China Ambassador

Beijing supports full membership of Iran in Shanghai Cooperation Organization: Ambassador 

TEHRAN – China Ambassador to Tehran Pang Sen hailed the deeply-rooted relations between the two nations. But while expressing support for Iran’s full membership in SCO, he underlined the need for more work to strengthen the comprehensive strategic partnership.

Following is the full text of his interview with Tehran Times and Mehr News Agency:

Q: What are the areas of integration between China and Iran? The two countries believe in multilateralism and disagree with U.S. shift towards unilateralism. For example, Shanghai Cooperation Organization is a good example of multilateral policy. Where does china stand on Iran’s permanent membership in SCO?

A: In June this year President Rouhani visited China to attend the Shanghai Cooperation Organization (SCO) summit held in Qingdao. The meeting was a great success. We made very good progress to map the direction of the future development of the organization. President Rouhani played there an active role and made positive contribution to the success of the summit. Two presidents also held a bilateral meeting on the sidelines of the summit. They discussed intense cooperation between 2 countries. I think that the relationships between our countries are mutually complementary. It is for the benefits of two countries as well as our nations. So there is a great potential for two countries to work together. We can build on the previous achievements to make further progress in political, economic, security, cultural areas and people to people exchange.

You mentioned about the possible membership of Iran in SCO. I would like to say that during president Xi’s visit to Tehran, two leaders issued a joint statement in which China made its position quite clear on this issue. China would be happy to see Iran play a greater role in SCO and we support Iran to be a full member of the organization.  We wish to emphasize the bilateral economic cooperation. The cooperation between two countries are in line with obligations that each of us undertake. The cooperation is transparent and legitimate.

f course we are facing some obstacles created by certain external factors among which are the U.S. sanctions against Iran. But I think that our relation is based on mutual respect and benefits which are deeply rooted in our longstanding friendship and civilization. So in the face of such difficulties we need to work together and consult on an equal footing to find ways to overcome the hardships caused by unilateral sanctions. Chinese position has always been clear. We are against such unilateral sanctions and so-called long arm jurisdiction because they are the manifestation of unilateralism and against the spirit of multilateralism. In the past two years, China and Iran have maintained close contact with each another. FM Zarif traveled to China and later the foreign ministers of remaining signatories of JCPOA met recently in New York to discuss ways how to overcome the difficulties in order to maintain the treaty because the JCPOA is an important multilateral deal and all signatories must fulfill their obligations. We are happy to see that Iran has been in full compliance with all its obligations under the deal. IAEA has issued 12 reports to certify that Iran is in full compliance with its obligations. The other partners including EU, France, Germany, UK, China and Russia have all expressed their readiness and willingness to support the continuation of the treaty. It shows that Iran is enjoying the support of the international community. I would like to mention the need to combat terrorism. Terrorism is a threat to all countries and the common enemy of the international community. There should not be any distinction between good and bad terrorism.  All of them should be seriously defeated. We need to address the issue of terrorism in its root causes for example by strengthening international cooperation, eliminating poverty and eradicating the extremist ideology. In our view, terrorism is not associated with any particular country, group of people or religion. Any form of terrorism should be fought with. There should be no double standards. China and Iran, both are victims of terrorism. We witnessed the recent terrorist attack in Ahvaz. China condemns such acts of atrocity. In the past time, we have had a very good cooperation in law enforcement and exchanging information to fight against drug trafficking, trans-boundary crime and etc. We will continue such cooperation because it is not only in the best interests of two countries and two nations but it is also for maintaining peace and stability of the region as a whole.  I also wish to say a few words about China-U.S. relations. There is an escalating trade friction between two countries. The root cause is not as we heard from the U.S. by the unilateral trade benefit gained by China because trading is beneficial for all involved parties. We are not seeking unilateral trade surplus. China wishes to set this issue through bilateral consultation and negotiation on an equal footing. Unfortunately the U.S. side is engaged in flip flopping. It rolled backed on our agreement and changed the mind. So this has made consultation between two countries very difficult. We made it clear from the beginning that China had no wish of engaging in trade war or conflict. This is not the case that China is afraid of but we don’t want such a war. But if the U.S. is determined to wage such a conflict, we are ready to fight back. China has sufficient confidence and capability to defend its interests, sovereignty, development and security.
Recently U.S. vice president Mike pence delivered a speech at a think tank. The relevant speech made unwarranted accusations against China’s domestic and foreign policies and slandered China by claiming that Beijing meddles in U.S. internal affairs and elections. This is nothing but speaking on hearsay evidence, confusing right and wrong and creating something out of thin air. The Chinese side is firmly opposed to it.

China unswervingly pursues the path of peaceful development and commits itself to developing friendly and cooperative relations with all other countries on the basis of five principals of peaceful coexistence and forging a community with a shared future for mankind. China always follows the principle of non-interference in others’ internal affairs and will by no means seek its own developments at the expense of other countries’ interests. Meanwhile, we are determined to safeguard our sovereignty, security and development interests. It is very ridiculous for the U.S. side to stigmatize normal exchanges and cooperation with China.

China’s policy towards the U.S. is consistent and clear-cut. We are committed to joining hands with the U.S. to work for non-conflict, non-confrontation, mutual respect and win-win cooperation. We advise the U.S. to reflect on its own human rights issues and stop its unwarranted accusations and slander against China and take concrete actions to maintain the sound and steady development of China-U.S. relations.

Q: On Nov. 4, the U.S. sanctions on Iranian oil come into effect. Do you think that China will comply with the U.S. demands or continue trade with Iran? Shall we expect them to reduce crude imports from Iran?

A: As for bilateral trade, I should make clear that the relations between two countries including our cooperation in energy and oil sectors is in full compliance with obligations we both have undertaken respectively. It is transparent and legitimate. We are firmly opposed to any unilateral sanctions. We know that the next round of sanctions are coming and will merely target on Iran’s’ exports. Our position is to be opposed to U.S. sanctions. We will continue our cooperation with Iran. As for the specific modality of the cooperation, the two sides have been in contact over the past few months. We consult to make every efforts to make sure that our cooperation will continue. Of course over the past years, with or without sanctions there have been fluctuations in the exports and imports of the commodities including oil that is natural. So we don’t have to be surprised if there is an increase or a decrease in the import volume of oil by China from Iran.

Q: China seeks to revive the Silk Road via the Belt and Road Initiative. Where does Iran stand on China’s Belt and Road and what are the mutual interests of the project? Which Iranian capabilities can help to secure mutual benefits?

A: First of all, I wish to emphasis the concept or initiative of one belt one road is open and transparent. Any country that wishes to join, they will be welcomed. So it is not a block limited to a few countries. We are happy to see that more and more countries are expressing their willingness and support to join this initiative. There are countries in Africa and Latin America and internal organizations also showed readiness to join the initiative. We have signed more than one hundred agreements with different countries about how to proceed the construction of one belt one road. This initiative is based on equality, openness, transparency and mutual benefits. We emphasis that one belt one road will be consulted and built collectively by all countries concerned so it is not for the self-interest of any particular country but for the joint benefits of all participating countries. Since ancient times, Iran has been a very important link on the Silk Road. More than two thousand years ago, the Silk Road existed along which China and Iran maintained very close links. The Silk Road is not limited to commercial activities but it has been a way for cultural, philosophical and religious exchange. So it is a pathway for friendship. Iran certainly has been playing a very important role form ancient times to present. We regard Iran as an important partner in the one belt one road initiative. In the past few years, we have conducted a very fruitful cooperation in a broad range of sectors. We have achieved grate progress and I think in the future, we can even work more closely for the benefits of the two countries and nations.

Q: A few years ago, Barak Obama claimed the U.S. had no idea to let China write the rules for 21st century trade. As you know the American order is based on liberalism. What is the difference between American order and Chinese order?

A: First of all, we firmly support a multilateral trading system based on WTO. Of course, in addition to WTO, there are many regional arrangements for example bilateral trade treaties or regional initiatives as you know there are different trading blocks and partners.
About this so-called TPP initiated by President Obama, they had some progress but as President Trump took office, he pulled away from this trade arrangement. Not only TPP, but under Trump administration, the U.S. withdrew from other international treaties. The same thing happened for Paris Climate Change pact and President Trump withdrew from it when it came to office. The one belt one road initiative is not aimed at or against any particular country. It is formulated for the benefits of all countries which are ready to join. That is why we see many countries such as Germany, France and UK also joined the Asian Infrastructure Investment Bank (AIIB).The one belt one road initiative is inclusive rather than exclusive. The TPP is to promote a certain group of countries in the cost of other ones and that is the main difference between TPP and one belt one road initiative.

Q: Some experts believe that China doesn’t want to transform the SCO into an anti-western organization. As a result, it avoids giving a proper support to Iran’s membership. What is your opinion on this matter?

A: As I told you, President Xi visited Iran in 2016. The two presidents issued a joint statement in which China confirmed its position to support Iran to be a full member of SCO. During the recent visit to China by President Rouhani, China made it clear again its position to support Iran. There are some countries who are not happy to see the close friendship between China and Iran. They are trying to create division between the two countries by spreading rumors. For example, a couple of years ago, I read a piece of news by BBC. It claimed that China was opposing the full membership of Iran in SCO. I had to talk to Iranian Press to make clear that this ironic story was a sheer fabrication. As I told you, China fully support Iran’s membership but the ultimate decision should be taken within SCO and by consensus. So, any decision has to go through consultation and that is why we suggested Iran should talk to other members to get a united support. As for the nature of SCO, I think that it mainly focuses on two areas: fighting terrorism and joint economic development. The membership expansion is a slow process. For example, recently, we received India and Pakistan as new members. The organization has initiated internal discussion about further expansion.  So, I wish to correct the impression and make clear that China is supportive of Iran’s membership in SCO.

 Q: What are the areas of counter-terrorism cooperation? The Iranian Parliament Speaker’s Special Aide Hossein Amir-Abdollahian said an international meeting would be held on issue of terrorism in Tehran. Will china attend the meeting? 

A: We have received invitation letter from Iranian Majlis Speaker Ali Larijani and sent it to Beijing. The matter is still under consideration.

Q: Iran and China have a common position on counter-terrorism. Have there been any moments of disagreement on this very important issue? 

A: First of all, we will focus on political area to form an international consensus in the UN and other forums. We have signaled opposition to the terrorism. For example, all agree that terrorism should be defeated. We also try to pull the international community together in order to fight terrorism in a collective way and avoid associating a particular country or religion with terrorism. China would also like to strengthen bilateral cooperation. For example, we can exchange information in regional formats such as SCO.

Q: Some experts believe that Iran and China aren’t yet strategic partners and their relationship is based on the principle of simple cooperation. How do you assess the relationship between two countries?

A: I have already mentioned that the comprehensive strategic partnership had been announced by presidents of China and Iran. Since then we have been making continuing efforts to strengthen bilateral cooperation in all areas. We have made very good progress and in June this year when President Rouhani visited China, they once again had in-depth discussion on how to enhance bilateral cooperation. There is always room for improvement and this is the same case for our bilateral cooperation. For example, in political area, we can have more frequent dialogues in different sectors and levels ranging from government departments to legislator and then people to people exchange as well as media exchange. Soon, the Chinese Xinhua News Agency will send a delegation to Iran in order to increase our media exchange. That will help to strengthen the mutual understanding between two countries. We need to take new approaches in order to overcome new challenges and keep up the level of our cooperation. We have more work to do in order to strengthen our comprehensive strategic partnership.

Q: The U.S. and China are on the brink of a trade war. How do you predict the future of this war? 

A: I can’t really speak on behalf the U.S. government but on behalf of Chinese government I should say that our position is clear. We don’t want such a war but aren’t afraid to fight back. We have full confidence and sufficient capability to defend our national interests, sovereignty, security and development. We hope that the two countries will be able to sit down and find a solution to the disputes. China and the U.S. have trade differences that is natural. The trade is not unilaterally beneficial for China but the U.S. also benefits a lot. We hope that the U.S. will understand that the best way to overcome the problem is trough consultation and negotiation rather than threat, coercion or sanction. Taking a different road will hurt both china and the U.S.

Q: As you know, low labor costs in China allows a reduction in the price of consumer goods and Trump is also critical of China’s approach to cut tariffs on some goods. What’s your opinion on this matter? 

A: The fact is that there is a trade imbalance between two countries. China has a trade surplus but this is not intentional. It is the result of comparative advantage and international division of labor. On the other hand, China wish to buy more (for ex. high tech products) from the U.S. But they set up a lot of obstacles. I think that sanction is not the right way to solve the problem but we should do it through consultation and negotiation. China doesn’t build an unfair advantage against the U.S. There are trade policies and China is complying with the rules of WTO. So, the U.S. accusations against China are based on imagination and hearsay.

Q: Is China seeking a mechanism to get rid of the U.S.-led monetary and financial order as well as dollar burden? If the answer is “Yes”, how will such a mechanism work?

A: We formally support multilateralism as well as the implantation of WTO rules. The U.S. practice to protect self-interests at the expense of others is wrong. We hope that all countries will oppose unilateralism and stick to the principals of multilateralism in order to protect our common interests.

Q: The Realist theorists believe in the military aspect of the power and don’t pay much attention to other aspects. Talking about China, they bring up this argument that its economic power might be translated into military power. That’s why they suggest that China will be the major threat to the U.S. in the future. What’s your opinion in this matter?

A: Over about forty years, China has adopted policy of reform and opening up. We have achieved tremendous progress. So China’s GDP has grown in a way that we stand as the world’s No. 2 economy.  Living condition of Chinese people have been greatly improved. A lot of people have been lifted out of poverty. On the other hand, we are fully conscious that there is a big gap between Chinese level of development and the rest of the world. There are many countries which have a far higher level of GDP per capita income. If we take per capita GDP into account, China is lagging behind many countries. So in the future, we will still concentrate on our domestic economic development in order to improve living conditions furthermore of Chinese people. Meanwhile we will also have cross-sector development in all other areas such as science, technology, education and defense because China needs to upgrade our defense capability so that we will be able to safeguard our national security as well as sovereignty. I hope that our development will be balanced. China’s growing economy and influence will bring more benefits to the world. We will make greater contribution to people’s welfare and promote peace and stability all around the world. So China’s growing influence is not for global dominance but to make a greater contribution to the common development of the entire world.

Q: China puts a great emphasis on the model of sustainable development. What are the major components of China’s model of development and how much attention will be paid to political development in this model?

A: I think this is not only a goal of China but also a goal of the UN that the development should be sustainable and green. To bring benefits to our people, we need to safeguard our environment. Over the past two years, China has worked hard in this area to combat pollution. On the other hand, we need to pay attention to the political advancement of the country in order to improve the legal system and rule of law. The political satiability is also important because without it the society gets in trouble and all efforts for economic development will be damaged. So we should strive for good governance and improve our rule of law as well as economic development. So this is a two way approach.

Source: TEHRAN TIMES

Iran Oil

Iran sold oil to private buyers through its energy exchange for the first time on Sunday, as part of its efforts to counter the imminent return of US sanctions.

Only 280,000 barrels were sold out of one million offered, and went for $74.85 per barrel, more than $4 below the initial asking price.

The identity of the buyer remained a secret, with the conservative Fars news agency saying only that a conglomerate of private firms had made the purchase through three brokerages.

The US is set to reimpose sanctions on Iran’s oil industry on November 5, following President Donald Trump’s decision to walk out of the 2015 nuclear deal in May.

The plan to sell oil to private companies on the energy exchange was floated back in July by first vice-president Eshaq Jahangiri with the aim of “defeating America’s efforts … to stop Iran’s oil exports.”

The government hopes selling to private buyers, rather than direct to foreign clients, will make it harder for the US to monitor and stop its sales.

“With the imminent return of a new wave of sanctions, the government is determined to utilise the manoeuvering ability of the private sector to sell Iran’s oil and find new markets,” Hamidreza Salehi, director of Iran’s energy exports federation, told semi-official news agency ILNA.

Some estimates show Iran’s crude exports have already dropped by a third since May when it was selling around 2.5 million barrels per day.

The government currently intends to offer oil on the energy exchange once a week, according to Fars.

Its initial base price on Sunday was $79.16, but it received limited bids as much as $16 lower as trading began, the exchange’s website showed.

The final buyer only emerged after the base price was dropped to $74.85 in the closing hours.

The head of Iran’s securities and exchange organisation, Shapour Mohammadi, promised on Friday that the identity of the buyer would not be revealed.

Source: FRANCE 24

MariaZakharova

TEHRAN – Moscow is taking steps to minimize the adverse effect of U.S. sanctions on its relations with Iran, said the spokeswoman of the Russian Foreign Ministry, while describing the sanctions as “illegitimate”.

“We are taking measures to ensure that [U.S. sanctions] have minimal negative impact on Russian-Iranian trade and economic cooperation,” Maria Zakharova said in a press briefing on Thursday, Sputnik reported.

She also referred to Iran’s Sirik thermal power plant in the southern country, and the construction of the second and the third units of Bushehr nuclear power plant as instances of economic cooperation between Tehran and Moscow.

Source: TEHRAN TIMES

India and Iran's Oil

Iran, historically, has been a key supplier of crude for India, says Sunjay Sudhir, joint secretary for international cooperation at the Ministry of Petroleum and Natural Gas

Indian public sector companies have already placed orders with Iran for crude oil supply during November, a senior government official said on Friday.

“Our public sector companies have already placed orders for the month of November with Iran,” said Sunjay Sudhir, joint secretary for international cooperation at the Ministry of Petroleum and Natural Gas.

“Iran, historically, has been a key supplier of crude for India,” he stressed after presenting investment opportunities in the Indian Strategic Petroleum Reserve programme Phase II (ISPR) to Singapore-based investors.

“In India, we are guided by our consideration for energy security,” Sudhir said.

He also said Indian officials were in talks with the US on waivers relating to Washington’s sanctions on dealing with Iran.

65 per cent of India’s crude supply comes from the Middle-East from Iraq, Saudi Arabia and Iran. The other two main suppliers are Venezuela and Nigeria.

Crude oil supply from the US has been choked due to the pipeline and terminal infrastructure at the supply points. “The constraints are on the US infrastructure side,” he said.

India has imported about 30 million barrels of US crude over the last year, starting October 2017. India imports over 80 per cent of its crude oil needs.

Touching on the ISPR II programme, Sudhir said, “we are exploring the Public-Private Partnership (PPP) model”.

Source: Business Standard

‌Bijan Zanganeh

LONDON (Reuters) – The United States cannot stop Iranian oil exports by imposing sanctions on Tehran, Iran’s oil minister said on Tuesday, warning that such restrictions will ensure the market remains volatile.

Washington plans new sanctions targeting Iran’s oil sector from Nov. 4 with the aim of stopping the country’s involvement in conflicts in Syria and Iraq, and bringing Tehran to the negotiating table over its ballistic missile program.

“As long as America targets Iran, one of the biggest crude producers, with sanctions, the volatility in the oil market will continue,” Tasnim news agency quoted Oil Minister Bijan Zanganeh as saying.

“Iranian oil exports cannot be stopped,” Zanganeh said.

Zanganeh reiterated his Monday remarks that Iranian oil output cannot be replaced by that of other oil-producing countries if Tehran is hit by U.S. sanctions.

Zanganeh said in an interview on the state television: “We will spare no effort to resist the cruel U.S. sanctions against the Islamic Republic.”

Iranian President Hassan Rouhani also said “the animosity of the current U.S. government towards Iran and the Iranians is unprecedented,” but added that Washington would fail to achieve its goals.

Rouhani was quoted by Tasnim news agency as saying: “Iran will smoothly overcome the problems Americans have created in recent months.”

Nov. 4, is also the anniversary of the 1979 seizure of the U.S. embassy in Tehran, when Iranian students in coordination with radical clerics took 90 hostages and held 52 of them captive for more than a year.

Source: Reuters

The EU-proposed financial mechanism that will enable countries to bypass U.S. sanctions on trade with Iran will be launched next month, Iran’s ambassador to Russia Mehdi Sanaei said.

“This mechanism will be launched in November 2018,” the diplomat told Russia’s Izvestia newspaper.

“Iran is a responsible member of the international community. The reports by the IAEA – there are more than 12 – prove that Iran complies with its obligations. So the EU is working on a financial-economic plan for trade cooperation with Iran,” Sanaei said.

EU’s plan was announced in September by its foreign policy chief Federica Mogherini after a meeting of Chinese, French, German, Russian and UK foreign ministers. The new payment system will comply with international standards and will be open other partners in the world, Sputnik recalls.

Source: VESTNIK

Iran Sri Lanka

ECONOMYNEXT  – Sri Lanka, which is dependent on Iranian light crude has sought advice from India on its strategy on purchasing oil from the country in the light of tightening US sanctions during bilateral talks.

Sri Lanka’s Petroleum Minister Arjuna Ranatunga has sought information on how India will act in the case of tighter sanctions from Indian External Affairs Minister Sushma Swaraj, a statement from the office of the Prime Minister Ranil Wickremesinghe who is leading a delegation said.

The US has unilaterally broken out of with Iran on de-nuclearization struck with broad support, which the EU is still backing.  But the US has bullied firms in the EU into accepting its stance using its economic powers.

Sri Lanka is also dependent on US dollar clearing to maintain its international payments.

Swaraj had explained India’s strategy on India and has said Sri Lanka could also follow the process and promised further information.

India is a big buyer of Iranian oil.

India along with Sri Lanka is part of a the Asian Clearing Union, a kind of net settlement system set up by a group of countries with central banks with inconsistent policy that operates failing soft-pegs with the US dollar and therefore have persistent foreign exchange shortages .

Sri Lanka’s ageing state-run refinery, originally built by the Soviet Union, works best with Iranian light crude, with other heavier crudes not generating enough light distillates. (Colombo/Oct21/2018)

FATF

The international group that monitors money laundering worldwide said on Friday Iran had until February to complete reforms that would bring it into line with global norms or face consequences.

“The Financial Action Task Force decided at its meeting this week to continue the suspension of counter-measures,” it said in a statement, Reuters reported.

“However, the FATF expresses its disappointment that the majority of the Action Plan remains outstanding and expects Iran to proceed swiftly in the reform path.”

Iran has been attempting to bring itself into line with global anti-money laundering and countering financing of terrorism rules since it committed to completing an Action Plan set forth by the FATF.

The country is under pressure to find new ways to maintain connections to the global financial system as US sanctions bite and the Trump administration prepares to impose measures intended to stop Iranian oil exports in November.

In June 2016, the FATF welcomed Iran’s high-level political commitment to address its strategic AML/CFT deficiencies, and its decision to seek technical assistance in the implementation of the Action Plan. Given that Iran provided that political commitment and the relevant steps it has taken, the FATF decided in June 2018 to continue the suspension of counter-measures.

Iran’s Progress 

In December 2017, Iran established a cash declaration regime. Since June it has enacted amendments to its Counter-Terrorist Financing Act and Parliament has passed amendments to its AML law and bills to ratify the Palermo and TF Conventions. The FATF notes the progress of the complex legislative process.

“As with any country, the FATF can only consider fully enacted legislation. Once the remaining legislation is fully in force, the FATF will review this alongside existing enacted legislation to determine whether the measures contained therein address Iran’s Action Plan, in line with the FATF standards,” the group said in its statement on Friday.

It added that Iran’s action plan expired in January. In October the FATF noted that the following items are still not completed and Iran should fully address its remaining items, including: adequately criminalizing terrorist financing, including by removing the exemption for designated groups “attempting to end foreign occupation, colonialism and racism”, identifying and freezing terrorist assets in line with the relevant United Nations Security Council resolutions, ensuring an adequate and enforceable customer due diligence regime,  ensuring the full independence of the Financial Intelligence Unit, ratifying and implementing the Palermo and TF Conventions and clarifying the capability to provide mutual legal assistance.

“By February 2019, the FATF expects Iran to have brought into force the necessary legislation in line with FATF standards, or the FATF will take further steps to protect against the risks emanating from deficiencies in Iran’s AML/CFT regime. The FATF also expects Iran to continue to progress with enabling regulations and other amendments,” it said.

Iran will remain on the FATF Public Statement until the full Action Plan has been completed. Until Iran implements the measures required to address the deficiencies identified in the Action Plan, the FATF calls on its members and urges all jurisdictions to continue to advise their financial institutions to apply enhanced due diligence, including obtaining information on the reasons for intended transactions, to business relationships and transactions with natural and legal persons from Iran, consistent with FATF Recommendation 19.

Iranian lawmakers on October 7 passed an important bill that allows Iran to join the UN convention that aims to cut off terror financing. The measure, which was fiercely opposed by hardline groups, was passed by 143 votes to 120 and was the last piece of legislation sent by the government to bring the country in line with global standards on countering the financing of terrorism and anti-money laundering.

Source: FINANCIAL TRIBUNE

فدریکا موگرینی

EU decides to put Iran payment system in place: Mogherini

European Union Foreign Policy Chief Federica Mogherini said the block has decided to put its plan aimed at creating a payment channel to preserve business with Iran and circumvent new US sanctions in place.

‘This is something that we presented during the [United Nations] General Assembly ministerial week in New York. The Member States of the European Union have decided to put this system in place, so they are now working on the concrete establishment of this [payment channel]. I am confident that they will continue this work in a successful manner in the coming weeks, Mogherini said on Thursday evening, the EU official website reported on October 19.

Following a ministerial meeting on September 24 in New York, the participants welcomed an EU initiative to establish a Special Purpose Vehicle (SPV) to facilitate payments related to Iran’s exports (including oil) and imports.

‘I have to say that our partners from Asia have always shown a lot of interest in working to keep the full implementation of the JCPOA (Joint Comprehensive Plan of Action); obviously for security reasons that also concern Asia and Central Asia, she added.

‘But we tend to forget that Iran is not only a Middle Eastern country; it is also a country that have long borders with Afghanistan for instance, and that has many interests and links with Asia. I have always very much seen the interest and also exactly the same position that we have with our Asian partners on the need to maintain the JCPOA and on the need for Iran to stick to the full compliance to the nuclear commitments taken, the EU foreign policy chief said.

Back in May, US President Donald Trump pulled his country out of the 2015 Iran nuclear deal, known as the Joint Comprehensive Plan of Action (JCPOA), despite objections from other signatories of the accord.

In August, Washington re-imposed the first round of anti-Iran sanctions it had lifted under the JCPOA. A second round, forthcoming on November 4, will be targeting Iran’s energy sector and financial transactions.

Source: MENAFN

INDIA IRAN

India, Iran Aim To Roll Out Part Of Chabahar Before US Curbs

India and Iran have renewed efforts to operationalise one berth at the Chabahar port amid growing fears of US sanctions on Iran kicking in early next month. An Iranian delegation was in Delhi last week and it was decided to redouble efforts to complete the remaining work for the first berth.

Sources said the project was delayed due to fears of US sanctions and efforts were on to put in place a payment mechanism for the strategically important Chabahar port through banking channels of the two countries.

India is investing $500 million to develop the port and the road link from Chabahar to Afghanistan, which will allow New Delhi access to Afghanistan via the sea-land route bypassing Pakistan.

It has taken more than 15 years for India and Iran to operationalise the port after it was first proposed during Atal Bihari Vajpayee’s tenure.

Source: ENERGY INFRA POST