Washington, D.C. — According to a new poll released May 8, 2018, by the Pew Research Center, only 32 percent of Americans approve of the Iran nuclear agreement. Similarly,
only 33 percent agreed with it in July 2015 under Barack Obama. In 2015, Iran came to an agreement with the United States, the United Kingdom, Russia, France, and China—plus Germany) and the European Union. On May 8, 2018, the same day the poll was released, President Donald Trump announced he will be ending the deal with Iran to negotiate a better deal.
According to the 2015 deal, Iran would redesign, convert, and reduce its nuclear facilities and accept the Additional Protocol (with provisional application) in order to lift all nuclear-related economic sanctions, freeing up tens of billions of dollars in oil revenue and frozen assets. You can see details of the 2015 agreement here.
President Trump said on May 8, 2018, “The Iran Deal was one of the worst and most one-sided transactions the United States has ever entered into.” On the same day, the State Department made the following statement:
“So the sanctions reimposition that the President talked about is going to come in two phases. There’s going to be one period for wind down that lasts about – that lasts 90 days, and one period of wind down that lasts six months. The six-month wind down – wind downs are, by the way, pretty standard across sanctions programs. So this is not Iran-specific, but oftentimes when we either impose sanctions or reimpose sanctions, we provide a wind down to allow both U.S. companies but foreign companies as well to end contracts, terminate business, get their money out of wherever the sanctions target is – in this case, Iran. Because what we want – we don’t want to do is we don’t want to impact or have unintended consequences on our allies and partners. We want to focus the costs and the pain on the target. And in this case, that’s the Iranian regime.
So wind downs are pretty natural. In this case, we’re providing a six-month wind down for energy-related sanctions. So that’s oil, petroleum, petrochemicals, and then all of the ancillary sanctions that are associated with that. So, for example, banking; sanctions on the CBI in particular, because the Central Bank of Iran is involved in Iran’s export of oil and the receipt of revenues. Shipping, shipbuilding, ports – all of those sanctions that are related to both the energy sector and then the banking and the shipping or transportation of that energy will all have a six-month wind down. Everything else is going to have a 90-day wind down. So that’s – the architecture of the Iranian sanctions program was quite complex, but everything else includes things like dealing in the rial, providing metal – precious metals and gold to the Iranian regime, providing U.S. banknotes.
So there’s a whole kind of swath of other sanctions that are all going to have a 90-day wind down. In addition, within the first 90 days, the Treasury Department is going to work to end – to terminate the specific licenses that were issued pursuant to the statement of licensing policy on civil aviation. So Treasury’s going to be reaching out to those private sector companies that have licenses and work to end – terminate those licenses in an orderly way that doesn’t lead to undue impact on the companies.
The other big action that has to be done is the re-designation of all of the individuals that were delisted pursuant to the JCPOA. There are over – I think 400 and some odd were specifically designated for conduct, and another 200 or so were identified as part of the Government of Iran. Treasury – that’s obviously a big – it’s a lot of work for Treasury. Their aim is to relist all of those individuals and entities by the end of the six-month wind down. They’re not going to relist entities and individuals overnight, and – both for practical reasons, but also for policy reasons. If some of those individuals and entities were relisted right away, it would impact the wind down, right? So if we’re allowing a six-month wind down for energy-related or petroleum-related business, and then you designate – you re-designate tomorrow an Iranian-related petroleum entity, it makes null and void the six-month wind down that you just provided. So that’s all going to be done in a coherent way to provide a real wind down period.”