

While the most recent round of sanctions aims to put further pressure on Tehran for regime change and to support American regional allies, such as Israel and Saudi Arabia, they also have an indirect beneficiary in the form of the US’s biggest global rival, China. And this has wider implications for the region.

The Middle Kingdom meets the Middle East

While European firms have explored ways to circumvent American sanctions or seek waivers, the threat of sanctions is likely to scare away many firms from doing business in the country. This will leave a void that China is likely to fill. As a result, Chinese firms will gain a near monopoly on Iranian oil and trade.

While Chinese imports of Iranian oil have initially experienced a slight decline, it is possible that this is one of Beijing’s ploys to see whether deals serving China’s interests are offered by an increasingly isolated Iran. For while Iran has been receptive to Chinese investment in the past, it has equally sought European investment to balance this out and to prevent China from playing too dominant a role in the country. The sanctions have now made China’s dominance all the more likely.

China increasingly is building its influence in a region that has traditionally been dominated by the US. This may see Tehran become more amenable to Chinese global initiatives, such as the Belt and the Road Initiative (BRI) and the Shanghai Cooperation Organisation (SCO).

The former is likely to see further Eurasian integration under China’s watch, while the latter, as a loose military alliance, is likely to be attractive to Iran as a deterrent to regime change.

But while these moves follow the common pattern of Chinese foreign policy, most notably Beijing’s willingness to take greater risks and conduct business in shunned nations, they have wider implications for the region and the wider world.

The way of Mao

Beijing has long been adept at exploiting developments in the international system for its own benefit – and Iran is the latest example of this. In this case, it is filling the void left by European firms that have been scared off by the threat of sanctions.

This raises questions about the utility of sanctions at a time when they have become a cornerstone of the Trump administration’s diplomatic arsenal. While there have been cases of sanctions being successful, most notably in ending apartheid rule in South Africa, they have rarely succeeded in changing state behaviour in recent years.

But possibly the most significant implication is how sanctions have led to widespread de-dollarisation, whereby the dominant global status of the dollar has been challenged. Since sanctioned states are no longer attached to the established system, it is easier for them to adopt an alternative way of operating. An example is the Petro Yuan – whereby China’s oil imports have been priced in yuan rather than in dollars – which has been adopted by oil-rich states targeted by sanctions, most notably Russia and Venezuela. The sanctions on Iran will only exacerbate this process.

The Petro Yuan is evidence that China is challenging the established US-centric system and seeks to provide an alternative. This is reminiscent of Mao Zedong’s strategies for guerrilla warfare, where an insurgent seeks to make the government irrelevant over a long period of time before overthrowing it. By building ties with sanctioned nations and creating alternative international institutions, China is deploying a similar strategy on a global scale in an effort to bypass the&nbsp;US.

As a result of this, there has also been wider Sino-Russian cooperation, such as in Syria. There, China is poised to play a role in rebuilding the country alongside Russia’s military assistance to it, having found common ground in their concerns over Islamic militancy .

Russia and China were also signatories of the Iran deal and have been dissatisfied with Washington’s abandonment of it. Trump’s present strategies have often been described as a “reverse Nixon”, seeking further ties with Russia to counter China. But the situation in Iran is more likely to see China and Russia jointly challenge the US.

By withdrawing from the deal, Trump has also split the Western world and while it is easy to turn Iran away from the table, it will be tougher to get it back there.

What next?

As a result of these developments, China has become one of the wild cards of the Middle East, challenging and changing the established system there. This also questions the utility of sanctions in the long-term since nations under longstanding sanctions are more open to alternative systems.

By providing an alternative, China seeks to challenge the established system by making it irrelevant. While China has abandoned Mao’s ideology, his strategies continue to be influential.

While the sanctions were seen as an attempt to preserve American dominance in the region, they will have consequences that will indirectly challenge this. This is one US play that could badly misfire.

(Tom Harper is Doctoral Researcher in Politics, University of Surrey) 
 
(This article was originally published on The Conversation. Read the <a href="https://theconversation.com/iran-how-us-sanctions-are-strengthening-chinas-global-power-106564">original article</a>)

(Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

&nbsp;

By Tom Harper As the US begins to enforce what are possibly the strongest sanctions on Iran to date, headlines have been dominated by the bellicose rhetoric of the Trump administration and Tehran.

By Tom Harper As the US begins to enforce what are possibly the strongest sanctions on Iran to date, headlines have been dominated by the bellicose rhetoric of the Trump administration and Tehran. This comes on the heels of Washington’s withdrawal from the Joint Comprehensive Plan of Action (JCPOA) negotiated by Trump’s predecessor, Barack Obama, alongside Britain, France, Russia and China. The marked difference between the latest sanctions and previous rounds has been the criticism of them voiced by European states, who previously had accepted what had been imposed by Washington. So has US unlateralism gone too far? While the most recent round of sanctions aims to put further pressure on Tehran for regime change and to support American regional allies, such as Israel and Saudi Arabia, they also have an indirect beneficiary in the form of the US’s biggest global rival, China. And this has wider implications for the region. The Middle Kingdom meets the Middle East While European firms have explored ways to circumvent American sanctions or seek waivers, the threat of sanctions is likely to scare away many firms from doing business in the country. This will leave a void that China is likely to fill. As a result, Chinese firms will gain a near monopoly on Iranian oil and trade. While Chinese imports of Iranian oil have initially experienced a slight decline, it is possible that this is one of Beijing’s ploys to see whether deals serving China’s interests are offered by an increasingly isolated Iran. For while Iran has been receptive to Chinese investment in the past, it has equally sought European investment to balance this out and to prevent China from playing too dominant a role in the country. The sanctions have now made China’s dominance all the more likely. China increasingly is building its influence in a region that has traditionally been dominated by the US. This may see Tehran become more amenable to Chinese global initiatives, such as the Belt and the Road Initiative (BRI) and the Shanghai Cooperation Organisation (SCO). The former is likely to see further Eurasian integration under China’s watch, while the latter, as a loose military alliance, is likely to be attractive to Iran as a deterrent to regime change. But while these moves follow the common pattern of Chinese foreign policy, most notably Beijing’s willingness to take greater risks and conduct business in shunned nations, they have wider implications for the region and the wider world. The way of Mao Beijing has long been adept at exploiting developments in the international system for its own benefit – and Iran is the latest example of this. In this case, it is filling the void left by European firms that have been scared off by the threat of sanctions. This raises questions about the utility of sanctions at a time when they have become a cornerstone of the Trump administration’s diplomatic arsenal. While there have been cases of sanctions being successful, most notably in ending apartheid rule in South Africa, they have rarely succeeded in changing state behaviour in recent years. But possibly the most significant implication is how sanctions have led to widespread de-dollarisation, whereby the dominant global status of the dollar has been challenged. Since sanctioned states are no longer attached to the established system, it is easier for them to adopt an alternative way of operating. An example is the Petro Yuan – whereby China’s oil imports have been priced in yuan rather than in dollars – which has been adopted by oil-rich states targeted by sanctions, most notably Russia and Venezuela. The sanctions on Iran will only exacerbate this process. The Petro Yuan is evidence that China is challenging the established US-centric system and seeks to provide an alternative. This is reminiscent of Mao Zedong’s strategies for guerrilla warfare, where an insurgent seeks to make the government irrelevant over a long period of time before overthrowing it. By building ties with sanctioned nations and creating alternative international institutions, China is deploying a similar strategy on a global scale in an effort to bypass the US. As a result of this, there has also been wider Sino-Russian cooperation, such as in Syria. There, China is poised to play a role in rebuilding the country alongside Russia’s military assistance to it, having found common ground in their concerns over Islamic militancy . Russia and China were also signatories of the Iran deal and have been dissatisfied with Washington’s abandonment of it. Trump’s present strategies have often been described as a “reverse Nixon”, seeking further ties with Russia to counter China. But the situation in Iran is more likely to see China and Russia jointly challenge the US. By withdrawing from the deal, Trump has also split the Western world and while it is easy to turn Iran away from the table, it will be tougher to get it back there. What next? As a result of these developments, China has become one of the wild cards of the Middle East, challenging and changing the established system there. This also questions the utility of sanctions in the long-term since nations under longstanding sanctions are more open to alternative systems. By providing an alternative, China seeks to challenge the established system by making it irrelevant. While China has abandoned Mao’s ideology, his strategies continue to be influential. While the sanctions were seen as an attempt to preserve American dominance in the region, they will have consequences that will indirectly challenge this. This is one US play that could badly misfire. (Tom Harper is Doctoral Researcher in Politics, University of Surrey) (This article was originally published on The Conversation. Read the original article) (Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

How US sanctions are strengthening China’s global power

By Gary Grappo

Washington’s latest round of sanctions on Iran’s primary hard currency earner will be felt not only by the Iranian government but also by Iranians. Previous sanctions, imposed after Washington withdrew from the Joint Comprehensive Plan of Action (JCPOA) in May 2018, had already begun to take a bite out of Iran’s economy, costing the Islamic Republican estimated loss of more than $2 billion in revenue. Undoubtedly, it has been a contributing factor in the recent spiral of the Iranian rial, down against the dollar by approximately 75 &nbsp;per cent since 2017.

Tehran has been down this road before. US sanctions, much of which had been endorsed by the UN Security Council in the period leading up to the negotiation and signing of the JCPOA, had been so painful for Iran that it finally agreed to come to the negotiating table with the P5+1 countries (China, France, Germany, Russia, the UK and the US) and ultimately accepted restrictions on its nuclear weapons development program. The fact that Tehran has not reneged on the nuclear deal in spite of Washington’s withdrawal is a testament to the devastating impact that global sanctions can have on its economy and its desire to forestall sanctions broader than those reimposed by Washington.

Nevertheless, US sanctions are impossible to ignore by Iran or any other country. Any country, bank or enterprise risks its US-based operations — not to mention access to America’s outsized market — in doing business with Iran or an Iranian entity falling under the sanctions. Despite the unwillingness of the other P5+1 countries to follow Washington’s lead, their businesses and banks cannot afford to risk secondary sanctions. They will comply by withdrawing their business with or in Iran, cancelling contracts or shutting down financial dealings with Iranian banks.

Almighty Dollar

How does Washington get away with it? What makes the imposition of US sanctions so problematic for any country, entity or person on the receiving end of America’s financial wrath? The answer isn’t just the size of America’s economy — US GDP is nearly a quarter of global GDP. More often, it’s the “almighty” US dollar. In 2017, the dollar accounted for 85 per cent of global trade based on the value of letters of credit issued, up from 81 per cent two years earlier. The US currency is involved in nearly nine out of every 10 transactions in the daily $5.1-trillion foreign exchange market, according to 2016 data from the Bank for International Settlements. The greenback also accounts for 62 per cent of global reserves. As Iran learned prior to 2015 and will now experience again, it’s nearly impossible to do business in the world today without recourse to the dollar.

And for Tehran, it’s getting worse. SWIFT — Society for Worldwide Interbank Financial Telecommunications — a Belgium-based messaging network that financial institutions use to securely transmit information and instructions worldwide, announced that it too is severing its relations with Iran’s banks. The move will effectively cut those banks off from the global financial system. Since the vast majority of SWIFT’s transactions are in dollars, it had no choice.

Iran isn’t alone in the bullseye of American sanctions. The US Treasury Department currently enforces 29 active sanctions programs, targeting countries like Russia, Belarus, North Korea, Venezuela, Cuba, Zimbabwe, Yemen, Syria, Libya and others, as well as various criminal organizations, individuals and businesses throughout the world, for an assortment of sanctionable violations of US human rights, drug trafficking, money laundering, terrorism, human trafficking, weapons sales, cyber warfare and other laws. Sanctions have become America’s go-to tool for extending territoriality of its laws, and the US economy and the dollar give it the ability to do it.

However, Washington faces increasing challenges in its resort to sanctions, not just as they apply to Iran, but also to US economic interests around the globe. First, Washington’s withdrawal from the Iran nuclear deal was unpopular and opposed by nearly all of its allies, including the other members of the P5+1. To date, none have withdrawn, nor are they expected to do so. That means that there is little hope of achieving what the Obama administration had done — a UN Security Council resolution imposing global sanctions on Iran. So, as painful as US sanctions are likely to be for Iran, they are unlikely to approach the levels experienced in the period leading up to the signing of the JCPOA.

Washington now asserts that it expects Iran to comply with a 12-point list of demands, articulated by Secretary of State Mike Pompeo in May. It’s not a bad list of Iran’s misbehaviour both in the region and around the world. But it goes far beyond anything envisioned by the US and the other P5+1 members who, in 2015, focused on limiting Iran’s nuclear program. So, with fewer countries joining Washington’s sanctions, how is the Trump administration counting on the Iranians to give up more than they did in 2015? “More with less” once was a clever slogan in American politics, but it’s been proven unsuccessful. In this case, Iran is much more likely to weather these current sanctions, however painfully, than it was those imposed through 2015.

Second, Tehran has managed to accomplish a long-sought objective — drive a wedge between the US and its closest allies in Europe. In order to keep the US in the JCPOA, the European countries had shown considerable willingness to ratchet up non-nuclear sanctions on Iran and push for extending the deadlines in the nuclear agreement beyond their current 10-15 year deadlines before they came up for review. Yet the Trump administration bowed to its campaign promises and to its base — and withdrew. Trump had effectively gotten the bargain he wanted from the Europeans and instead went for the two birds in the bush and not the one he had in his hand.

Powerful weapon

Now, the EU is seeking to set up a separate mechanism that would allow Iran and businesses and banks with which it deals, including oil customers, to work through a different financial clearing system. Known as the Special Purpose Vehicle, or SPV, it could have a much greater impact than the immediate goal of freeing Iran from Washington’s financial grip. Longer term, one could envision its use by China, Russia and other currently sanctioned states, entities and individuals to dodge US sanctions and work outside the US-led system. To be sure, setting up such a mechanism will be long and difficult, presenting all sorts of unforeseen challenges to global businesses, banks and governments. But in this age of instant financial transactions governed by algorithms and technology, the global economic and financial system has shown itself to be adaptable to the vicissitudes of international politics.

This raises the third risk to America’s use of sanctions when its allies are not on board. Such overuse and misuse will mean diminishing America’s and the world’s abilities to punish those who act outside acceptable bounds of international behaviour. Causes such as protecting human rights, combatting terrorism and drug trafficking, and stemming proliferation, among others, will all suffer as violators turn to new means to avoid constraints and pursue efforts to destabilize and disrupt.

Finally, sanctions not adequately coordinated with other major economic powers, especially the EU, Japan and South Korea, can upset financial markets, currency trading and international trade. The global economy is better at adjusting when the sanctions are clear and enforceable, meaning other major nations act in concert with the US and not in opposition. Last summer, after the US imposed sanctions on Turkey, European bank stocks took a beating. Had the trade controls and sanctions been better coordinated with America’s European allies, the sell-off might have been mitigated.

Sanctions remain a powerful weapon in the US arsenal, one which it wields almost unilaterally among world powers. But their effect — to ensure global order by limiting the ability of bad actors to skirt international norms, and punishing them when they do — will be diluted if the Trump administration continues to pursue a go-it-alone approach. Their impact is exponentially greater when Washington convinces other economic powers to work with it.

(Gary Grappo is a former US ambassador and a distinguished fellow at the Center for Middle East Studies at the Korbel School for International Studies)

(This article was originally published on Fair Observer. Read the <a href="https://www.fairobserver.com/region/middle_east_north_africa/donald-trump-us-sanctions-iran-economy-oil-exports-nuclear-deal-news-65172/">original article</a>)

(Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

By Gary Grappo Washington’s latest round of sanctions on Iran’s primary hard currency earner will be felt not only by the Iranian government but also by Iranians.

By Gary Grappo Washington’s latest round of sanctions on Iran’s primary hard currency earner will be felt not only by the Iranian government but also by Iranians. Previous sanctions, imposed after Washington withdrew from the Joint Comprehensive Plan of Action (JCPOA) in May 2018, had already begun to take a bite out of Iran’s economy, costing the Islamic Republican estimated loss of more than $2 billion in revenue. Undoubtedly, it has been a contributing factor in the recent spiral of the Iranian rial, down against the dollar by approximately 75 per cent since 2017. Tehran has been down this road before. US sanctions, much of which had been endorsed by the UN Security Council in the period leading up to the negotiation and signing of the JCPOA, had been so painful for Iran that it finally agreed to come to the negotiating table with the P5+1 countries (China, France, Germany, Russia, the UK and the US) and ultimately accepted restrictions on its nuclear weapons development program. The fact that Tehran has not reneged on the nuclear deal in spite of Washington’s withdrawal is a testament to the devastating impact that global sanctions can have on its economy and its desire to forestall sanctions broader than those reimposed by Washington. Nevertheless, US sanctions are impossible to ignore by Iran or any other country. Any country, bank or enterprise risks its US-based operations — not to mention access to America’s outsized market — in doing business with Iran or an Iranian entity falling under the sanctions. Despite the unwillingness of the other P5+1 countries to follow Washington’s lead, their businesses and banks cannot afford to risk secondary sanctions. They will comply by withdrawing their business with or in Iran, cancelling contracts or shutting down financial dealings with Iranian banks. Almighty Dollar How does Washington get away with it? What makes the imposition of US sanctions so problematic for any country, entity or person on the receiving end of America’s financial wrath? The answer isn’t just the size of America’s economy — US GDP is nearly a quarter of global GDP. More often, it’s the “almighty” US dollar. In 2017, the dollar accounted for 85 per cent of global trade based on the value of letters of credit issued, up from 81 per cent two years earlier. The US currency is involved in nearly nine out of every 10 transactions in the daily $5.1-trillion foreign exchange market, according to 2016 data from the Bank for International Settlements. The greenback also accounts for 62 per cent of global reserves. As Iran learned prior to 2015 and will now experience again, it’s nearly impossible to do business in the world today without recourse to the dollar. And for Tehran, it’s getting worse. SWIFT — Society for Worldwide Interbank Financial Telecommunications — a Belgium-based messaging network that financial institutions use to securely transmit information and instructions worldwide, announced that it too is severing its relations with Iran’s banks. The move will effectively cut those banks off from the global financial system. Since the vast majority of SWIFT’s transactions are in dollars, it had no choice. Iran isn’t alone in the bullseye of American sanctions. The US Treasury Department currently enforces 29 active sanctions programs, targeting countries like Russia, Belarus, North Korea, Venezuela, Cuba, Zimbabwe, Yemen, Syria, Libya and others, as well as various criminal organizations, individuals and businesses throughout the world, for an assortment of sanctionable violations of US human rights, drug trafficking, money laundering, terrorism, human trafficking, weapons sales, cyber warfare and other laws. Sanctions have become America’s go-to tool for extending territoriality of its laws, and the US economy and the dollar give it the ability to do it. However, Washington faces increasing challenges in its resort to sanctions, not just as they apply to Iran, but also to US economic interests around the globe. First, Washington’s withdrawal from the Iran nuclear deal was unpopular and opposed by nearly all of its allies, including the other members of the P5+1. To date, none have withdrawn, nor are they expected to do so. That means that there is little hope of achieving what the Obama administration had done — a UN Security Council resolution imposing global sanctions on Iran. So, as painful as US sanctions are likely to be for Iran, they are unlikely to approach the levels experienced in the period leading up to the signing of the JCPOA. Washington now asserts that it expects Iran to comply with a 12-point list of demands, articulated by Secretary of State Mike Pompeo in May. It’s not a bad list of Iran’s misbehaviour both in the region and around the world. But it goes far beyond anything envisioned by the US and the other P5+1 members who, in 2015, focused on limiting Iran’s nuclear program. So, with fewer countries joining Washington’s sanctions, how is the Trump administration counting on the Iranians to give up more than they did in 2015? “More with less” once was a clever slogan in American politics, but it’s been proven unsuccessful. In this case, Iran is much more likely to weather these current sanctions, however painfully, than it was those imposed through 2015. Second, Tehran has managed to accomplish a long-sought objective — drive a wedge between the US and its closest allies in Europe. In order to keep the US in the JCPOA, the European countries had shown considerable willingness to ratchet up non-nuclear sanctions on Iran and push for extending the deadlines in the nuclear agreement beyond their current 10-15 year deadlines before they came up for review. Yet the Trump administration bowed to its campaign promises and to its base — and withdrew. Trump had effectively gotten the bargain he wanted from the Europeans and instead went for the two birds in the bush and not the one he had in his hand. Powerful weapon Now, the EU is seeking to set up a separate mechanism that would allow Iran and businesses and banks with which it deals, including oil customers, to work through a different financial clearing system. Known as the Special Purpose Vehicle, or SPV, it could have a much greater impact than the immediate goal of freeing Iran from Washington’s financial grip. Longer term, one could envision its use by China, Russia and other currently sanctioned states, entities and individuals to dodge US sanctions and work outside the US-led system. To be sure, setting up such a mechanism will be long and difficult, presenting all sorts of unforeseen challenges to global businesses, banks and governments. But in this age of instant financial transactions governed by algorithms and technology, the global economic and financial system has shown itself to be adaptable to the vicissitudes of international politics. This raises the third risk to America’s use of sanctions when its allies are not on board. Such overuse and misuse will mean diminishing America’s and the world’s abilities to punish those who act outside acceptable bounds of international behaviour. Causes such as protecting human rights, combatting terrorism and drug trafficking, and stemming proliferation, among others, will all suffer as violators turn to new means to avoid constraints and pursue efforts to destabilize and disrupt. Finally, sanctions not adequately coordinated with other major economic powers, especially the EU, Japan and South Korea, can upset financial markets, currency trading and international trade. The global economy is better at adjusting when the sanctions are clear and enforceable, meaning other major nations act in concert with the US and not in opposition. Last summer, after the US imposed sanctions on Turkey, European bank stocks took a beating. Had the trade controls and sanctions been better coordinated with America’s European allies, the sell-off might have been mitigated. Sanctions remain a powerful weapon in the US arsenal, one which it wields almost unilaterally among world powers. But their effect — to ensure global order by limiting the ability of bad actors to skirt international norms, and punishing them when they do — will be diluted if the Trump administration continues to pursue a go-it-alone approach. Their impact is exponentially greater when Washington convinces other economic powers to work with it. (Gary Grappo is a former US ambassador and a distinguished fellow at the Center for Middle East Studies at the Korbel School for International Studies) (This article was originally published on Fair Observer. Read the original article) (Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

Are US sanctions losing their clout?

The United States is reimposing punitive measures targeting the Iranian oil and financial sectors in what US Secretary of State Mike Pompeo called "the toughest sanctions ever placed" against Iran.

Taking effect Monday, the measures are the most concrete result yet of US President Donald Trump's controversial decision in May to abandon the multi-nation nuclear deal with Tehran.

They will directly affect companies from third countries doing business with Iran. They could upset world oil markets, though the US has granted temporary waivers to eight jurisdictions to continue importing Iranian oil.

Iran's supreme leader Ayatollah Ali Khamenei denounced the measures on Saturday, saying Trump had "disgraced" US prestige and would be the ultimate loser in the long-running quarrel between the countries.

The US side was unmoved.&nbsp;

"Sanctions from the United States will be reimposed at midnight tonight," Pompeo told CBS's "Face the Nation." He said what he called "the terror regime" in Tehran must change its ways.

Oil markets on alert&nbsp;

World oil markets were on alert, nervously set to gauge the consequences of the sanctions.

"All eyes will be on Iranian exports, whether there will be some cheating around US sanctions, and on how quickly production will fall," said Riccardo Fabiani, an analyst for Energy Aspects.

Oil is Iran's main source of income. But the sword has two edges: Iran is also the OPEC cartel's third-largest producer.

The US stance has already inflicted serious pain on Iranians, with the country's currency, the rial, losing more than two thirds of its value since May.&nbsp;

Iranian oil exports have fallen by about a million barrels a day in that time, though India and China have continued to purchase it. Most Europeans, as well as Japan and South Korea, have stopped.

Asked if the US had firm commitments from India and China to stop all oil purchases from Iran within six months, Pompeo replied: "Watch what we do. Watch as we've already taken more crude oil off the market than any time in previous history."

Saudi Arabia is the only country with the capacity to make up for lost Iranian oil production.

'Utter disregard'&nbsp;

Hours before the fresh sanctions went ahead, thousands of people in Iran marked the anniversary of the 1979 hostage-taking at the US embassy by carrying placards mocking Trump and burning American flags and fake dollars.

Trump has long argued that the 2015 nuclear deal is badly flawed, in part because its provisions would expire in 10 to 15 years and partly because it does not adequately constrain Iran's destabilizing behavior in the region.

His decision was widely criticized abroad and by Democrats at home, who said that while imperfect, the pact had placed the Iranian nuclear program under the tightest scrutiny ever.

In parallel with the imposition of the crude oil sanctions, the US Treasury Department is placing more than 600 Iranian individuals and entities on a black list.

And Pompeo said that any Iranian banks involved in "sanctionable behavior will be sanctioned by the Department of Treasury, period, full stop."

The European Union has established a mechanism to permit its multinational companies to maintain presences in Iran, but all signs are that the US sanctions will be dissuasive. Both Airbus and Total have announced plans to leave Iran.

A first set of sanctions announced August 7 prompted European automakers Daimler and PSA to quit Iran.

To continue exporting crude oil, Iranian tankers in recent weeks have been turning off their transponders to avoid detection. But satellites have continued to track them.

The United States is reimposing punitive measures targeting the Iranian oil and financial sectors in what US Secretary of State Mike Pompeo called "the toughest sanctions ever placed" against Iran.

The United States is reimposing punitive measures targeting the Iranian oil and financial sectors in what US Secretary of State Mike Pompeo called "the toughest sanctions ever placed" against Iran. Taking effect Monday, the measures are the most concrete result yet of US President Donald Trump's controversial decision in May to abandon the multi-nation nuclear deal with Tehran. They will directly affect companies from third countries doing business with Iran. They could upset world oil markets, though the US has granted temporary waivers to eight jurisdictions to continue importing Iranian oil. Iran's supreme leader Ayatollah Ali Khamenei denounced the measures on Saturday, saying Trump had "disgraced" US prestige and would be the ultimate loser in the long-running quarrel between the countries. The US side was unmoved. "Sanctions from the United States will be reimposed at midnight tonight," Pompeo told CBS's "Face the Nation." He said what he called "the terror regime" in Tehran must change its ways. Oil markets on alert World oil markets were on alert, nervously set to gauge the consequences of the sanctions. "All eyes will be on Iranian exports, whether there will be some cheating around US sanctions, and on how quickly production will fall," said Riccardo Fabiani, an analyst for Energy Aspects. Oil is Iran's main source of income. But the sword has two edges: Iran is also the OPEC cartel's third-largest producer. The US stance has already inflicted serious pain on Iranians, with the country's currency, the rial, losing more than two thirds of its value since May. Iranian oil exports have fallen by about a million barrels a day in that time, though India and China have continued to purchase it. Most Europeans, as well as Japan and South Korea, have stopped. Asked if the US had firm commitments from India and China to stop all oil purchases from Iran within six months, Pompeo replied: "Watch what we do. Watch as we've already taken more crude oil off the market than any time in previous history." Saudi Arabia is the only country with the capacity to make up for lost Iranian oil production. 'Utter disregard' Hours before the fresh sanctions went ahead, thousands of people in Iran marked the anniversary of the 1979 hostage-taking at the US embassy by carrying placards mocking Trump and burning American flags and fake dollars. Trump has long argued that the 2015 nuclear deal is badly flawed, in part because its provisions would expire in 10 to 15 years and partly because it does not adequately constrain Iran's destabilizing behavior in the region. His decision was widely criticized abroad and by Democrats at home, who said that while imperfect, the pact had placed the Iranian nuclear program under the tightest scrutiny ever. In parallel with the imposition of the crude oil sanctions, the US Treasury Department is placing more than 600 Iranian individuals and entities on a black list. And Pompeo said that any Iranian banks involved in "sanctionable behavior will be sanctioned by the Department of Treasury, period, full stop." The European Union has established a mechanism to permit its multinational companies to maintain presences in Iran, but all signs are that the US sanctions will be dissuasive. Both Airbus and Total have announced plans to leave Iran. A first set of sanctions announced August 7 prompted European automakers Daimler and PSA to quit Iran. To continue exporting crude oil, Iranian tankers in recent weeks have been turning off their transponders to avoid detection. But satellites have continued to track them.

US sanctions on Iran, 'toughest ever,' take force today

<a href="http://www.wionews.com/world/world-opposes-every-decision-made-by-trump-irans-khameini-175329">Before US sanctions, Iran's </a><a href="http://www.wionews.com/world/world-opposes-every-decision-made-by-trump-irans-khameini-175329">Khameini</a><a href="http://www.wionews.com/world/world-opposes-every-decision-made-by-trump-irans-khameini-175329"> says 'world opposes every decision made by Trump'</a>

Iran's top leader said on Saturday&nbsp;US&nbsp;President Donald Trump's policies&nbsp;face opposition across the world as Washington prepared to reimpose sanctions on Iran's vital oil-exporting and financial sectors, state television reported.

<a href="http://www.wionews.com/south-asia/asia-bibis-husband-pleads-for-asylum-in-uk-us-175333">Asia Bibi's husband says they are in danger in Pakistan, asks for asylum in </a><a href="http://www.wionews.com/south-asia/asia-bibis-husband-pleads-for-asylum-in-uk-us-175333">UK</a><a href="http://www.wionews.com/south-asia/asia-bibis-husband-pleads-for-asylum-in-uk-us-175333">, US or Canada</a>

Asia Bibi's husband&nbsp;Ashiq Masih&nbsp;pleaded Saturday for asylum in the UK, US or Canada, news reports Sunday said. Masih said they were in danger in Pakistan and that threats had been made to Asia's life. Asia was this week acquitted by Pakistan's Supreme Court of insulting the Prophet Muhammad.&nbsp;

<a href="http://www.wionews.com/india-news/lying-machines-who-fire-off-lies-like-ak-47-modi-on-some-opposition-leaders-175332">Lying machines who fire off lies like AK-47: Modi on 'some opposition leaders'</a>

Prime Minister Narendra Modi said on Saturday that while the opposition parties were joining hands to protect their ruling dynasties, the BJP was working to change the country's destiny. He dubbed some opposition leaders as "lying machines who fire off lies like AK-47".

<a href="http://www.wionews.com/south-asia/asia-bibi-verdict-protests-tlp-chief-senior-leader-booked-for-rioting-175326">Asia Bibi verdict protests: TLP chief, senior leader booked for rioting</a>

Tehreek-e-Labbaik Pakistan (TLP) chief Khadim Rizvi and senior party leader Afzal Qadri were among the 500 people booked on Saturday for rioting and disrupting normal life in various parts of Lahore.

<a href="http://www.wionews.com/world/14-killed-34-injured-in-vehicle-pileup-in-northwest-china-175344">14 killed, 34 injured in vehicle pileup in northwest China</a>

Authorities in China say at least 14 people have been killed and 27 injured in a highway pile-up. The accident Saturday night happened after a heavy truck lost control and crashed into a line of vehicles waiting at a toll station in the northwestern province of Gansu.

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Before US sanctions, Iran's Khameini says 'world opposes every decision made by Trump' Iran's top leader said on Saturday US President Donald Trump's policies face opposition across the world as Washington prepared to reimpose sanctions on Iran's vital oil-exporting and financial sectors, state television reported.

Before US sanctions, Iran's Khameini says 'world opposes every decision made by Trump' Iran's top leader said on Saturday US President Donald Trump's policies face opposition across the world as Washington prepared to reimpose sanctions on Iran's vital oil-exporting and financial sectors, state television reported. Asia Bibi's husband says they are in danger in Pakistan, asks for asylum in UK, US or Canada Asia Bibi's husband Ashiq Masih pleaded Saturday for asylum in the UK, US or Canada, news reports Sunday said. Masih said they were in danger in Pakistan and that threats had been made to Asia's life. Asia was this week acquitted by Pakistan's Supreme Court of insulting the Prophet Muhammad. Lying machines who fire off lies like AK-47: Modi on 'some opposition leaders' Prime Minister Narendra Modi said on Saturday that while the opposition parties were joining hands to protect their ruling dynasties, the BJP was working to change the country's destiny. He dubbed some opposition leaders as "lying machines who fire off lies like AK-47". Asia Bibi verdict protests: TLP chief, senior leader booked for rioting Tehreek-e-Labbaik Pakistan (TLP) chief Khadim Rizvi and senior party leader Afzal Qadri were among the 500 people booked on Saturday for rioting and disrupting normal life in various parts of Lahore. 14 killed, 34 injured in vehicle pileup in northwest China Authorities in China say at least 14 people have been killed and 27 injured in a highway pile-up. The accident Saturday night happened after a heavy truck lost control and crashed into a line of vehicles waiting at a toll station in the northwestern province of Gansu.

News brief: Big stories of the day

America's power and hegemony in the world is declining: Ayatollah Khameni

Iran's supreme leader Ayatollah Ali Khamenei said Saturday that President Donald Trump has "disgraced" US prestige and would be the ultimate loser from renewing sanctions on the Islamic republic.

"This new US president... has disgraced the remnant of America's prestige and that of liberal democracy. America's hard power, that is to say, their economic and military power, is declining too," he said on his Persian Twitter account, quoting a speech in Tehran.

A defiant Khamenei dismissed the renewed US sanctions -- including an oil embargo -- that take effect on Monday.

"The challenge between the US and Iran has lasted for 40 years so far and the US has made various efforts against us: military, economic and media warfare," he said. &nbsp;

"There's a key fact here: in this 40-year challenge, the defeated is the US and the victorious is the Islamic republic."

Trump announced in May he was withdrawing from the 2015 nuclear deal and reimposing sanctions, sparking outrage among world powers who say Iran has been complying with commitments to restrict its atomic programme.

Washington says it wants a new deal with Iran, curtailing its regional interventions and missile programme -- demands which have been flatly rejected by Tehran.

"America's goal in taking all these measures has been to regain the domination it had" prior to Iran's 1979 Islamic revolution that overthrew the pro-Western shah, Khamenei said.

'Self-sufficiency'&nbsp;

The renewed sanctions are designed "to paralyse the (Iran's) economy and keep it backwards. However, it has resulted in encouraging a movement towards self-sufficiency in the country," Khamenei added.

"Our youth, across the country, support independence. Some may not be so religious but they are sensitive towards domination by foreigners."

On Friday, the US said it would add 700 individuals and entities to its Iran blacklist and push the SWIFT global banking network to cut off Tehran as Washington applies "maximum pressure" to cripple the country's economy.

Secretary of State Mike Pompeo said eight countries -- believed to include India, Japan and possibly China -- would be given waivers to continue importing Iranian oil in order to avoid upsetting the global crude market, but only on condition they slow their purchases.

The reimposition of sanctions "is aimed at depriving the regime of the revenues it uses to spread death and destruction around the world", Pompeo said.

"Our ultimate aim is to compel Iran to permanently abandon its well-documented outlaw activities and behave as a normal country."

Britain, France, Germany and the European Union strongly condemned the latest actions from Washington in a joint statement, and have vowed to preserve the nuclear deal, known formally as the Joint Comprehensive Plan of Action (JCPOA).

"The JCPOA is a key element of the global nuclear non-proliferation architecture and of multilateral diplomacy," they said.

"It is crucial for the security of Europe, the region, and the entire world. The JCPOA is working and delivering on its goal."

The US wants Iran to withdraw from war-ravaged Syria, where the Shiite clerical regime is a key ally of President Bashar al-Assad, and end longstanding support to regional militant movements Hezbollah and Hamas, as well as Yemen's Huthi rebels.

Iran's supreme leader Ayatollah Ali Khamenei said Saturday that President Donald Trump has "disgraced" US prestige and would be the ultimate loser from renewing sanctions on the Islamic republic.

Iran's supreme leader Ayatollah Ali Khamenei said Saturday that President Donald Trump has "disgraced" US prestige and would be the ultimate loser from renewing sanctions on the Islamic republic. "This new US president... has disgraced the remnant of America's prestige and that of liberal democracy. America's hard power, that is to say, their economic and military power, is declining too," he said on his Persian Twitter account, quoting a speech in Tehran. A defiant Khamenei dismissed the renewed US sanctions -- including an oil embargo -- that take effect on Monday. "The challenge between the US and Iran has lasted for 40 years so far and the US has made various efforts against us: military, economic and media warfare," he said. "There's a key fact here: in this 40-year challenge, the defeated is the US and the victorious is the Islamic republic." Trump announced in May he was withdrawing from the 2015 nuclear deal and reimposing sanctions, sparking outrage among world powers who say Iran has been complying with commitments to restrict its atomic programme. Washington says it wants a new deal with Iran, curtailing its regional interventions and missile programme -- demands which have been flatly rejected by Tehran. "America's goal in taking all these measures has been to regain the domination it had" prior to Iran's 1979 Islamic revolution that overthrew the pro-Western shah, Khamenei said. 'Self-sufficiency' The renewed sanctions are designed "to paralyse the (Iran's) economy and keep it backwards. However, it has resulted in encouraging a movement towards self-sufficiency in the country," Khamenei added. "Our youth, across the country, support independence. Some may not be so religious but they are sensitive towards domination by foreigners." On Friday, the US said it would add 700 individuals and entities to its Iran blacklist and push the SWIFT global banking network to cut off Tehran as Washington applies "maximum pressure" to cripple the country's economy. Secretary of State Mike Pompeo said eight countries -- believed to include India, Japan and possibly China -- would be given waivers to continue importing Iranian oil in order to avoid upsetting the global crude market, but only on condition they slow their purchases. The reimposition of sanctions "is aimed at depriving the regime of the revenues it uses to spread death and destruction around the world", Pompeo said. "Our ultimate aim is to compel Iran to permanently abandon its well-documented outlaw activities and behave as a normal country." Britain, France, Germany and the European Union strongly condemned the latest actions from Washington in a joint statement, and have vowed to preserve the nuclear deal, known formally as the Joint Comprehensive Plan of Action (JCPOA). "The JCPOA is a key element of the global nuclear non-proliferation architecture and of multilateral diplomacy," they said. "It is crucial for the security of Europe, the region, and the entire world. The JCPOA is working and delivering on its goal." The US wants Iran to withdraw from war-ravaged Syria, where the Shiite clerical regime is a key ally of President Bashar al-Assad, and end longstanding support to regional militant movements Hezbollah and Hamas, as well as Yemen's Huthi rebels.

Trump has 'disgraced' US prestige: Iranian leader Khamenei

Iran President Hassan Rouhani on Wednesday said his country had no fear of the new US sanction&nbsp;which was due to take effect in the coming days.

"November 4 sees a new injustice from the Americans, the people should know with certainty that the government has no fear of American threats", Rohani said ahead of the imposition of new US sanctions.

Rouhani also warned that the country will have to face hard times when new US sanctions take effect on Sunday assuring that the government would do its best to alleviate them from the crisis.

"In the past few months our people have faced difficult times and it's possible that the next few months will be difficult. But the government will use all its power to reduce these problems", he said.

The United States plans to impose sanctions targeting Iran's oil sector on November 4.

The US has already reimposed a number of sanctions on Iran in May after pulling out of a multilateral 2015 deal intended to curb the Islamic Republic's nuclear program.

Following the imposition of the sanctions, the&nbsp;Iranian rial had hit record lows against the US dollar in recent months. The cost of living had also soared in recent months.

The sanctions had also resulted in demonstrations against profiteering and corruption in which protesters have chanted anti-government slogans.

To counter the consequences of the sanctions,&nbsp;Iran began selling crude oil to private companies for export on Sunday.

(With inputs from Reuters)

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Iran President Hassan Rouhani on Wednesday said his country had no fear of the new US sanction which was due to take effect in the coming days. "November 4 sees a new injustice from the Americans, the people should know with certainty that the government has no fear of American threats", Rohani said ahead of the imposition of new US sanctions.

Iran President Hassan Rouhani on Wednesday said his country had no fear of the new US sanction which was due to take effect in the coming days. "November 4 sees a new injustice from the Americans, the people should know with certainty that the government has no fear of American threats", Rohani said ahead of the imposition of new US sanctions. Rouhani also warned that the country will have to face hard times when new US sanctions take effect on Sunday assuring that the government would do its best to alleviate them from the crisis. "In the past few months our people have faced difficult times and it's possible that the next few months will be difficult. But the government will use all its power to reduce these problems", he said. The United States plans to impose sanctions targeting Iran's oil sector on November 4. The US has already reimposed a number of sanctions on Iran in May after pulling out of a multilateral 2015 deal intended to curb the Islamic Republic's nuclear program. Following the imposition of the sanctions, the Iranian rial had hit record lows against the US dollar in recent months. The cost of living had also soared in recent months. The sanctions had also resulted in demonstrations against profiteering and corruption in which protesters have chanted anti-government slogans. To counter the consequences of the sanctions, Iran began selling crude oil to private companies for export on Sunday. (With inputs from Reuters)

Iran has no fear over new US sanctions: President Hassan Rouhani

Watch: WION Dispatch, 1st November, 2018

For the better part of a week, Indian media and strategic circles have been obsessed with the S-400 Russian air defence (AD) system; even the Rafale deal was forgotten. There was reason to be so; after all, photographs of the barrel-shaped tubes atop massive automated platforms have long dominated the glossy visuals of defence technology magazines and journals the world over. Now India is buying systems to equip five regiments equivalent for a breath-stopping sum of Rs 40,000 crore. It is considered to be one of the biggest single equipment defence deal.

The surface-to-air missile-based AD system, also called Triumf, is designed to destroy air attack and reconnaissance means, including stealth aircraft, and any other aerial targets amid intensive counter-fire and jamming. Not since the advent of the Soviet SAM 6 missile system in the 1973 Yom Kippur War has an air defence system so revolutionised the defence against aircraft, drones and missiles. Even the US Patriot, now reasonably dated, does not have the aura of the S-400. How will it be tactically deployed is for operational commanders to decide but no AD system is foolproof and the reports on the predecessor equipment, the S-300, from the battlefields of Syria are none too laudatory even within Russian circles.

Even as S-400 was under obsessive discussion, a couple of international geopolitical trends could set the foreign policy agenda for the next couple of months. It became obvious that despite the Indo-US 2+2 Dialogue on September 6, 2018, there was no assurance that a waiver to the US legislation, Countering America’s Adversaries Through Sanctions Act (CAATSA), would be forthcoming for India while it continued the process of purchasing the S-400. President Trump has given a veiled threat too. For India, a concretised entry into any strategic relationship with little scope for flexibility has never been a part of its strategic thinking. Balance and multilateral approach has been the hallmark of its foreign policy for some years now and that needs to continue. However, in a world increasingly entering into a virtual second Cold War, it isn’t easy remaining neutral and pursuing your own national interests; these may well go counter to someone else’s interests. The S-400 deal may escape CAATSA but this is not the last Indo-Russian deal; shortly more deals for mechanised warfare equipment and helicopters are likely on the cards. Will each attract a coercive US process to put these off? Much will depend upon how India balances and fine tunes policy and dealings. However, going by some imperatives in Indian strategic interests, it appears that India will be treading on US toes once too often.

The question of Iran is going to come up very soon. Although it is learnt that India has arranged to lower its energy imports from Iran, at the same time it is also considering going ahead in defiance of the US diktat. It is looking at Chabahar and the future of the north-south link along with Iran and Russia. India’s strategic interests in Afghanistan, Central Asia and Eurasia are hugely served by Chabahar and retention of Iranian goodwill is a virtual necessity. That is going to be more than just challenging.

When it comes to economics and trade, can India afford to spurn the opportunity of the contemplated increase of its current $140 billion trade with the US to a whopping $500 billion by 2025. The Indian growth story, so necessary to take a larger segment of the population out of poverty, will be well served by such high trade levels with a developed economy. Besides that India needs the US for technology for many areas to include cleaning its environment, improving transportation and enhancing levels of education. It is not as if the US would develop an animosity towards India for the latter’s acts against US interests but it would endeavour to limit India’s support and cooperation with US adversaries. India would then continue playing this awkward game which appears to be becoming a compulsive norm for the future. Multilateralism could still go askew, event to event.

An issue which could draw much focus in the near future is the deteriorating perception about China’s Belt and Road Initiative (BRI). What was touted as an economic outreach to lesser developed regions is now being looked upon as an instrument of coercive debt diplomacy for strategic gains. The effects are already telling in the re-negotiations sought by Malaysian Prime Minister Mahathir Mohamad. Even Pakistan Prime Minister Imran Khan is slated to take up this issue in his first official visit to China; to convert the scope of CPEC to the creation of jobs and strengthening of agriculture rather than construction of motorways. Already under pressure from US initiated trade war China’s strategic confidence could be dented through more re-negotiations of the BRI projects; after all BRI is President Xi Jinping’s flagship concept for China’s strategic expansion and connect. That could bring uncertainty in the strategic environment in which actions such as the recent near clash in the South China Sea between the PLA Navy and the US Navy, during a routine ‘freedom of navigation’ sail out, could trigger something much more serious.

This is equally true for Sino-Indian relations which after Doklam have remained stable yet tense despite some fine balancing done by both sides through the Wuhan summit, the Qingdao meeting and subsequent flurry of high level exchanges. With India showing greater resolve towards maintaining a strong commitment to Russia, the message could only be positive for Sino-Indian relations too. However, the last few weeks have also witnessed 14 transgressions by the PLA in Ladakh’s traditional areas where these occur; four more took place at the Uttarakhand border. China’s dented strategic self-perception arising out of the perceived lack of success of the BRI could lead to such transgressions becoming triggers leading to stand offs.

Lastly, in multilateralism it’s important to keep projecting the pursuance of national interest as the central theme because there will be a seasons for each partner during which others will perceive ill-will. A meeting of the Quadrilateral of Nations or a Malabar naval exercise will always give opportunity to China to resent the equation. It is something India will have to learn to live with while enhancing its own comprehensive national power to meet its national security objectives. 
&nbsp;

(This article was originally published on DNA. Read the <a href="https://www.dnaindia.com/analysis/column-a-new-world-of-multilateralism-2674743">original article</a>)

(Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

 
&nbsp;

For the better part of a week, Indian media and strategic circles have been obsessed with the S-400 Russian air defence (AD) system; even the Rafale deal was forgotten.

For the better part of a week, Indian media and strategic circles have been obsessed with the S-400 Russian air defence (AD) system; even the Rafale deal was forgotten. There was reason to be so; after all, photographs of the barrel-shaped tubes atop massive automated platforms have long dominated the glossy visuals of defence technology magazines and journals the world over. Now India is buying systems to equip five regiments equivalent for a breath-stopping sum of Rs 40,000 crore. It is considered to be one of the biggest single equipment defence deal. The surface-to-air missile-based AD system, also called Triumf, is designed to destroy air attack and reconnaissance means, including stealth aircraft, and any other aerial targets amid intensive counter-fire and jamming. Not since the advent of the Soviet SAM 6 missile system in the 1973 Yom Kippur War has an air defence system so revolutionised the defence against aircraft, drones and missiles. Even the US Patriot, now reasonably dated, does not have the aura of the S-400. How will it be tactically deployed is for operational commanders to decide but no AD system is foolproof and the reports on the predecessor equipment, the S-300, from the battlefields of Syria are none too laudatory even within Russian circles. Even as S-400 was under obsessive discussion, a couple of international geopolitical trends could set the foreign policy agenda for the next couple of months. It became obvious that despite the Indo-US 2+2 Dialogue on September 6, 2018, there was no assurance that a waiver to the US legislation, Countering America’s Adversaries Through Sanctions Act (CAATSA), would be forthcoming for India while it continued the process of purchasing the S-400. President Trump has given a veiled threat too. For India, a concretised entry into any strategic relationship with little scope for flexibility has never been a part of its strategic thinking. Balance and multilateral approach has been the hallmark of its foreign policy for some years now and that needs to continue. However, in a world increasingly entering into a virtual second Cold War, it isn’t easy remaining neutral and pursuing your own national interests; these may well go counter to someone else’s interests. The S-400 deal may escape CAATSA but this is not the last Indo-Russian deal; shortly more deals for mechanised warfare equipment and helicopters are likely on the cards. Will each attract a coercive US process to put these off? Much will depend upon how India balances and fine tunes policy and dealings. However, going by some imperatives in Indian strategic interests, it appears that India will be treading on US toes once too often. The question of Iran is going to come up very soon. Although it is learnt that India has arranged to lower its energy imports from Iran, at the same time it is also considering going ahead in defiance of the US diktat. It is looking at Chabahar and the future of the north-south link along with Iran and Russia. India’s strategic interests in Afghanistan, Central Asia and Eurasia are hugely served by Chabahar and retention of Iranian goodwill is a virtual necessity. That is going to be more than just challenging. When it comes to economics and trade, can India afford to spurn the opportunity of the contemplated increase of its current $140 billion trade with the US to a whopping $500 billion by 2025. The Indian growth story, so necessary to take a larger segment of the population out of poverty, will be well served by such high trade levels with a developed economy. Besides that India needs the US for technology for many areas to include cleaning its environment, improving transportation and enhancing levels of education. It is not as if the US would develop an animosity towards India for the latter’s acts against US interests but it would endeavour to limit India’s support and cooperation with US adversaries. India would then continue playing this awkward game which appears to be becoming a compulsive norm for the future. Multilateralism could still go askew, event to event. An issue which could draw much focus in the near future is the deteriorating perception about China’s Belt and Road Initiative (BRI). What was touted as an economic outreach to lesser developed regions is now being looked upon as an instrument of coercive debt diplomacy for strategic gains. The effects are already telling in the re-negotiations sought by Malaysian Prime Minister Mahathir Mohamad. Even Pakistan Prime Minister Imran Khan is slated to take up this issue in his first official visit to China; to convert the scope of CPEC to the creation of jobs and strengthening of agriculture rather than construction of motorways. Already under pressure from US initiated trade war China’s strategic confidence could be dented through more re-negotiations of the BRI projects; after all BRI is President Xi Jinping’s flagship concept for China’s strategic expansion and connect. That could bring uncertainty in the strategic environment in which actions such as the recent near clash in the South China Sea between the PLA Navy and the US Navy, during a routine ‘freedom of navigation’ sail out, could trigger something much more serious. This is equally true for Sino-Indian relations which after Doklam have remained stable yet tense despite some fine balancing done by both sides through the Wuhan summit, the Qingdao meeting and subsequent flurry of high level exchanges. With India showing greater resolve towards maintaining a strong commitment to Russia, the message could only be positive for Sino-Indian relations too. However, the last few weeks have also witnessed 14 transgressions by the PLA in Ladakh’s traditional areas where these occur; four more took place at the Uttarakhand border. China’s dented strategic self-perception arising out of the perceived lack of success of the BRI could lead to such transgressions becoming triggers leading to stand offs. Lastly, in multilateralism it’s important to keep projecting the pursuance of national interest as the central theme because there will be a seasons for each partner during which others will perceive ill-will. A meeting of the Quadrilateral of Nations or a Malabar naval exercise will always give opportunity to China to resent the equation. It is something India will have to learn to live with while enhancing its own comprehensive national power to meet its national security objectives. (This article was originally published on DNA. Read the original article) (Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

A new world of multilateralism

India need not take an aggressive position in public on the issue of US sanctions on nations defying its directive to bring their oil imports from Iran to zero by November 4, says a former Indian diplomat.

India has to play a cautious role, in that priority should be the country's national interests, former Ambassador of India to Saudi Arabia Oman and the UAE Talmiz Ahmad said.

"India's national interests lie in maintaining relations with Iran while at the same time not totally alienating the United States", he told PTI.

"And what India will do and I think that's the correct policy that there will be some reduction in oil imports for a short period and at the same time discussions with the United States will continue in order to ensure that the US policy becomes more accomodative", Mr Ahmad said.

He was of the view that over a period of time or as early as six months, the entire sanctions regime would "collapse".

"My own view is that we don't need to take an aggressive position in public but constantly subserve our own interests and wait for that time when the United States' absurd policy is revised by the international community or the US itself," he said.

Ahmad said this had to be done quietly without going public and ensuring the country's interests was safeguarded.

According to him, there would be some reduction in oil purchases from Iran in the short term but it's not likely to continue for a longer period.

India need not take an aggressive position in public on the issue of US sanctions on nations defying its directive to bring their oil imports from Iran to zero by November 4, says a former Indian diplomat.

India need not take an aggressive position in public on the issue of US sanctions on nations defying its directive to bring their oil imports from Iran to zero by November 4, says a former Indian diplomat. India has to play a cautious role, in that priority should be the country's national interests, former Ambassador of India to Saudi Arabia Oman and the UAE Talmiz Ahmad said. "India's national interests lie in maintaining relations with Iran while at the same time not totally alienating the United States", he told PTI. "And what India will do and I think that's the correct policy that there will be some reduction in oil imports for a short period and at the same time discussions with the United States will continue in order to ensure that the US policy becomes more accomodative", Mr Ahmad said. He was of the view that over a period of time or as early as six months, the entire sanctions regime would "collapse". "My own view is that we don't need to take an aggressive position in public but constantly subserve our own interests and wait for that time when the United States' absurd policy is revised by the international community or the US itself," he said. Ahmad said this had to be done quietly without going public and ensuring the country's interests was safeguarded. According to him, there would be some reduction in oil purchases from Iran in the short term but it's not likely to continue for a longer period.

Wait and watch US sanctions implode: Ex-envoy's advice to India on Iran

The United States on Monday asked judges at the International Court of Justice to throw out a claim by Iran to recover $1.75 billion (1.5 billion euros) in national bank assets seized by US courts.

The US Supreme Court ruled in 2016 that the assets must be turned over to American families of victims of the 1983 bombing of a US Marine Corps barracks in Beirut, among others.

The hearings at the tribunal were separate from Iran's claim relating to current US sanctions against Teheran.

Iran's claim in both cases is based on a 1955 Amity Treaty, which was signed 24 years before Iran's Islamic Revolution that turned the two countries into arch enemies.

"The actions at the root of this case centre on Iran's support for international terrorism," Richard Visek, legal advisor to the US Department of State, said on Monday, calling on the court to reject Iran's suit.

Washington announced last week it would withdraw from the Amity Treaty after the tribunal ordered the US to ensure that sanctions against Iran do not affect humanitarian aid or civil aviation safety.

It will take a year for a withdrawal from the Amity Treaty to take effect and Iran's case against the asset seizure, which was filed in 2016, will continue regardless.

The hearings in The Hague will run until Friday and focus on US objections to the UN's highest court's jurisdiction. No date for a ruling has been set.

The United States on Monday asked judges at the International Court of Justice to throw out a claim by Iran to recover $1.75 billion (1.5 billion euros) in national bank assets seized by US courts.

The United States on Monday asked judges at the International Court of Justice to throw out a claim by Iran to recover $1.75 billion (1.5 billion euros) in national bank assets seized by US courts. The US Supreme Court ruled in 2016 that the assets must be turned over to American families of victims of the 1983 bombing of a US Marine Corps barracks in Beirut, among others. The hearings at the tribunal were separate from Iran's claim relating to current US sanctions against Teheran. Iran's claim in both cases is based on a 1955 Amity Treaty, which was signed 24 years before Iran's Islamic Revolution that turned the two countries into arch enemies. "The actions at the root of this case centre on Iran's support for international terrorism," Richard Visek, legal advisor to the US Department of State, said on Monday, calling on the court to reject Iran's suit. Washington announced last week it would withdraw from the Amity Treaty after the tribunal ordered the US to ensure that sanctions against Iran do not affect humanitarian aid or civil aviation safety. It will take a year for a withdrawal from the Amity Treaty to take effect and Iran's case against the asset seizure, which was filed in 2016, will continue regardless. The hearings in The Hague will run until Friday and focus on US objections to the UN's highest court's jurisdiction. No date for a ruling has been set.

US rejects Iran's legal claim to recover $1.75 billion in frozen assets

<a href="http://www.wionews.com/world/backing-from-senators-puts-kavanaugh-on-track-for-us-supreme-court-169715">Backing from senators puts Trump nominee Brett Kavanaugh on track for US Supreme Court</a>

President Donald Trump's nominee, Brett Kavanaugh, looked headed for a lifetime job on the US Supreme Court on Friday after two crucial senators said that sexual misconduct accusations against the judge would not prevent them from voting to confirm him.

<a href="http://www.wionews.com/india-news/india-to-keep-buying-iranian-oil-despite-us-sanctions-sources-169718">India to keep buying oil from Iran despite US sanctions: Sources</a>

India will buy 9 million barrels of Iranian oil in November, two industry sources said, indicating the world's third-biggest oil importer will continue purchasing crude from the Islamic republic despite US sanctions coming into force on November 4.

<a href="http://www.wionews.com/world/in-divided-un-china-quietly-blazes-path-to-power-169721">In divided UN, China quietly blazes </a><a href="http://www.wionews.com/world/in-divided-un-china-quietly-blazes-path-to-power-169721">path</a><a href="http://www.wionews.com/world/in-divided-un-china-quietly-blazes-path-to-power-169721"> to power</a>

Criticised by the White House for&nbsp;alleged interference in US politics, China has quietly blazed a path at the United Nations where it is, little by little, becoming one of the most influential members.

<a href="http://www.wionews.com/world/us-economy-booms-as-elections-near-but-who-gets-credit-169720">US economy booms as elections near, but who gets credit?</a>

Forecasts point to solid chances that Democrats could wrest control of the House of Representatives away from Republicans, drastically shifting the political landscape in Washington.

<a href="http://www.wionews.com/india-news/in-joint-statement-russia-reaffirms-unwavering-support-to-india-for-unsc-seat-169714">In </a><a href="http://www.wionews.com/india-news/in-joint-statement-russia-reaffirms-unwavering-support-to-india-for-unsc-seat-169714">joint</a><a href="http://www.wionews.com/india-news/in-joint-statement-russia-reaffirms-unwavering-support-to-india-for-unsc-seat-169714"> statement, Russia reaffirms 'unwavering support' to India for UNSC seat</a>

Russia reaffirmed its "unwavering support" to India for a permanent seat in an expanded UN Security Council as both nations called for reform of the powerful UN organ to better reflect the current world order and make it more effective in dealing with emerging global challenges. 
&nbsp;

Backing from senators puts Trump nominee Brett Kavanaugh on track for US Supreme Court President Donald Trump's nominee, Brett Kavanaugh, looked headed for a lifetime job on the US Supreme Court on Friday after two crucial senators said that sexual misconduct accusations against the judge would not prevent them from voting to confirm him.

Backing from senators puts Trump nominee Brett Kavanaugh on track for US Supreme Court President Donald Trump's nominee, Brett Kavanaugh, looked headed for a lifetime job on the US Supreme Court on Friday after two crucial senators said that sexual misconduct accusations against the judge would not prevent them from voting to confirm him. India to keep buying oil from Iran despite US sanctions: Sources India will buy 9 million barrels of Iranian oil in November, two industry sources said, indicating the world's third-biggest oil importer will continue purchasing crude from the Islamic republic despite US sanctions coming into force on November 4. In divided UN, China quietly blazes path to power Criticised by the White House for alleged interference in US politics, China has quietly blazed a path at the United Nations where it is, little by little, becoming one of the most influential members. US economy booms as elections near, but who gets credit? Forecasts point to solid chances that Democrats could wrest control of the House of Representatives away from Republicans, drastically shifting the political landscape in Washington. In joint statement, Russia reaffirms 'unwavering support' to India for UNSC seat Russia reaffirmed its "unwavering support" to India for a permanent seat in an expanded UN Security Council as both nations called for reform of the powerful UN organ to better reflect the current world order and make it more effective in dealing with emerging global challenges.

India will buy 9 million barrels of Iranian oil in November, two industry sources said, indicating the world`s third-biggest oil importer will continue purchasing crude from the Islamic Republic despite US sanctions coming into force on Nov. 4.

"Refiners have placed November nominations to lift 1.25 million tonnes (about 9 million barrels) of oil from Iran," one of the sources said.

Indian Oil Corp will lift 6 million barrels of Iranian oil and Mangalore Refinery and Petrochemicals Ltd 3 million barrels, the source told Reuters.

The United States plans to impose new sanctions targeting Iran`s oil sector on Nov. 4 to try to stop the country`s involvement in conflicts in Syria and Iraq and bring Tehran to the negotiating table over its ballistic missile programme.

The sources declined to be identified as they were not authorised to speak to the media. Indian Oil and Mangalore Refinery did not immediately respond to a request for comment.

"India is continuing with its relationship with both its key energy partners Iran and the U.S.," a second source said.

A US government official said the Trump administration is "in the midst of an internal process" of considering waivers for countries that are reducing imports of Iranian crude. The official spoke on the condition of anonymity.&nbsp;

US Secretary of State Mike Pompeo said in India last month that the Trump administration would consider waivers for Iranian oil buyers such as India but they must eventually bring the imports to zero.&nbsp;

Indian refiners imported around 10 million barrels of Iranian oil in October, and its November shipments are expected to be lower.

In the previous round of sanctions from 2012 to 2015, India continued to buy Iranian crude although it had to cut purchases significantly to protect its wider exposure to the U.S. financial system.&nbsp;

India`s foreign minister said in May it abides only by sanctions imposed by the United Nations and not those imposed by any other country.

With the European Union considering the creation of a "special purpose vehicle" before November to facilitate trade with Iran, India hopes to find a way to settle payments to Tehran.

"Previously there was no European channel," the second source said. "This time Europe is not working with the U.S., so we intend to evolve a mechanism."

India, Iran`s top client after China, has close diplomatic ties with Iran, where it is building a strategic port called Chabahar that is expected to be operational by 2019. At the same time, India is closely working with the United States to further its strategic interests.

"It is still early to say how India will settle its trade with Iran," the first source said, adding that India could consider paying Iran for crude with the rupee currency. 
&nbsp;

India will buy 9 million barrels of Iranian oil in November, two industry sources said, indicating the world`s third-biggest oil importer will continue purchasing crude from the Islamic Republic despite US sanctions coming into force on Nov.

India will buy 9 million barrels of Iranian oil in November, two industry sources said, indicating the world`s third-biggest oil importer will continue purchasing crude from the Islamic Republic despite US sanctions coming into force on Nov. 4. "Refiners have placed November nominations to lift 1.25 million tonnes (about 9 million barrels) of oil from Iran," one of the sources said. Indian Oil Corp will lift 6 million barrels of Iranian oil and Mangalore Refinery and Petrochemicals Ltd 3 million barrels, the source told Reuters. The United States plans to impose new sanctions targeting Iran`s oil sector on Nov. 4 to try to stop the country`s involvement in conflicts in Syria and Iraq and bring Tehran to the negotiating table over its ballistic missile programme. The sources declined to be identified as they were not authorised to speak to the media. Indian Oil and Mangalore Refinery did not immediately respond to a request for comment. "India is continuing with its relationship with both its key energy partners Iran and the U.S.," a second source said. A US government official said the Trump administration is "in the midst of an internal process" of considering waivers for countries that are reducing imports of Iranian crude. The official spoke on the condition of anonymity. US Secretary of State Mike Pompeo said in India last month that the Trump administration would consider waivers for Iranian oil buyers such as India but they must eventually bring the imports to zero. Indian refiners imported around 10 million barrels of Iranian oil in October, and its November shipments are expected to be lower. In the previous round of sanctions from 2012 to 2015, India continued to buy Iranian crude although it had to cut purchases significantly to protect its wider exposure to the U.S. financial system. India`s foreign minister said in May it abides only by sanctions imposed by the United Nations and not those imposed by any other country. With the European Union considering the creation of a "special purpose vehicle" before November to facilitate trade with Iran, India hopes to find a way to settle payments to Tehran. "Previously there was no European channel," the second source said. "This time Europe is not working with the U.S., so we intend to evolve a mechanism." India, Iran`s top client after China, has close diplomatic ties with Iran, where it is building a strategic port called Chabahar that is expected to be operational by 2019. At the same time, India is closely working with the United States to further its strategic interests. "It is still early to say how India will settle its trade with Iran," the first source said, adding that India could consider paying Iran for crude with the rupee currency.

India to keep buying Iranian oil despite US sanctions: Report

India will buy 9 million barrels of Iranian oil in November, two industry sources said, indicating the world's third-biggest oil importer will <a href="http://www.wionews.com/india-news/india-wont-cut-oil-import-iran-iran-foreign-minister-167921">continue purchasing crude from the Islamic </a><a href="http://www.wionews.com/india-news/india-wont-cut-oil-import-iran-iran-foreign-minister-167921">republic</a> despite US&nbsp;sanctions coming into force on Nov. 4.

"Refiners have placed November nominations to lift 1.25 million tonnes (about 9 million barrels) of oil from Iran," one of the sources said.

Indian Oil Corp will lift 6 million barrels of Iranian oil and Mangalore Refinery and Petrochemicals Ltd 3 million barrels, the source told Reuters.

The United States plans to impose new sanctions targeting Iran's oil sector on Nov. 4 to try to stop the country's involvement in conflicts in Syria and Iraq and bring Tehran to the negotiating table over its ballistic missile programme.

The sources declined to be identified as they were not authorised to speak to the media. Indian Oil and Mangalore Refinery did not immediately respond to a request for comment.

"India is continuing with its relationship with both its key energy partners Iran and the US," a second source said.

A US&nbsp;government official said the Trump administration is "in the midst of an internal process" of considering waivers for countries that are reducing imports of Iranian crude. The official spoke on the condition of anonymity.

US&nbsp;Secretary of State Mike Pompeo said in India last month that the Trump administration would consider waivers for Iranian oil buyers such as India but they must eventually bring the imports to zero.

Indian refiners imported around 10 million barrels of Iranian oil in October, and its November shipments are expected to be lower.

In the previous round of sanctions from 2012 to 2015, India continued to buy Iranian crude although it had to cut purchases significantly to protect its wider exposure to the U.S. financial system.

India's foreign minister said in May it abides only by sanctions imposed by the United Nations and not those imposed by any other country.

With the European Union considering the creation of a "special purpose vehicle" before November to facilitate trade with Iran, India hopes to find a way to settle payments to Tehran.

"Previously there was no European channel," the second source said. "This time Europe is not working with the US, so we intend to evolve a mechanism."

India, Iran's top client after China, has close diplomatic ties with Iran, where it is building a strategic port called Chabahar that is expected to be operational by 2019. At the same time, India is closely working with the United States to further its strategic interests.

"It is still early to say how India will settle its trade with Iran," the first source said, adding that India could consider paying Iran for crude with the rupee currency.

India will buy 9 million barrels of Iranian oil in November, two industry sources said, indicating the world's third-biggest oil importer will continue purchasing crude from the Islamic republic despite US sanctions coming into force on Nov.

India will buy 9 million barrels of Iranian oil in November, two industry sources said, indicating the world's third-biggest oil importer will continue purchasing crude from the Islamic republic despite US sanctions coming into force on Nov. 4. "Refiners have placed November nominations to lift 1.25 million tonnes (about 9 million barrels) of oil from Iran," one of the sources said. Indian Oil Corp will lift 6 million barrels of Iranian oil and Mangalore Refinery and Petrochemicals Ltd 3 million barrels, the source told Reuters. The United States plans to impose new sanctions targeting Iran's oil sector on Nov. 4 to try to stop the country's involvement in conflicts in Syria and Iraq and bring Tehran to the negotiating table over its ballistic missile programme. The sources declined to be identified as they were not authorised to speak to the media. Indian Oil and Mangalore Refinery did not immediately respond to a request for comment. "India is continuing with its relationship with both its key energy partners Iran and the US," a second source said. A US government official said the Trump administration is "in the midst of an internal process" of considering waivers for countries that are reducing imports of Iranian crude. The official spoke on the condition of anonymity. US Secretary of State Mike Pompeo said in India last month that the Trump administration would consider waivers for Iranian oil buyers such as India but they must eventually bring the imports to zero. Indian refiners imported around 10 million barrels of Iranian oil in October, and its November shipments are expected to be lower. In the previous round of sanctions from 2012 to 2015, India continued to buy Iranian crude although it had to cut purchases significantly to protect its wider exposure to the U.S. financial system. India's foreign minister said in May it abides only by sanctions imposed by the United Nations and not those imposed by any other country. With the European Union considering the creation of a "special purpose vehicle" before November to facilitate trade with Iran, India hopes to find a way to settle payments to Tehran. "Previously there was no European channel," the second source said. "This time Europe is not working with the US, so we intend to evolve a mechanism." India, Iran's top client after China, has close diplomatic ties with Iran, where it is building a strategic port called Chabahar that is expected to be operational by 2019. At the same time, India is closely working with the United States to further its strategic interests. "It is still early to say how India will settle its trade with Iran," the first source said, adding that India could consider paying Iran for crude with the rupee currency.

India to keep buying oil from Iran despite US sanctions: Sources

Responding to the <a href="http://www.wionews.com/india-news/india-russia-sign-s-400-air-defence-system-deal-to-be-delivered-by-2020-169580">S-400 deal</a> between India and Russia, the United States has said that it doesn't want to damage the capabilities of its allies.

"The intent of our implementation of CAATSA is to impose costs on Russia for its malign behaviour, including by stopping the flow of money to Russia's defence sector. CAATSA is not intended to impose damage to the military capabilities of our allies or partners," the US embassy said in a statement.

"The waiver authority is not for a blanket waiver, it is transaction-specific. We cannot prejudge any sanctions decisions," it further added.

The US had earlier said that countries trading with Russia's defence and intelligence sectors would face automatic sanctions under a sweeping legislation called Countering America's Adversaries Through Sanctions Act or CAATSA.

A State Department spokesperson had said that the implementation of the sanctions act would be focused at countries acquiring weapons such as the <a href="http://www.wionews.com/videos/all-you-need-to-know-about-russias-s-400-air-defence-system-169587">S-400 missile</a> batteries.

Last month, the United States imposed sanctions on China's military for its purchase of combat fighters as well as the <a href="http://www.wionews.com/photos/thaad-vs-s-400-india-dumps-us-picks-russian-defence-missile-system-169445">S-400 missile system</a> it bought from Russia this year.

On Friday, India agreed to buy S-400 surface to air missile systems from Russia disregarding US warnings that such a purchase could trigger sanctions. Although there was no public signing, the deal was sealed during President Vladimir Putin's ongoing visit to New Delhi for an annual summit.

After summit talks between Putin and Modi, the two countries signed eight agreements covering space, nuclear energy and railways at a televised news conference.

(With inputs from agencies)

Responding to the S-400 deal between India and Russia, the United States has said that it doesn't want to damage the capabilities of its allies. "The intent of our implementation of CAATSA is to impose costs on Russia for its malign behaviour, including by stopping the flow of money to Russia's defence sector.

Responding to the S-400 deal between India and Russia, the United States has said that it doesn't want to damage the capabilities of its allies. "The intent of our implementation of CAATSA is to impose costs on Russia for its malign behaviour, including by stopping the flow of money to Russia's defence sector. CAATSA is not intended to impose damage to the military capabilities of our allies or partners," the US embassy said in a statement. "The waiver authority is not for a blanket waiver, it is transaction-specific. We cannot prejudge any sanctions decisions," it further added. The US had earlier said that countries trading with Russia's defence and intelligence sectors would face automatic sanctions under a sweeping legislation called Countering America's Adversaries Through Sanctions Act or CAATSA. A State Department spokesperson had said that the implementation of the sanctions act would be focused at countries acquiring weapons such as the S-400 missile batteries. Last month, the United States imposed sanctions on China's military for its purchase of combat fighters as well as the S-400 missile system it bought from Russia this year. On Friday, India agreed to buy S-400 surface to air missile systems from Russia disregarding US warnings that such a purchase could trigger sanctions. Although there was no public signing, the deal was sealed during President Vladimir Putin's ongoing visit to New Delhi for an annual summit. After summit talks between Putin and Modi, the two countries signed eight agreements covering space, nuclear energy and railways at a televised news conference. (With inputs from agencies)

US responds to India's S-400 deal with Russia, says can't prejudge sanctions decisions

Congress MP Shashi Tharoor Wednesday said the country should make efforts to continue oil supplies from Iran against the backdrop of US sanctions as Iranian oil is the cheapest it could get.

As per the sanctions, any country or company that violates the sanctions can itself come under it, he said.

The European Union (EU) has come up with a collective position saying they will work out their own arrangements to trade with Iran despite the sanctions and in Euros rather than in dollars, he said.

It will be interesting to see how that works and whether there is some way for a country like India, he said.

"Because, for us, Iranian oil is the cheapest and easiest oil to get," Tharoor, Chairman of Standing Committee on External Affairs, said.

It would be expensive for the country if it ends up buying American oil (stopping supplies from Iran), he said.

"I don't want to give you a definitive answer because I am not in the government. I don't know what the government is thinking," the Congress leader said.

Tharoor, however, said the country should resist for as long as possible having to stop supplies from Iran.

"Keep it going for as long as possible. But, in the end, explore and we can find another way of sustaining those supplies rather than giving in to the US and ending up having to pay much more for our oil," he said.

Tharoor, who was speaking at an interactive session at the Indian School of Business (ISB) here, was replying to a question on India vis-a-vis US sanctions.

About the recent Supreme Court verdict permitting women of all ages to enter the Lord Ayyappa shrine at Sabarimala, he said an issue that confronted the court in deciding the case was, "does the yardstick of rational legislation and constitutional reasoning apply to matters of faith."

A woman judge dissented in the matter saying Constitutional reasoning cannot be applied to issues of faith, he said.

Every time any historic change came, there were a lot of traditionalists who resisted, Tharoor&nbsp;said.

"...Those women who do feel very strongly that this is wrong, need not go. The court's judgement does not require anyone to go to Sabarimala. It just says if you want to go, you can no longer be prevented on the grounds of...I think that's the judgment that we all have to follow," he said.

Congress MP Shashi Tharoor Wednesday said the country should make efforts to continue oil supplies from Iran against the backdrop of US sanctions as Iranian oil is the cheapest it could get.

Congress MP Shashi Tharoor Wednesday said the country should make efforts to continue oil supplies from Iran against the backdrop of US sanctions as Iranian oil is the cheapest it could get. As per the sanctions, any country or company that violates the sanctions can itself come under it, he said. The European Union (EU) has come up with a collective position saying they will work out their own arrangements to trade with Iran despite the sanctions and in Euros rather than in dollars, he said. It will be interesting to see how that works and whether there is some way for a country like India, he said. "Because, for us, Iranian oil is the cheapest and easiest oil to get," Tharoor, Chairman of Standing Committee on External Affairs, said. It would be expensive for the country if it ends up buying American oil (stopping supplies from Iran), he said. "I don't want to give you a definitive answer because I am not in the government. I don't know what the government is thinking," the Congress leader said. Tharoor, however, said the country should resist for as long as possible having to stop supplies from Iran. "Keep it going for as long as possible. But, in the end, explore and we can find another way of sustaining those supplies rather than giving in to the US and ending up having to pay much more for our oil," he said. Tharoor, who was speaking at an interactive session at the Indian School of Business (ISB) here, was replying to a question on India vis-a-vis US sanctions. About the recent Supreme Court verdict permitting women of all ages to enter the Lord Ayyappa shrine at Sabarimala, he said an issue that confronted the court in deciding the case was, "does the yardstick of rational legislation and constitutional reasoning apply to matters of faith." A woman judge dissented in the matter saying Constitutional reasoning cannot be applied to issues of faith, he said. Every time any historic change came, there were a lot of traditionalists who resisted, Tharoor said. "...Those women who do feel very strongly that this is wrong, need not go. The court's judgement does not require anyone to go to Sabarimala. It just says if you want to go, you can no longer be prevented on the grounds of...I think that's the judgment that we all have to follow," he said.

India should continue buying oil from Iran: Shashi Tharoor

The tension between China and the US has intensified, following the Trump administration’s decision to impose sanctions on China for purchasing Russian jets and surface to farce missiles.

Under Section 231 of the Countering America’s Adversaries Through Sanctions Act (CAATSA) of 2017, the US Department of State recently announced sanctions on the Chinese Defence Ministry’s Equipment Development Department (EDD) and its director, Li Shangfu, for buying Russian jets and missile equipment.&nbsp;

According to the statement of the US Department of State, the transactions involved the purchase of Russian Su-35 combat aircraft and S-400 surface-to-air missile system-related equipment. Consequently, the EDD will be denied US foreign export licenses, banned from making foreign exchange transactions within US jurisdictions and prohibited from using the US financial system.

Any of the EDD’s property and interests within the US will be blocked. Li will also be subjected to similar restrictions, including the fact that will also not be able to get a US visa.

On the other hand, China and Russia have strongly criticised the US action. Russia’s Deputy Foreign Minister Sergei Ryabkov said that the US was “thoughtlessly undermining” global stability, and warned it against “playing with fire”. Chinese Foreign ministry spokesman Geng Shuang said on Friday, “The US has seriously violated the basic norms of international relations and disturbed the relationship between China and the US. We strongly call on the US to remedy the mistake and cancel the sanctions. Otherwise, the US has to bear the consequences.”

One of the reasons the US imposed sanctions on China under CAATSA was to effectively respond to Russia’s meddling in the US elections, its competition with the US, its allies and its partners. Thus, while the US had already imposed several sanctions on Russia, this time the Trump administration added 33 additional persons to the CAATSA section 231 List of “Specified Persons” for being a part of or operating for or on behalf of, the defence or intelligence sectors of the Government of the Russian Federation.

Certainly, India is also closely watching this development since the sanction against China is also a signal to other countries that are in the process of buying Russian military hardware. This is evident from the fact that the US State Department has made it clear that Turkey would also be subjected to similar sanctions if it purchased S-400 missiles which are due to be delivered next year. Consequently, the CAATSA has also alarmed India because the Trump administration has not yet indicated whether it would exempt India from the US’ punitive action under this Act. 
 
Thus, in this situation, India’s increasing dependence on US arms can be used by Washington to force New Delhi to toe its line on many issues, which in turn, endangers India’s strategic autonomy. At the same time, Russia is already disturbed by expanding ties between India and the US since the two sides signed the civil nuclear agreement in 2008. In fact, the Putin government has expressed guarded disappointment about India’s efforts towards improving deference military ties with the US. This is clearly evident from a marked shift in Russia’s South policy. In 2014 Russia lifted a ban on arms supplies to Pakistan. Moscow also signed a defence agreement and technical cooperation agreement with Pakistan in 2015 for arms supplies and sold it four helicopters in August 2017.

Today, talks for purchasing Russian SU-35 fighter jets are going on along with Pakistan’s reported desire to buy T-90 tanks from Russia. On September 29, Russia has also signed a memorandum of understanding on implementing a project to build an underwater gas pipeline from Iran to Pakistan and India. At the same time, India is also worried about deepening defence ties between Russia and China, given the fact that even today, the Indian military uses Russian arms, and in fact, Russia accounted for 68 per cent of India’s arms import from 2012 to 2016. Rising tension between the US and Russia has placed India in a very volatile security situation. 
 
To effectively defuse this situation, it can be hoped that during the upcoming visit of President Vladimir Putin, the two sides will infuse a momentum into their time-tested friendship. New Delhi must ensure that Russia does not foster defence ties with other South Asian countries at the cost of India’s security.

(This article was originally published on DNA. Read the <a href="https://www.dnaindia.com/analysis/column-us-sanctions-on-russia-china-add-to-india-s-security-woes-2669987">original article</a>)

(Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

&nbsp;

The tension between China and the US has intensified, following the Trump administration’s decision to impose sanctions on China for purchasing Russian jets and surface to farce missiles.

The tension between China and the US has intensified, following the Trump administration’s decision to impose sanctions on China for purchasing Russian jets and surface to farce missiles. Under Section 231 of the Countering America’s Adversaries Through Sanctions Act (CAATSA) of 2017, the US Department of State recently announced sanctions on the Chinese Defence Ministry’s Equipment Development Department (EDD) and its director, Li Shangfu, for buying Russian jets and missile equipment. According to the statement of the US Department of State, the transactions involved the purchase of Russian Su-35 combat aircraft and S-400 surface-to-air missile system-related equipment. Consequently, the EDD will be denied US foreign export licenses, banned from making foreign exchange transactions within US jurisdictions and prohibited from using the US financial system. Any of the EDD’s property and interests within the US will be blocked. Li will also be subjected to similar restrictions, including the fact that will also not be able to get a US visa. On the other hand, China and Russia have strongly criticised the US action. Russia’s Deputy Foreign Minister Sergei Ryabkov said that the US was “thoughtlessly undermining” global stability, and warned it against “playing with fire”. Chinese Foreign ministry spokesman Geng Shuang said on Friday, “The US has seriously violated the basic norms of international relations and disturbed the relationship between China and the US. We strongly call on the US to remedy the mistake and cancel the sanctions. Otherwise, the US has to bear the consequences.” One of the reasons the US imposed sanctions on China under CAATSA was to effectively respond to Russia’s meddling in the US elections, its competition with the US, its allies and its partners. Thus, while the US had already imposed several sanctions on Russia, this time the Trump administration added 33 additional persons to the CAATSA section 231 List of “Specified Persons” for being a part of or operating for or on behalf of, the defence or intelligence sectors of the Government of the Russian Federation. Certainly, India is also closely watching this development since the sanction against China is also a signal to other countries that are in the process of buying Russian military hardware. This is evident from the fact that the US State Department has made it clear that Turkey would also be subjected to similar sanctions if it purchased S-400 missiles which are due to be delivered next year. Consequently, the CAATSA has also alarmed India because the Trump administration has not yet indicated whether it would exempt India from the US’ punitive action under this Act. Thus, in this situation, India’s increasing dependence on US arms can be used by Washington to force New Delhi to toe its line on many issues, which in turn, endangers India’s strategic autonomy. At the same time, Russia is already disturbed by expanding ties between India and the US since the two sides signed the civil nuclear agreement in 2008. In fact, the Putin government has expressed guarded disappointment about India’s efforts towards improving deference military ties with the US. This is clearly evident from a marked shift in Russia’s South policy. In 2014 Russia lifted a ban on arms supplies to Pakistan. Moscow also signed a defence agreement and technical cooperation agreement with Pakistan in 2015 for arms supplies and sold it four helicopters in August 2017. Today, talks for purchasing Russian SU-35 fighter jets are going on along with Pakistan’s reported desire to buy T-90 tanks from Russia. On September 29, Russia has also signed a memorandum of understanding on implementing a project to build an underwater gas pipeline from Iran to Pakistan and India. At the same time, India is also worried about deepening defence ties between Russia and China, given the fact that even today, the Indian military uses Russian arms, and in fact, Russia accounted for 68 per cent of India’s arms import from 2012 to 2016. Rising tension between the US and Russia has placed India in a very volatile security situation. To effectively defuse this situation, it can be hoped that during the upcoming visit of President Vladimir Putin, the two sides will infuse a momentum into their time-tested friendship. New Delhi must ensure that Russia does not foster defence ties with other South Asian countries at the cost of India’s security. (This article was originally published on DNA. Read the original article) (Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

US sanctions on Russia, China add to India’s security woes

Israeli Prime Minister Benjamin Netanyahu described on Thursday what he said was a secret atomic warehouse in Tehran and accused Europe of appeasing Iran as he sought to rally support for US sanctions against the Islamic Republic.

Addressing the United Nations General Assembly, Netanyahu showed an aerial photograph of the Iranian capital marked with a red arrow and pointed to what he said was a previously secret warehouse holding nuclear-related material. He argued this showed Iran still sought to obtain nuclear weapons, despite its 2015 agreement with world powers to curb its program in exchange for loosening of sanctions.

Netanyahu spoke 4-1/2 months after US President Donald Trump withdrew from the accord, arguing it did too little to rein in Tehran`s nuclear ambitions and triggering the resumption of US economic sanctions on Iran.

Netanyahu said the site contained some 15 kilograms (33 pounds) of radioactive material that has since been moved and called on the UN atomic agency to inspect the location immediately with Geiger counters.

"I am disclosing for the first time that Iran has another secret facility in Tehran, a secret atomic warehouse for storing massive amounts of equipment and material from Iran`s secret nuclear programme," Netanyahu said.

The world will laugh at Netanyahu`s claims, Iranian foreign ministry spokesman Bahram Qassemi said, according to Fars News.

"The world will only laugh loudly at this type of false, meaningless and unnecessary speech and false shows," Qassemi said.

Iran`s Foreign Minister Mohammad Javad Zarif said that there should be more scrutiny on Israel`s nuclear program.

"No arts &amp; craft show will ever obfuscate that Israel is only regime in our region with a *secret* and *undeclared* nuclear weapons program - including an *actual atomic arsenal*. Time for Israel to fess up and open its illegal nuclear weapons program to international inspectors," Zarif tweeted.

Netanyahu did not identify the material nor specifically suggest that Iran had actively violated the nuclear deal.&nbsp;

An outspoken opponent of the deal, Netanyahu has previously made allegations about Iran`s nuclear activities that are difficult or impossible to verify, including presenting a cartoon bomb to the General Assembly in 2012 warning of how close Tehran was to producing a nuclear device.

In April, Netanyahu presented what he said was evidence of a large secret archive of documents related to Iran`s clandestine nuclear weapons program at a different site in Tehran.

He said Israeli agents removed vast amounts of documents from that site. At the time, Iran said the documents were fake.

In a speech in which he said relatively little about efforts to achieve peace with the Palestinians, Netanyahu said Iran had since begun moving items out of the second site.

"Since we raided the atomic archive, they`ve been busy cleaning out the atomic warehouse. Just last month they removed 15 kilograms of radioactive material. You know what they did with it?" he said. "They took it out and they spread it around Tehran in an effort to hide the evidence."

He said Iranian officials still had a lot of work to do because there were some 15 shipping containers full of nuclear-related equipment and materials stored at the second site.

"This site contained as much as 300 tonnes - 300 tonnes - of nuclear-related equipment and materiel," he said.

Under the nuclear deal struck by Iran and six major powers - Britain, China, France, Germany, Russia and the United States - Tehran agreed to limit its nuclear program in return for relief from US and other economic sanctions.

The International Atomic Agency (IAEA) has repeatedly said Tehran was abiding by its commitments to the deal, formally called the Joint Comprehensive Plan of Action (JCPOA), including in a document reviewed by Reuters on August 30.

France, Britain, Germany, China and Russia have stayed in the pact, vowing to save it despite the restoration of US sanctions and this week discussing a barter mechanism they hope may allow Iran to circumvent the US measures.

Netanyahu criticized Europe for doing so in unusually harsh language that evoked European nations` initial failure to confront Nazi Germany in the 1930s.

"While the United States is confronting Iran with new sanctions, Europe and others are appeasing Iran by trying to help it bypass those new sanctions," Netanyahu said.

A US official, speaking on condition of anonymity, said the United States is aware of the facility Netanyahu announced and described it as a "warehouse" used to store "records and archives" from Iran’s nuclear program.

A second US intelligence official called Netanyahu’s comments "somewhat misleading. First, we have known about this facility for some time, and it’s full of file cabinets and paper, not aluminium tubes for centrifuges, and second, so far as anyone knows, there is nothing in it that would allow Iran to break out of the JCPOA any faster than it otherwise could."

The Israeli leader also lambasted Iran`s ballistic missile activity, identifying three locations near Beirut airport where he said Lebanon`s Hezbollah was converting missiles.

"In Lebanon, Iran is directing Hezbollah to build secret sites to convert inaccurate projectiles into precision-guided missiles, missiles that can target deep inside Israel within an accuracy of 10 metres (yards)," he said.

The IAEA, Iran and Hezbollah were not immediately available for comment.

The Israeli military released a video clip and photos of what it said were Hezbollah Shi`ite militia rocket building sites in Lebanon, shortly after Netanyahu`s address.

Israeli Prime Minister Benjamin Netanyahu described on Thursday what he said was a secret atomic warehouse in Tehran and accused Europe of appeasing Iran as he sought to rally support for US sanctions against the Islamic Republic.

Israeli Prime Minister Benjamin Netanyahu described on Thursday what he said was a secret atomic warehouse in Tehran and accused Europe of appeasing Iran as he sought to rally support for US sanctions against the Islamic Republic. Addressing the United Nations General Assembly, Netanyahu showed an aerial photograph of the Iranian capital marked with a red arrow and pointed to what he said was a previously secret warehouse holding nuclear-related material. He argued this showed Iran still sought to obtain nuclear weapons, despite its 2015 agreement with world powers to curb its program in exchange for loosening of sanctions. Netanyahu spoke 4-1/2 months after US President Donald Trump withdrew from the accord, arguing it did too little to rein in Tehran`s nuclear ambitions and triggering the resumption of US economic sanctions on Iran. Netanyahu said the site contained some 15 kilograms (33 pounds) of radioactive material that has since been moved and called on the UN atomic agency to inspect the location immediately with Geiger counters. "I am disclosing for the first time that Iran has another secret facility in Tehran, a secret atomic warehouse for storing massive amounts of equipment and material from Iran`s secret nuclear programme," Netanyahu said. The world will laugh at Netanyahu`s claims, Iranian foreign ministry spokesman Bahram Qassemi said, according to Fars News. "The world will only laugh loudly at this type of false, meaningless and unnecessary speech and false shows," Qassemi said. Iran`s Foreign Minister Mohammad Javad Zarif said that there should be more scrutiny on Israel`s nuclear program. "No arts & craft show will ever obfuscate that Israel is only regime in our region with a *secret* and *undeclared* nuclear weapons program - including an *actual atomic arsenal*. Time for Israel to fess up and open its illegal nuclear weapons program to international inspectors," Zarif tweeted. Netanyahu did not identify the material nor specifically suggest that Iran had actively violated the nuclear deal. An outspoken opponent of the deal, Netanyahu has previously made allegations about Iran`s nuclear activities that are difficult or impossible to verify, including presenting a cartoon bomb to the General Assembly in 2012 warning of how close Tehran was to producing a nuclear device. In April, Netanyahu presented what he said was evidence of a large secret archive of documents related to Iran`s clandestine nuclear weapons program at a different site in Tehran. He said Israeli agents removed vast amounts of documents from that site. At the time, Iran said the documents were fake. In a speech in which he said relatively little about efforts to achieve peace with the Palestinians, Netanyahu said Iran had since begun moving items out of the second site. "Since we raided the atomic archive, they`ve been busy cleaning out the atomic warehouse. Just last month they removed 15 kilograms of radioactive material. You know what they did with it?" he said. "They took it out and they spread it around Tehran in an effort to hide the evidence." He said Iranian officials still had a lot of work to do because there were some 15 shipping containers full of nuclear-related equipment and materials stored at the second site. "This site contained as much as 300 tonnes - 300 tonnes - of nuclear-related equipment and materiel," he said. Under the nuclear deal struck by Iran and six major powers - Britain, China, France, Germany, Russia and the United States - Tehran agreed to limit its nuclear program in return for relief from US and other economic sanctions. The International Atomic Agency (IAEA) has repeatedly said Tehran was abiding by its commitments to the deal, formally called the Joint Comprehensive Plan of Action (JCPOA), including in a document reviewed by Reuters on August 30. France, Britain, Germany, China and Russia have stayed in the pact, vowing to save it despite the restoration of US sanctions and this week discussing a barter mechanism they hope may allow Iran to circumvent the US measures. Netanyahu criticized Europe for doing so in unusually harsh language that evoked European nations` initial failure to confront Nazi Germany in the 1930s. "While the United States is confronting Iran with new sanctions, Europe and others are appeasing Iran by trying to help it bypass those new sanctions," Netanyahu said. A US official, speaking on condition of anonymity, said the United States is aware of the facility Netanyahu announced and described it as a "warehouse" used to store "records and archives" from Iran’s nuclear program. A second US intelligence official called Netanyahu’s comments "somewhat misleading. First, we have known about this facility for some time, and it’s full of file cabinets and paper, not aluminium tubes for centrifuges, and second, so far as anyone knows, there is nothing in it that would allow Iran to break out of the JCPOA any faster than it otherwise could." The Israeli leader also lambasted Iran`s ballistic missile activity, identifying three locations near Beirut airport where he said Lebanon`s Hezbollah was converting missiles. "In Lebanon, Iran is directing Hezbollah to build secret sites to convert inaccurate projectiles into precision-guided missiles, missiles that can target deep inside Israel within an accuracy of 10 metres (yards)," he said. The IAEA, Iran and Hezbollah were not immediately available for comment. The Israeli military released a video clip and photos of what it said were Hezbollah Shi`ite militia rocket building sites in Lebanon, shortly after Netanyahu`s address.

Israel PM Netanyahu claims secret Iranian nuclear site in UN speech

OPEC's leader Saudi Arabia and its biggest oil-producer ally outside the group, Russia, ruled out on Sunday any immediate, additional increase in crude output, effectively rebuffing US President Donald Trump's calls for action to cool the market.

"I do not influence prices," Saudi Energy Minister Khalid al-Falih told reporters as OPEC and non-OPEC energy ministers gathered in Algiers for a meeting that ended with no formal recommendation for any additional supply boost.

Benchmark Brent oil reached $80 a barrel this month, prompting Trump to reiterate on Thursday his demand that the Organization of the Petroleum Exporting Countries lower prices.

The price rally mainly stemmed from a decline in oil exports from OPEC member Iran due to fresh US sanctions.

"We protect the countries of the Middle East, they would not be safe for very long without us, and yet they continue to push for higher and higher oil prices! We will remember. The OPEC monopoly must get prices down now!" Trump wrote on Twitter.

Falih said Saudi Arabia had spare capacity to raise output but such a move was not required at the moment and might not be needed next year as, according to OPEC's projections, a stellar rise in non-OPEC production could exceed global demand growth.

"The markets are adequately supplied. I don't know of any refiner in the world who is looking for oil and is not able to get it," Falih said, adding that Saudi Arabia could raise output by up to 1.5 million barrels per day (bpd) if needed.

"Given the numbers we saw today, that (an output increase in 2019) is highly unlikely unless we have surprises on the supply and demand," Falih added.

The statement from Trump, meanwhile, was not his first criticism of OPEC.

Higher gasoline prices for US consumers could create a political headache for Republican Trump before mid-term congressional elections in November.

Iran, OPEC's third-largest producer, has accused Trump of orchestrating the oil price rally by imposing sanctions on Tehran and accused its regional arch-rival Saudi Arabia of bowing to US pressure.

On Sunday, Iranian Oil Minister Bijan Zanganeh said Trump's tweet "was the biggest insult to Washington's allies in the Middle East".

SHIFTING FOCUS TO 2019

A mid-term report released by OPEC on Sunday forecast that non-OPEC supply from countries led by the United States would rise by 2.4 million bpd in 2019 while global oil demand should grow by just 1.5 million.

It also steeply raised US oil output growth estimates to 2023, predicting OPEC would lose further market share.

"Our attention is shifting to 2019. We have been briefed on the prospect of 2019 inventory builds which result from significant supply growth from non-member counties," Falih said.

Russian Energy Minister Alexander Novak said no immediate output increase was necessary, although he believed a trade war between China and the United States as well as US sanctions on Iran were creating new challenges for oil markets.

"Oil demand will be declining in the fourth quarter of this year and the first quarter of next year. So far, we have decided to stick to our June agreements," Novak said.

Seeking to reverse a downturn in oil prices that began in 2014, OPEC, Russia and other allies decided in late 2016 to reduce supply by some 1.8 million bpd.

In June this year, however, after months of cutting by more than their pact had called for, largely due to involuntary reductions from Venezuela and other producers, they agreed to boost output by returning to 100 per cent compliance.

That equates to an increase of about 1 million bpd, but the latest data shows they are some way from achieving that target.

IRAN SOFTENS STANCE

In August, OPEC and its allies cut production by 600,000 bpd more than their pact required, mainly as a result of falling output in Iran as customers in Europe and Asia reduced purchases ahead of the US sanctions deadline.

OPEC put Iran's current production at 3.58 million bpd, down some 300,000 bpd from the start of the year, according to OPEC's secondary sources such as researchers and ship-trackers.

Iran's OPEC governor Hossein Kazempour Ardebili insisted on Sunday that Iranian production was steady at 3.8 million bpd but appeared to soften his stance on potential increases in OPEC output.

"If there is a fall not only from Iran, but anybody else, it is the responsibility of OPEC and non-OPEC to balance the market," Kazempour told reporters.

Falih said returning to 100 per cent compliance was the main objective and should be achieved in the next two to three months.

Although he refrained from specifying how that could be done, Saudi Arabia is the only oil producer with significant spare capacity.

"The biggest issue is not with the producing countries, it’s with the refiners, it's with the demand. We in Saudi Arabia have not seen demand for any additional barrel that we did not produce."

The OPEC/non-OPEC monitoring committee next meets on Nov. 11 in Abu Dhabi, followed by a full OPEC gathering at its Vienna headquarters on December 6-7.

OPEC's leader Saudi Arabia and its biggest oil-producer ally outside the group, Russia, ruled out on Sunday any immediate, additional increase in crude output, effectively rebuffing US President Donald Trump's calls for action to cool the market.

OPEC's leader Saudi Arabia and its biggest oil-producer ally outside the group, Russia, ruled out on Sunday any immediate, additional increase in crude output, effectively rebuffing US President Donald Trump's calls for action to cool the market. "I do not influence prices," Saudi Energy Minister Khalid al-Falih told reporters as OPEC and non-OPEC energy ministers gathered in Algiers for a meeting that ended with no formal recommendation for any additional supply boost. Benchmark Brent oil reached $80 a barrel this month, prompting Trump to reiterate on Thursday his demand that the Organization of the Petroleum Exporting Countries lower prices. The price rally mainly stemmed from a decline in oil exports from OPEC member Iran due to fresh US sanctions. "We protect the countries of the Middle East, they would not be safe for very long without us, and yet they continue to push for higher and higher oil prices! We will remember. The OPEC monopoly must get prices down now!" Trump wrote on Twitter. Falih said Saudi Arabia had spare capacity to raise output but such a move was not required at the moment and might not be needed next year as, according to OPEC's projections, a stellar rise in non-OPEC production could exceed global demand growth. "The markets are adequately supplied. I don't know of any refiner in the world who is looking for oil and is not able to get it," Falih said, adding that Saudi Arabia could raise output by up to 1.5 million barrels per day (bpd) if needed. "Given the numbers we saw today, that (an output increase in 2019) is highly unlikely unless we have surprises on the supply and demand," Falih added. The statement from Trump, meanwhile, was not his first criticism of OPEC. Higher gasoline prices for US consumers could create a political headache for Republican Trump before mid-term congressional elections in November. Iran, OPEC's third-largest producer, has accused Trump of orchestrating the oil price rally by imposing sanctions on Tehran and accused its regional arch-rival Saudi Arabia of bowing to US pressure. On Sunday, Iranian Oil Minister Bijan Zanganeh said Trump's tweet "was the biggest insult to Washington's allies in the Middle East". SHIFTING FOCUS TO 2019 A mid-term report released by OPEC on Sunday forecast that non-OPEC supply from countries led by the United States would rise by 2.4 million bpd in 2019 while global oil demand should grow by just 1.5 million. It also steeply raised US oil output growth estimates to 2023, predicting OPEC would lose further market share. "Our attention is shifting to 2019. We have been briefed on the prospect of 2019 inventory builds which result from significant supply growth from non-member counties," Falih said. Russian Energy Minister Alexander Novak said no immediate output increase was necessary, although he believed a trade war between China and the United States as well as US sanctions on Iran were creating new challenges for oil markets. "Oil demand will be declining in the fourth quarter of this year and the first quarter of next year. So far, we have decided to stick to our June agreements," Novak said. Seeking to reverse a downturn in oil prices that began in 2014, OPEC, Russia and other allies decided in late 2016 to reduce supply by some 1.8 million bpd. In June this year, however, after months of cutting by more than their pact had called for, largely due to involuntary reductions from Venezuela and other producers, they agreed to boost output by returning to 100 per cent compliance. That equates to an increase of about 1 million bpd, but the latest data shows they are some way from achieving that target. IRAN SOFTENS STANCE In August, OPEC and its allies cut production by 600,000 bpd more than their pact required, mainly as a result of falling output in Iran as customers in Europe and Asia reduced purchases ahead of the US sanctions deadline. OPEC put Iran's current production at 3.58 million bpd, down some 300,000 bpd from the start of the year, according to OPEC's secondary sources such as researchers and ship-trackers. Iran's OPEC governor Hossein Kazempour Ardebili insisted on Sunday that Iranian production was steady at 3.8 million bpd but appeared to soften his stance on potential increases in OPEC output. "If there is a fall not only from Iran, but anybody else, it is the responsibility of OPEC and non-OPEC to balance the market," Kazempour told reporters. Falih said returning to 100 per cent compliance was the main objective and should be achieved in the next two to three months. Although he refrained from specifying how that could be done, Saudi Arabia is the only oil producer with significant spare capacity. "The biggest issue is not with the producing countries, it’s with the refiners, it's with the demand. We in Saudi Arabia have not seen demand for any additional barrel that we did not produce." The OPEC/non-OPEC monitoring committee next meets on Nov. 11 in Abu Dhabi, followed by a full OPEC gathering at its Vienna headquarters on December 6-7.

OPEC, Russia rebuff Trump's call for immediate oil output boost

President Donald Trump said Friday he wants to use the G7 summit to resolve what he called unfair trade deals with US allies.

"Looking forward to straightening out unfair Trade Deals with the G-7 countries. If it doesn’t happen, we come out even better!," Trump wrote as part of a blast of early morning tweets ahead of the meeting Friday and Saturday in Canada.

America's closest allies are bracing for a showdown with Trump at the G7 summit, as anger at being slapped with trade tariffs by their most powerful member threatened to split the club.

Four days before Trump's ice-breaking summit with North Korea's leader Kim Jong Un in Singapore, the US president can expect a far chillier reception when he hops across the border to Canada.

Much of his fellow members' anger stems from Trump's recent imposition of tariffs on imported steel and aluminum.

But relations had already been soured by the US pullout from the Paris climate accord and the Iran nuclear deal.

President Donald Trump said Friday he wants to use the G7 summit to resolve what he called unfair trade deals with US allies

President Donald Trump said Friday he wants to use the G7 summit to resolve what he called unfair trade deals with US allies. "Looking forward to straightening out unfair Trade Deals with the G-7 countries. If it doesn’t happen, we come out even better!," Trump wrote as part of a blast of early morning tweets ahead of the meeting Friday and Saturday in Canada. America's closest allies are bracing for a showdown with Trump at the G7 summit, as anger at being slapped with trade tariffs by their most powerful member threatened to split the club. Four days before Trump's ice-breaking summit with North Korea's leader Kim Jong Un in Singapore, the US president can expect a far chillier reception when he hops across the border to Canada. Much of his fellow members' anger stems from Trump's recent imposition of tariffs on imported steel and aluminum. But relations had already been soured by the US pullout from the Paris climate accord and the Iran nuclear deal.

Trump says 'looking forward' to resolving trade disputes at G7

Leaders of the Group of Seven rich nations are set to clash with a combative US&nbsp;President Donald Trump on Friday when they pressure him to lift sanctions on steel and aluminum they fear could lead to a trade war.

The confrontation threatens to rupture a body that during its 43-year history has traditionally sought to find consensus on the economy and other issues.

Trump, who aides say has little interest in multilateralism, resumed his tirade against Canada early Friday morning and appeared prepared to exit talks early without a consensus agreement among all seven countries.

"Looking forward to straightening out unfair Trade Deals with the G-7 countries. If it doesn’t happen, we come out even better!" Trump tweeted early Friday morning ahead of his planned departure from Washington to Quebec.

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<blockquote class="twitter-tweet" data-lang="en">
Looking forward to straightening out unfair Trade Deals with the G-7 countries. If it doesn’t happen, we come out even better!
— Donald J. Trump (@realDonaldTrump) <a href="https://twitter.com/realDonaldTrump/status/1005033088202756097?ref_src=twsrc%5Etfw">June 8, 2018</a></blockquote>
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Officials concede the mood is likely to be exceptionally tense.

"There will be some serious disagreements on a lot of things," a Canadian official told reporters late on Thursday.

Although Trump says the tariffs are necessary to protect US&nbsp;industry, Canada and the European Union have denounced them as illegal and are preparing retaliatory measures.

French President Emmanuel Macron warned Trump in a rare rebuke on Thursday that the other six members of the G7 could form their own grouping if necessary, adding that "no leader was forever."

British Prime Minister Theresa May took a more measured tone, telling reporters she wanted the European Union to use restraint in its retaliation to the US&nbsp;tariffs and that the response must be proportionate and legal.

Trump showed no sign of backing down on Friday, after earlier accusing both France and Canada of imposing massive tariffs on US&nbsp;goods and then accusing Canadian Prime Minister Justin Trudeau of "being so indignant."

In response, the Canadian official replied that "the prime minister and the president have very frank, direct, candid, honest conversations." Trudeau and Trump are due to meet on Friday "and they will have lots to talk about," the official added.

The White House subsequently announced the president would be leaving on Saturday, before the summit formally ends, to fly to Singapore for a meeting with North Korean leader Kim Jong Un.

While the G7 leaders have largely praised Trump for his efforts to stabilize the Korean peninsula, they are unhappy he pulled out of an agreement designed to limit Iran's nuclear ambitions.

The arguments threaten to derail a meeting that Trudeau had planned to focus on inclusive growth, gender equality and protecting oceans.

The Canadian official said Trudeau remained optimistic that the summit could help find common solutions to issues such as growth and environmental protection.

In Germany, top officials called for Europe to remain unified in the face of rising trade tensions with the United States even as they maintained that America remained its closest partner outside of the continent.

Leaders of the Group of Seven rich nations are set to clash with a combative US President Donald Trump on Friday when they pressure him to lift sanctions on steel and aluminum they fear could lead to a trade war

Leaders of the Group of Seven rich nations are set to clash with a combative US President Donald Trump on Friday when they pressure him to lift sanctions on steel and aluminum they fear could lead to a trade war. The confrontation threatens to rupture a body that during its 43-year history has traditionally sought to find consensus on the economy and other issues. Trump, who aides say has little interest in multilateralism, resumed his tirade against Canada early Friday morning and appeared prepared to exit talks early without a consensus agreement among all seven countries. "Looking forward to straightening out unfair Trade Deals with the G-7 countries. If it doesn’t happen, we come out even better!" Trump tweeted early Friday morning ahead of his planned departure from Washington to Quebec. Looking forward to straightening out unfair Trade Deals with the G-7 countries. If it doesn’t happen, we come out even better! — Donald J. Trump (@realDonaldTrump) June 8, 2018 × Officials concede the mood is likely to be exceptionally tense. "There will be some serious disagreements on a lot of things," a Canadian official told reporters late on Thursday. Although Trump says the tariffs are necessary to protect US industry, Canada and the European Union have denounced them as illegal and are preparing retaliatory measures. French President Emmanuel Macron warned Trump in a rare rebuke on Thursday that the other six members of the G7 could form their own grouping if necessary, adding that "no leader was forever." British Prime Minister Theresa May took a more measured tone, telling reporters she wanted the European Union to use restraint in its retaliation to the US tariffs and that the response must be proportionate and legal. Trump showed no sign of backing down on Friday, after earlier accusing both France and Canada of imposing massive tariffs on US goods and then accusing Canadian Prime Minister Justin Trudeau of "being so indignant." In response, the Canadian official replied that "the prime minister and the president have very frank, direct, candid, honest conversations." Trudeau and Trump are due to meet on Friday "and they will have lots to talk about," the official added. The White House subsequently announced the president would be leaving on Saturday, before the summit formally ends, to fly to Singapore for a meeting with North Korean leader Kim Jong Un. While the G7 leaders have largely praised Trump for his efforts to stabilize the Korean peninsula, they are unhappy he pulled out of an agreement designed to limit Iran's nuclear ambitions. The arguments threaten to derail a meeting that Trudeau had planned to focus on inclusive growth, gender equality and protecting oceans. The Canadian official said Trudeau remained optimistic that the summit could help find common solutions to issues such as growth and environmental protection. In Germany, top officials called for Europe to remain unified in the face of rising trade tensions with the United States even as they maintained that America remained its closest partner outside of the continent.

G7 leaders set to clash with combative Trump over tariffs, trade

Defence minister Nirmala Sitharaman said Tuesday that US sanctions on Russia military exports would not impact long-standing ties between New Delhi and one of its key arms suppliers Moscow.

US President Donald Trump in August signed a law threatening sanctions on any country doing business with Russia's defence and intelligence sectors.

The sanctions regime affects American allies like India, which has purchased Russian military hardware and expertise for decades.

India, the world's top defence importer, had been in talks with Russia to buy S-400 long range surface-to-air missile systems when the sanctions were announced.

There had been speculation last year when the sanctions were signed into law that the $6 billion weapons deal could be scuttled.

But Sitharaman said the long-running negotiations "have reached the final stage".

“I like to make it clear here that in all our engagements with the U.S., we have very clearly explained how India and Russia’s defence cooperation has been going on for a very long time,” Sitharaman said in response to a media query pertaining to the&nbsp;US&nbsp;advising India to not go ahead with purchase of S-400 anti-missile system from Russia.

“It’s a time-tested relationship and India has got quite a lot of defence assets from Russia. Assets, spares, servicing, we have a continuous relationship with Russia,” she noted.

Sitharaman said the US&nbsp;sanctions against Russia would not be impacting “this particular characteristic of India-Russia defence cooperation”.

Negotiations with Russia for S-400 were in the final stage, she pointed out, “The S-400 deal has been on for a very long time and we have reached the final stage negotiations. That explains it all,” she said.

India has increasingly turned to the United States and France for arms purchases in recent years, but is still reliant on Russia hardware and expertise to maintain its existing arsenal.

India has very clearly conveyed to the US that the "time-tested" Indo-Russian cooperation in the defence sector will continue, including the deal for S-400 Triumf air defence missile systems for the IAF, notwithstanding the American sanctions against Moscow.&nbsp;

Sources said India wants its defence transactions with Russia to be insulated from the purview of stringent American law CAATSA and is likely to raise the issue with the US when the two sides meet in Washington for the 2+2 talks next month.&nbsp;

"In all our engagements with the US, we have clearly explained how India and Russia's defence cooperation has been going on for a long time and that it is a time-tested relationship. We have mentioned that CAATSA cannot impact the India-Russia defence cooperation," Defence Minister Nirmala Sitharaman said at a press conference.&nbsp;

She said India has got quite a lot of defence assets from Russia and the cooperation between the two countries will continue.&nbsp; 
 
In January, the US announced sanctions against Russia under its Countering America's Adversaries Through Sanctions Act (CAATSA) for Moscow's alleged meddling in the American presidential election in 2016.&nbsp; 
 
India wants to procure the long-range missile systems to tighten its air defence mechanism, particularly along the nearly 4,000-km-long Sino-India border.&nbsp; 
 
Official sources said both Russia and India are likely to announce the deal before an annual summit between Prime Minister Narendra Modi and Russian President Vladimir Putin in October.&nbsp;

(With inputs from agencies)

&nbsp;

&nbsp;

US President Donald Trump in August signed a law threatening sanctions on any country doing business with Russia's defence and intelligence sectors

Defence minister Nirmala Sitharaman said Tuesday that US sanctions on Russia military exports would not impact long-standing ties between New Delhi and one of its key arms suppliers Moscow. US President Donald Trump in August signed a law threatening sanctions on any country doing business with Russia's defence and intelligence sectors. The sanctions regime affects American allies like India, which has purchased Russian military hardware and expertise for decades. India, the world's top defence importer, had been in talks with Russia to buy S-400 long range surface-to-air missile systems when the sanctions were announced. There had been speculation last year when the sanctions were signed into law that the $6 billion weapons deal could be scuttled. But Sitharaman said the long-running negotiations "have reached the final stage". “I like to make it clear here that in all our engagements with the U.S., we have very clearly explained how India and Russia’s defence cooperation has been going on for a very long time,” Sitharaman said in response to a media query pertaining to the US advising India to not go ahead with purchase of S-400 anti-missile system from Russia. “It’s a time-tested relationship and India has got quite a lot of defence assets from Russia. Assets, spares, servicing, we have a continuous relationship with Russia,” she noted. Sitharaman said the US sanctions against Russia would not be impacting “this particular characteristic of India-Russia defence cooperation”. Negotiations with Russia for S-400 were in the final stage, she pointed out, “The S-400 deal has been on for a very long time and we have reached the final stage negotiations. That explains it all,” she said. India has increasingly turned to the United States and France for arms purchases in recent years, but is still reliant on Russia hardware and expertise to maintain its existing arsenal. India has very clearly conveyed to the US that the "time-tested" Indo-Russian cooperation in the defence sector will continue, including the deal for S-400 Triumf air defence missile systems for the IAF, notwithstanding the American sanctions against Moscow. Sources said India wants its defence transactions with Russia to be insulated from the purview of stringent American law CAATSA and is likely to raise the issue with the US when the two sides meet in Washington for the 2+2 talks next month. "In all our engagements with the US, we have clearly explained how India and Russia's defence cooperation has been going on for a long time and that it is a time-tested relationship. We have mentioned that CAATSA cannot impact the India-Russia defence cooperation," Defence Minister Nirmala Sitharaman said at a press conference. She said India has got quite a lot of defence assets from Russia and the cooperation between the two countries will continue. In January, the US announced sanctions against Russia under its Countering America's Adversaries Through Sanctions Act (CAATSA) for Moscow's alleged meddling in the American presidential election in 2016. India wants to procure the long-range missile systems to tighten its air defence mechanism, particularly along the nearly 4,000-km-long Sino-India border. Official sources said both Russia and India are likely to announce the deal before an annual summit between Prime Minister Narendra Modi and Russian President Vladimir Putin in October. (With inputs from agencies)

US sanctions won't impact India-Russia defence ties: Nirmala Sitharaman

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