Teheran: US President Donald Trump warned countries against doing business with Iran on Tuesday as he hailed the “most biting sanctions ever imposed”, triggering a mix of anger, fear and defiance in Tehran.
“The Iran sanctions have officially been cast. These are the most biting sanctions ever imposed, and in November they ratchet up to yet another level,” Trump wrote in an early morning tweet.
“Anyone doing business with Iran will NOT be doing business with the United States. I am asking for WORLD PEACE, nothing less.”
Within hours of the sanctions taking effect, German automaker Daimler said it was halting its business activities in Iran. Trump’s withdrawal from a landmark 2015 nuclear agreement in May had already spooked investors and triggered a run on the Iranian rial long before nuclear-related sanctions went back into force.
“I feel like my life is being destroyed. Sanctions are already badly affecting people’s lives. I can’t afford to buy food, pay the rent…” said a construction worker on the streets of the capital. The sanctions reimposed on Tuesday — targeting access to US banknotes and key industries such as cars and carpets — were unlikely to cause immediate economic turmoil.
Iran’s markets were actually relatively buoyant, with the rial strengthening by 20 percent since Sunday after the government relaxed foreign exchange rules and allowed unlimited, tax-free gold and currency imports. But the second tranche on November 5 covering Iran’s vital oil sector could be far more damaging — even if several key customers such as China, India and Turkey have refused to significantly cut their purchases.
A Systems Fix
Dilip Cherian Governments, especially those with strong political instincts, usually respond to crises with tougher laws, tighter enforcement and louder...
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