US maximum enforcement of economic isolation on Iran – Economic War

The US State Department announced on Tuesday that they aim to cut off all Iranian oil exports by November.

The US has launched an economic offensive to collapse the Iranian government, which already has an economy with 10% inflation and 12% unemployment.

One-third of Iran’s under-30s are out of work.

Chanting at recent protests in Iran indicate that many blame their own government’s foreign policies for the downturn.

U.S. measures penalize countries and companies that do business with Iran.

U.S. sanctions will be felt across every aspect of the Iranian economy except food and medicine.

US pressuring South Korea to cut off importing 14% of Iran’s oil

The US has threatened close allies such as South Korea with sanctions if they don’t cut off Iranian imports by early November. South Korea accounted for 14 percent of Iran’s oil exports last year, according to the US Energy Department.

China is the largest importer of Iranian oil at 24 percent, followed by India at 18 percent. Turkey stood at 9 percent and Italy at 7 percent.

Saudi Arabia has indicated they will ramp up oil production by about 1 million barrels of oil per day and possibly 2 million barrels of oil per day. The 2 million bpd figure was tweeted by Trump but Saudi Arabia has said they would honor the OPEC agreement of 1 million bpd.

Turkey has said they would not agree to the Iran oil sanctions.

The impact should be that Iran will export less oil and they will get a lower price for the oil that they do export.

Differences When Obama had sanctions on Iran

Obama also applied economic sanctions on Iran. Obama’s team got diplomatic agreement from Europe and other allies. Obama tried to phase in the sanctions. Trump is going for equivalent of shock and awe with a fast and heavy implementation of sanctions and requiring countries and companies to comply.

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