Iranian official calls for negotiations with Washington in Iraq

[Pitcher]

Iran will not rein in its influence in the Middle East despite mounting U.S. pressure on Tehran to curb its regional activities, Foreign Minister Mohammad Javad Zarif told Qatar’s al Jazeera TV, according to Reuters. 

“Iran will not change its policies in the region because of U.S. sanctions and threats,” al Jazeera on Monday quoted Zarif as saying.
In May, President Donald Trump exited Iran’s 2015 nuclear deal with major powers, saying it failed to address Iran’s ballistic missile program, its nuclear activities beyond 2025 or its role in conflicts in Yemen and Syria.

 

https://www.thebaghdadpost.com/en/Story/30620/Iran-will-not-change-regional-policies-under-U-S-threats-Zarif

[Pitcher]

Iran bows under growing economic pressures

 

Troubles are mounting in Iran. Its currency, the rial, has lost more than half its value against the dollar on unofficial markets this year and inflation is soaring. Even middle-class Iranians are struggling to get by, with food prices rising and reported fuel shortages in some cities. Sporadic anti-government demonstrations are continuing, The Financial Times said in its opening on Monday.

 

Worse, the economic pressure on the country is set to mount. The US government last week reinstated economic sanctions that had been waived as part of the Iran nuclear deal of 2015. 

 

These punitive economic measures are set to intensify in November, when the US will seek to ban Iranian oil exports.

 

EU nations have pledged to try to preserve economic ties with Iran. But it seems probable that most large European companies will sacrifice trade with Iran, rather than risk suffering from secondary sanctions.

 

The US government says its goal in re-imposing sanctions is to force Iran to make deeper concessions on its nuclear programme and to stop its military and political intervention in neighbouring countries — in particular Syria, Lebanon and Iraq. Tehran charges that the Trump administration’s real goal is “regime change”.

 

It has some justification for its suspicions. John Bolton, the US national security adviser, asserted last week that changing the regime inIran is not America’s goal. Before joining the government, however, Mr Bolton had explicitly called for the fall of the Iranian government.

 

 

Since the Iranian revolution of 1979, the clerical regime has been guilty of serious abuses of human rights, economic mismanagement and the support of terrorism and insurgencies around the region.

 

The Iranian people and the Middle East deserve better. It would, however, be far preferable if Iran moved towards a more liberal and open regime through a process of domestic reform, rather than as a result of crushing external pressure. 

 

 

The history of Iran and the wider Middle East gives ample warning that sudden violent changes in government have rarely led to happy outcomes — particularly when they have had external sponsors.

 

 

The outcomes of the Iranian revolution, the Egyptian revolution of 2011 and the Syrian uprising the same year all offer cautionary tales of dashed hopes and subsequent violent repression. 

 

America’s intervention in Iraq in 2003 did rid the country of Saddam Hussein, but at the cost of hundreds of thousands of lives, and the rise of Islamic State.

 

 

The current pressures on Iran risk unleashing political forces that undermine hopes for moderate reform while empowering hardliners on both sides. Of course, things could take a more hopeful path.

 

 

But it would be a massive gamble for outsiders to deliberately encourage regime change. The US does have legitimate foreign policy goals that it might be able to advance through economic sanctions. 

 

 

This newspaper, however, supported the Iran nuclear deal and continues to believe that the Trump administration was wrong to abandon an agreement that halted Iran’s progress towards nuclear weapons.

 

 

President Donald Trump’s offer to Tehran of unconditional talks suggests that the diplomatic path has not been totally cut off. 

 

Iran will be extremely reluctant to make further concessions on the nuclear issue and is unlikely to abandon its regional allies in Syria, Lebanon and Iraq.

 

But mounting economic pressure and domestic discontent could yet force a reassessment. AnIran that was prepared to concentrate on vital domestic reforms rather than its regional ambitions would offer a better future to its people.

 

https://www.thebaghdadpost.com/en/Story/30614/Iran-bows-under-growing-economic-pressures

[Pitcher]

I’ve been watching the Turkey Lira lose a lot of its value today. The speed of this currency going down is a bit scary as far as contagion goes.  I’m pretty sure we will be reading about a few Banks going under if this keeps up.  I’m just hoping that there aren’t too many banks in Europe or the US that have loan exposure in Turkey.  

 

Im also wondering if this is part of a bigger plan to make the Iraqi Dinar the strongest currency in the ME.  Iran Rial on the ropes, Turkey Lira going down hard.  Mmmm. Isn’t it a little preposterous to put a country on US sanctions over the jailing of a US Pastor.  It just seems a little extreme.  

 

Read Between the Lines!!!   The Trump Administration is hammering anyone not sympathetic to US interests.  It’s a very dangerous game in my opinion but we shall see how it plays out.  Stay tuned, watch the news.  

 

Oil is also getting beat up today on a strengthening dollar and a fear Emerging Markets will slow in their economic growth.  I had a good day shorting oil today. I just react to the news and what I see on the charts. I’m seeing some breakdown across the board in the technicals. Time to be alert folks.  I’m not too concerned yet but watching all markets very closely in the coming days. Just keep in mind it’s summer vacation time and markets are moving on lower volumes. Crooks, I see it almost every year.  

[Pitcher]

Argentina raised its interest rates to 45% today. Wow!!!  Talk about inflation.  Emerging Countries with large debt are going to be in a bit of trouble. Again watch the contagion effect and how this plays out.  

[Pitcher]

Goldman Sachs warns about US companies' emerging market exposure as Turkey crisis flares up

• Of Goldman's emerging market stock basket only 47 percent of companies in the basket posted positive earnings surprises.
• Components of Goldman's emerging market list include Wynn Resorts and Las Vegas Sands, both of which have more than 70 percent sales exposure to BRIC countries.
• The bank's cautious note came as the Turkish lira continued its downward spiral Monday with a 7 percent drop after plunging roughly 20 percent against the dollar Friday.

 

 

https://www.cnbc.com/2018/08/13/goldman-sachs-warns-about-emerging-market-exposure-as-overseas-currenc.html

 

 

 

 

 

 

 

[Pitcher]

I had trouble downloading the last article. It’ is a good article to read. Just click the link. I’ll try to find some other articles that I can get  downloaded

[Pitcher]

Iran's Khamenei: No war, no negotiations with Trump

Supreme leader rejects Trump's offer as foreign minister questions whether US president is 'serious about talks'.

3 hours ago

•  
•  

 

Iran's Supreme Leader Ayatollah Ali Khamenei rejected Trump offer of talks to improve ties [ Official Khamenei website/Reuters]

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Iran's Supreme Leader Ayatollah Ali Khamenei has ruled at negotiations with the administration of US President Donald Trump, going toe-to-toe with him in a series of social media posts.

"Even if we ever - impossible as it is - negotiated with the US, it would never ever be with the current US administration," Khamenei said on Monday.

Khamenei, who has the final say in Iran's most important political decisions, said that as demonstrated in the 2015 nuclear deal, his country will only enter into negotiations in the position of strength "so that US' pressures and uproars won't affect us".

"Recently, US officials have been talking blatantly about us. Beside sanctions, they are talking about war and negotiations. In this regard, let me say a few words to the people: THERE WILL BE NO WAR, NOR WILL WE NEGOTIATE WITH THE US," Khamenei continued.

In another post, he also listed a litany of reasons why Iran is not negotiating with the US, including Washington DC's refusal to "retreat an inch from the self-asserted goals".

 

https://www.aljazeera.com/news/2018/08/iran-khamenei-war-negotiations-trump-180813135405516.html

[Pitcher]

Iran's Khamenei: mismanagement hurts economy more than US sanctions

FacebookTwitterGoogle+EmailWhatsApp

 

 

Iran’s so-called Supreme Leader Ayatollah Ali Khamenei accused the government on Monday of economic mismanagement and said it needed to improve its performance to help the country better weather newly reimposed U.S. sanctions, Reuters reported.

 

Washington reimposed strict sanctions against Iran last Tuesday and President Donald Trump has threatened to penalize firms from other countries that continue to operate in the Islamic Republic. Iran has denounced the sanctions as “U.S. unilateralism”.

 

“More than the sanctions, economic mismanagement (by the government) is putting pressure on ordinary Iranians ... I do not call it betrayal but a huge mistake in management,” Iranian state TV quoted Khamenei as saying, in his first reaction to the reimposition of U.S. sanctions.

 

“With better management and planning we can resist the sanctions and overcome them,” Khamenei said.

 

Iran’s rial currency has lost about half of its value since April in anticipation of the renewed U.S. sanctions, driven mainly by heavy demand for dollars among ordinary Iranians trying to protect their savings.

 

Iranian officials have blamed “enemies” for the fall of the currency and a rapid rise in the price of gold coins, and more than 60 people, including several officials, have been arrested on charges that carry the death penalty.

 

“The fall of the rial and the increase in gold coin prices are major economic problems... The corrupt people (officials) should be punished firmly,” Khamenei said told a gathering attended by thousands of Iranians, state TV reported.

Khamenei on Saturday called for “swift and just” legal action by new courts set up to tackle corruption after the head of the judiciary said Iran was facing an “economic war”, Iranian media reported.

 

Fearing further economic hardship, thousands of Iranians in recent weeks have protested against the slump in the rial, sharp rises in the prices of some food items and state corruption.

 

The protests in cities and towns across Iran have often begun with slogans against the high cost of living, high prices and a lack of jobs, but have then quickly turned into anti-government rallies.

Trump reimposed the sanctions after pulling the United States out of an international accord that aims to curb Iran’s nuclear program. He said the deal was not working and also has said Iran must stop meddling in conflicts in Syria and Yemen.

 

The sanctions prevent Iran from trading in gold and precious metals. They also ban purchases of U.S. dollars by Iran and sanction its automotive sector.
Unless Iran’s clerical rulers comply with the U.S. demands, more sanctions targeting Iran’s oil and shipping industries are set for November.

 

https://www.thebaghdadpost.com/en/Story/30617/Iran-s-Khamenei-mismanagement-hurts-economy-more-than-US-sanctions

 

[6ly410]

 

[Pitcher]

This is a no brainer.  Stop spending Iran’s money on nuclear bombs and proxy wars all over the ME.

The sanctions would go away and money could be used to help the Iranian people. What a novel idea.  

Their leaders are garbage, time to change.

[Pitcher]

Yes 6ly410, not surprising since it looks like Sadr is the winner of the elections and Iraq’s #1 trading partner is Iran.

 

It will be interesting to see how the Trump Administration responds to this flip.  I’m expecting a US Official to be in Iraq soon!!!

[Synopsis]

I've wondered, too, about what the "replacement plan" looks like with Iran outed. Electricity is one thing, certain goods another. Looks like Saudi Arabia and Kuwait can step up to the plate and provide replacement electricity but I wonder how much of the electricity transmission infrastructure is in place, secure, and operable. I suspect the goods normally obtained from Iran are available elsewhere possibly through Jordan, Saudi Arabia, and Kuwait. The port of Fao will be operational in the future and should open up opportunities provided the Strait of Hormuz is navigable. I suspect the Strait of Hormuz will remain free and clear. Fortunately, the Iraqi economy has been dependent almost exclusively on oil so Iraq has no intense financial commerce with Iran. Outing Iran from the Iraqi dollar exchanges is another thing but is being dealt with. I anticipate erratic behavior from Iran in the upcoming weeks and months until they are outed completely.

 

So, the need for the reconstruction, construction, economic development, and foreign investment appears to be intensifying. There may be more odd "scrambling" news in Iraq as the "circumstances formulate".

 

In The Mean Time......................................................

 

Go Moola Nova (YEAH AND YEE HAW, BABY, READY WHEN YOU ARE BROTHER (OR SISTER) - LET 'ER BUCK!!!)!!!

   

[Butifldrm]

 

2018/08/13 17:37

Number of readings 542

 

 

Abadi: I have not announced a decision on Iraq's position on US sanctions against Iran

 

 

BAGHDAD / Prime Minister Haidar al-Abadi said on Monday (August 13, 2018) the most important issues to be discussed during his visit to the Turkish capital Ankara, which is scheduled for Tuesday, "indicating" his final position on the US economic sanctions against Iran.

"The water issue is the most prominent in our visit to Turkey because of the huge reduction of Iraq's share of them and we want a great understanding and understanding to ensure this share as we will discuss the security and economic file," Abadi said at his weekly press conference.

"We want to keep the relationship good with the neighboring countries and we want it to be effective in the interest of all," he said, denying that there was controversy in his visit to Iran.

"I have not made a decision on Iraq's stance against US sanctions against Iran, but it was a vision and we are serious in opposing it because the Iraqi people have suffered an unjust blockade and it is not right for the people to bear these sanctions," Abadi said.

"It is not the right of a large and powerful state to impose a blockade on a state," he said, referring to the United States.

"Iran remains a neighboring country and we want to resolve all the issues of dispute," he said. "It is in the interest of Iraq and its people to live in peace, integration and common interests between countries."

"The sanctions are not from the United Nations but they are American, the dollar is a US currency and any dealings with it must be passed through the US Federal Bank, which has imposed sanctions on Iran," the prime minister said.

"We do not want to sabotage the relationship between the two countries, despite the attempts of some to do so. We regret the misuse of some of the relations with Iran and the reaction of some officials in the neighboring country," he said. Individuals and not an official position. "

"We do not back down from the rights of our people and the interest of the Iraqis and we do not want to abuse and transgress against anyone and we are not part of an unjust campaign against any neighboring country, we do not cooperate with it and we do not accept it."

He noted that "dealing with the dollar with Iran, there is no solution before us, but the commitment to US sanctions and it is not our business to look for an alternative to the dollar with them, but the state of the matter that does not have the capacity to receive," noting, "We have not taken any decision yet on dealing with a substitute for the US currency" .

"I am ready to pay my life and all positions to serve the Iraqi people and everyone has to give the people their own interests," he said.

On the other hand, the Prime Minister stressed that "there are measures to re-evaluate the officials responsible for the various service responsibilities and assess the level of performance and efficiency, corruption and integrity and follow-up of what they provide, whether in the provinces or ministries," noting that "we issued orders for change and began the Ministry of Electricity and we will start with ministries and other institutions."

He added, "We are arming the armed forces and upgrading their capabilities to be ready because the threat continues from inside and outside Iraq from different terrorist groups. We have issued decisions to arm the army and maintain aircraft and provide them with what is required for their important role in securing air cover for the ground forces and pursuing terrorists in remote areas and deserts. "He said.

"We are keen to modernize all military equipment and naval force as an important and essential part of protecting Iraq's ports and oil installations," he said.

"We want to inspect all the weapons stores, including the popular crowd as a new force and get bad storage, which led to several accidents, some of them with high temperatures," he said.

"A high committee was set up to inspect the sites of the crowd and to find alternatives to store them properly."

Follow the obelisk

http://almasalah.com/ar/news/147082/العبادي-لم-أعلن-قرارا-بموقف-العراق-من-العقوبات-الامريكية-ضد-ايران

[yota691]

A tribute to the Government's neutral approach to the regional conflict in the region

15/8/2018 12:00 am  Politicians for the morning: Iraq plays an important role in bringing the views of the parties closer Baghdad / Shaima Rashid / Tehran / Khawla Al Jaf The political circles and analysts praised the neutral approach taken by the government from the conflicts between the regional countries and the major countries, stressing that Iraq can play an important role in bringing the views of different parties because of the good relationship with them, comes at a time when a government spokesman clarified the fact of cancellation Prime Minister Haider al-Abadi visited Iran, while Iraqi Ambassador to Iran Rajih al-Moussawi said during a seminar held at the embassy in Tehran that Iraqi Prime Minister Haider al-Abadi stressed the rejection of US sanctions against the Iranian people.  Saad al-Hadithi, spokesman for the Prime Minister's Information Office, responded to the news that a planned visit by Prime Minister Haider al-Abadi to Iran had been canceled. He said in a press statement: "We usually announce official visits and details a day or two ago, "No explicit source has announced that there is a visit to Prime Minister Haider Abadi to Iran to be canceled," added Hadithi, "is not interested in what is published in some media in this regard."  On the other hand, the Iraqi ambassador in Tehran said during a seminar to be held by the embassy: "The Prime Minister Haider Abadi, stressed the rejection of US sanctions on Iran, which pursues the policy of starving the entire people and refused to deal with them." Al-Moussawi said that "Abadi was intended to reject the sanctions and rejection Commitment to dealing in dollars has been misunderstood. " Al-Moussawi pointed out that "there are great relations between the two countries, and the fact indicates that there are almost 6-8 billion dollars, which represents the trade volume between the two countries." He pointed out that the movement of citizens between the two countries is continuing normally, Which is estimated at 3 million visitors from Iran. "  "The Iraqi people can not forget the historical position of the Iranian people, which played a significant role in eliminating the terrorist threat, and Iraq is keen to maintain relations between the two countries," Moussawi said. Balance of Relations  To that, praised the winning candidate in the elections Riad al-Tamimi, the position of the good government of the conflict that occurs in the region between the major powers and countries of the region, adding that "neutrality and convergence of views of the most important positions of the government today." Al-Tamimi told Al-Sabah: "The Iraqi government today is working to create a balance in its relations with the neighboring countries and the major countries in the existing conflict and trying to be a platform of understanding for all countries. Iraq has an idea about the conflict and takes the position of neutrality and bringing the views between the parties "He said.  He added that "the Iraqi government has taken decisions in accordance with the Constitution not to interfere in any regional or international conflict and be a center away from all conflicts for the sovereignty of the country because it leads to loss and loss," noting that "the government has a vision in this regard."  In turn, a member of the coalition of victory Alaa Dalvi, that "it is in Iraq's interest today to be neutral with all parties and parties so as not to reflect conflicts negatively on his interests." "Iraq is a country with sovereignty and special status, so it has to be away from these issues because the interest of the country requires that we be neutral with all countries and try to bring the views of the conflicting countries closer," he said. Maintains all regional relations ".  He continued: "Iraq today can not give up its regional status or international status, so Iraq must control the conflict between the major powers and regional so as not to reflect negatively on him." Politics of neutrality For his part, explained the political analyst Haidar al-Musawi, "Iraq follows the policy of neutrality in the conflicts that occur today in the region, despite his rejection of any sanctions that will cause starvation of peoples." "The actions taken by US President Donald Trump against Iran or Turkey are incorrect measures based on the principle of imposing sanctions, which could lead to the tension of the fragile economic situation and the starvation of the people. Therefore, Iraq is part of what is happening in the region," al-Moussawi told al-Sabah. In terms of trade and economic transactions. "  He added that "Iraq may take the role of mediator between the major powers and countries of the region," noting that "the next stage could play the next government such a role through mediation between Tehran, Ankara and Washington."  Moussaoui expressed his concern that "the consequences of the sanctions will turn into a major crisis and therefore we do not want to be part of the axes." He added that "Iraq is committed, as the Prime Minister said to the Constitution and non-interference in the internal affairs of countries as well as international law, There is condemnation of the starvation of peoples. " The political analyst Iyad al-Anbar, he explained, "the difficulty of Iraq to be neutral position in front of what is happening in the region, especially as it is tangled with its relations with the conflicting countries, whether with countries with regional influence or major countries," saying "morning": "Iraq over the past period has not "Iraq must have a clear and frank position with these crises because it is a strategic ally with the US and Iran as well," noting that "Iraq needs to be influential and can convince his allies from the Turks and Iranians Neutral position ".  For his part, called the Chairman of the Committee on Foreign Relations, former parliamentarian Abdul Bari Zebari, the government to approach the United States to exclude Iraq from sanctions against Iran, pointing out that Iraq will be the most affected by those sanctions. Zebari said in a press statement: "The current government is preoccupied with negotiations to form a government and is unable to play the role of mediator in the truce between Iran and America, but it is able to demand from the US side to exclude Iraq from sanctions imposed on Iran."  "The government must convince the United States that Iraq will not be within an enemy axis of a neighboring country," he said. Noting that "trade exchange between the two countries was affected during the few days because of the sanctions, which reflected negatively on the Iraqi market." He pointed out that "Iraq is one of the countries most affected by those sanctions because of the volume of economic exchange with neighboring Iran."

[Pitcher]

Trump’s Iran Sanctions Are Backfiring in Iraq

The U.S. crackdown on Tehran is putting Iraqi politicians in an awkward spot.

 

August 14, 2018

 

BAGHDAD—As soon as the most recent round of U.S. sanctions, announced by the Trump administration on Aug. 7, hit Iran, Iraqi Prime Minister Haider al Abadi said his country would reluctantly comply. But a week later, reality has sunk in and many Iraqi officials have pushed for Baghdad to maintain trade relations with Tehran.

The reason: Iraq, which shares a 1,458-kilometer border with Iran, could be badly hurt by the sanctions. Iraq relies on its eastern neighbor for everything from gas supplies to electricity to water and foodstuffs. Not only is Iraq in a no-win position, but it is the United States, which still maintains some 5,200 troops in Iraq, that put it there: The country’s dependence on Iranian trade and public services is largely due to the U.S. invasion in 2003.

 

When the international community imposed sanctions on the late Iraqi leader Saddam Hussein from 1990 to 2003, next-door Jordan was exempt. The United Nations excused Jordan from sanctions that banned it from buying oil from Iraq, for instance. So there’s a strong precedent for exempting Iraq from the Iran sanctions. 

If that doesn’t happen, and Iraq violates sanctions and is hit by U.S. penalties, it is likely to place the country further into Iran’s sphere of influence—exactly what President Donald Trump’s administration says the United States wants to combat in the broader Middle East, where Iran is becoming increasingly powerful.

Even Abadi, who is considered to be more pro-American than his predecessor, cannot afford to comply with sanctions. He has been backpeddling since last week. On August 13, he said: “I did not say we abide by the sanctions, I said we abide by not using dollars in transactions. We have no other choice,” the prime minister told reporters in Baghdad.

The U.S. has re-imposed sanctions on precious metals, including gold, the automobile industry, and the purchase of U.S. dollars. Beyond what Abadi announced about trade in dollars, the government in Baghdad says it has not come to agreement on whether to comply with other sanctions—a buzz phrase for non-compliance. Abadi has already faced a significant backlash from Iraqi and Iranian politicians merely for suggesting at first that Iraq would comply with sanctions.

According to Iraqi media reports, U.S. Treasury officials visited the Central Bank of Iraq in July and said the U.S. would sanction any Iraqi bank that conducted financial transactions with Iran. According to the Wall Street Journal, the Iraqi government has bank accounts with the U.S. Federal Reserve, where its dollars are kept. And these dollars, which the Iraqi economy relies upon, could be frozen should Iraq violate sanctions.

Despite such possible hardships, Iraq has no choice but to violate sanctions, for several reasons.

First, Iraq needs Iran’s refined gas. Iraq’s electricity minister said in July 2017 that Iraq would be reliant on Iranian gas to generate electricity for at least seven years. Iraq does produce natural gas of its own, but lacks the facilities to process it into fuel for local consumption. The gas Iraq receives from Iran constitutes approximately 20 percent of the electricity it produces. Already, Iraq meets only 70 percent of its electricity demand. Iraq has been sending Iran oil to pay for its gas imports and to pay its electricity debt.

Second, Iraq’s water supplies are dependent upon the flows of the Euphrates and Tigris rivers from where it gets 98 percent of its surface water. If it chose to do so, Iran could divert 13 percent of Iraq’s water resources. Iraqi Deputy Water Minister told Gulf News in April that 20 to 30 percent of the Tigris River’s water in Iraq originates in Iran. If Iraq complied with sanctions, Iran could easily cut the flows of water, as it already has done in the northern Kurdistan area in Sulaimaniyah province, according to the Kurdistan Regional Government’s Ministry of Agriculture. At a time of serious drought in Iraq, this is no idle threat.

Third, Iran has deliberately flooded the Iraqi market with cheap imports, such as foodstuffs. This has undercut Iraqi agriculture by decreasing demand for homegrown products that are more expensive. Even if Iraq were to stop buying these goods, farmers would not be able to produce enough supplies at home. Over several years, Iraqi farmers have fled to urban areas due to a lack of demand and conflict with the Islamic State. At the moment, a decline in the numbers of farmers is also an obstacle.

 

Iran has political leverage, too. Since the May 12 national election, Iraq’s political elites have been unable to form a government in part because of enormous pressure from Tehran to install politicians in their favor. If Iran’s loyalists succeed and dominate the new government, Iraq’s rulers will definitely make decisions that support Iranian interests.

The Gulf states and Turkey would seem to be a logical alternative to Iranian trade. However, Iran has loosened Iraqi restrictions against it by greasing the palms of local border and trade officials for years. It seems unlikely that corrupt officials will seize the opportunity to broaden Iraq’s list of trading partners.

In general, while Gulf states object to Iraq’s economic reliance on Iran, governments have done little to help Iraq become more independent. The Kuwait-sponsored reconstruction conference to help Iraq, held in February, has yielded no results, according to Iraqi sources, even though millions of dollars of pledges were made.

Once again, Iraq is finding itself controlled by outside forces and without any recourse at a time of widespread civil unrest in the country over water and electricity shortages. In penalizing Iran, the United States is unintentionally encouraging Iraq to drift away Washington and into the arms of Tehran.

 

 

https://www.politico.com/magazine/story/2018/08/14/trumps-iran-sanctions-are-backfiring-in-iraq-219358

[mr.unlikely]

What a friggen Shiite show! 

Imwas watching vice news on HBO the other evening and they were nvestigating the ripple effect of the increased tariffs 

that Trump has been imposing. There were several hundred farmers in the Midwest who loved Trump for saving their farms.

then they went down the road a few miles and were interviewing companies that had to close their doors literally overnight as the goods they manufactured had the orders cancelled out from underneath them. Long story short, these sanctions are hurting many more people here than helping. We all have to pay the inflated price for the imported goods from China who increased prices overnight to offset tariff increases. It all sounds good when you stand on the podium and shout to everyone how we're going to punish them for such large trade imbalances, but it's Americans that are footing that bill. On a brighter note, at least is not as bad now as it's going to get.

[KDuesing]

Yea right, Iran cut electricity off and water from Iraq long before the sanctions hit. Any dealings with Iran causes more trouble than they are worth.

[SupraRacer]

14 minutes ago, Pitcher said:

Trump’s Iran Sanctions Are Backfiring in Iraq

The U.S. crackdown on Tehran is putting Iraqi politicians in an awkward spot.

 

August 14, 2018

 

BAGHDAD—As soon as the most recent round of U.S. sanctions, announced by the Trump administration on Aug. 7, hit Iran, Iraqi Prime Minister Haider al Abadi said his country would reluctantly comply. But a week later, reality has sunk in and many Iraqi officials have pushed for Baghdad to maintain trade relations with Tehran.

The reason: Iraq, which shares a 1,458-kilometer border with Iran, could be badly hurt by the sanctions. Iraq relies on its eastern neighbor for everything from gas supplies to electricity to water and foodstuffs. Not only is Iraq in a no-win position, but it is the United States, which still maintains some 5,200 troops in Iraq, that put it there: The country’s dependence on Iranian trade and public services is largely due to the U.S. invasion in 2003.

 

When the international community imposed sanctions on the late Iraqi leader Saddam Hussein from 1990 to 2003, next-door Jordan was exempt. The United Nations excused Jordan from sanctions that banned it from buying oil from Iraq, for instance. So there’s a strong precedent for exempting Iraq from the Iran sanctions. 

If that doesn’t happen, and Iraq violates sanctions and is hit by U.S. penalties, it is likely to place the country further into Iran’s sphere of influence—exactly what President Donald Trump’s administration says the United States wants to combat in the broader Middle East, where Iran is becoming increasingly powerful.

Even Abadi, who is considered to be more pro-American than his predecessor, cannot afford to comply with sanctions. He has been backpeddling since last week. On August 13, he said: “I did not say we abide by the sanctions, I said we abide by not using dollars in transactions. We have no other choice,” the prime minister told reporters in Baghdad.

The U.S. has re-imposed sanctions on precious metals, including gold, the automobile industry, and the purchase of U.S. dollars. Beyond what Abadi announced about trade in dollars, the government in Baghdad says it has not come to agreement on whether to comply with other sanctions—a buzz phrase for non-compliance. Abadi has already faced a significant backlash from Iraqi and Iranian politicians merely for suggesting at first that Iraq would comply with sanctions.

According to Iraqi media reports, U.S. Treasury officials visited the Central Bank of Iraq in July and said the U.S. would sanction any Iraqi bank that conducted financial transactions with Iran. According to the Wall Street Journal, the Iraqi government has bank accounts with the U.S. Federal Reserve, where its dollars are kept. And these dollars, which the Iraqi economy relies upon, could be frozen should Iraq violate sanctions.

Despite such possible hardships, Iraq has no choice but to violate sanctions, for several reasons.

First, Iraq needs Iran’s refined gas. Iraq’s electricity minister said in July 2017 that Iraq would be reliant on Iranian gas to generate electricity for at least seven years. Iraq does produce natural gas of its own, but lacks the facilities to process it into fuel for local consumption. The gas Iraq receives from Iran constitutes approximately 20 percent of the electricity it produces. Already, Iraq meets only 70 percent of its electricity demand. Iraq has been sending Iran oil to pay for its gas imports and to pay its electricity debt.

Second, Iraq’s water supplies are dependent upon the flows of the Euphrates and Tigris rivers from where it gets 98 percent of its surface water. If it chose to do so, Iran could divert 13 percent of Iraq’s water resources. Iraqi Deputy Water Minister told Gulf News in April that 20 to 30 percent of the Tigris River’s water in Iraq originates in Iran. If Iraq complied with sanctions, Iran could easily cut the flows of water, as it already has done in the northern Kurdistan area in Sulaimaniyah province, according to the Kurdistan Regional Government’s Ministry of Agriculture. At a time of serious drought in Iraq, this is no idle threat.

Third, Iran has deliberately flooded the Iraqi market with cheap imports, such as foodstuffs. This has undercut Iraqi agriculture by decreasing demand for homegrown products that are more expensive. Even if Iraq were to stop buying these goods, farmers would not be able to produce enough supplies at home. Over several years, Iraqi farmers have fled to urban areas due to a lack of demand and conflict with the Islamic State. At the moment, a decline in the numbers of farmers is also an obstacle.

 

Iran has political leverage, too. Since the May 12 national election, Iraq’s political elites have been unable to form a government in part because of enormous pressure from Tehran to install politicians in their favor. If Iran’s loyalists succeed and dominate the new government, Iraq’s rulers will definitely make decisions that support Iranian interests.

The Gulf states and Turkey would seem to be a logical alternative to Iranian trade. However, Iran has loosened Iraqi restrictions against it by greasing the palms of local border and trade officials for years. It seems unlikely that corrupt officials will seize the opportunity to broaden Iraq’s list of trading partners.

In general, while Gulf states object to Iraq’s economic reliance on Iran, governments have done little to help Iraq become more independent. The Kuwait-sponsored reconstruction conference to help Iraq, held in February, has yielded no results, according to Iraqi sources, even though millions of dollars of pledges were made.

Once again, Iraq is finding itself controlled by outside forces and without any recourse at a time of widespread civil unrest in the country over water and electricity shortages. In penalizing Iran, the United States is unintentionally encouraging Iraq to drift away Washington and into the arms of Tehran.

 

 

https://www.politico.com/magazine/story/2018/08/14/trumps-iran-sanctions-are-backfiring-in-iraq-219358

 

Thanks Pitcher for this interesting article.  My question is simple.  Why can Iraq not use other countries to do what Iran is doing for them and just cut all ties with Iran??  It would seem that Iran has their thumb on Iraq so to speak for what all they rely for the on.  Until any regime change in Iran I would think that Iraq would abide in every way with the sanctions the US imposed on Iran for the betterment of the country.  However it is a very, very complicated situation.

 

In the simplest terms let Iran collapse then let them depend on Iraq.  Turn about is fair play you'd say.

 

SR

[Pitcher]

I agree again but Iraq has many Shite’s that are sympathetic to Iran including a lot of Iraq’s leaders ( Iran is not stupid, they helped set that up) I think that is probably the biggest reason but they share a 1500 mile border and both countries rely on trade for their basic needs.  

[Pitcher]

US sanctions on Iran boost Kurdistan’s trade at border

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A security guard is seen at the Kurdistan Region - Iran border crossing of Haji Omaran on Jan. 3, 2018. (Photo: AFP)

 

ERBIL (Kurdistan 24) – US sanctions on Iran have had a positive impact on the Kurdistan Region’s economic trade, boosting the movement of goods at the border with its neighboring country’s Kurdish areas, a Kurdish official claimed on Tuesday.

 

On Aug. 6, the Trump administration announced the re-imposition of economic sanctions on Tehran which had been lifted when the 2015 nuclear deal was signed.

Economically, the semi-autonomous Kurdistan Region has enjoyed a notable increase in economic trade on its border with Iran as the value of the Iranian currency plummets under the newly-imposed US sanctions.

“The US sanctions on Iran have had no negative implications on us [the Kurdistan Region] because we use US dollars and Iraqi dinars as our currency. The value of these two currencies now are much stronger against the Iranian Toman [Riyal],” Abdullah Akreyi, the Director-General of Kurdistan Region–Iran relations, told the official website of Kurdistan Democratic Party (KDP).

He explained that with the dramatic fall of the Riyal, Kurdish businessmen are now able to import more goods from Iran through its multiple border crossings.

“If they were importing a single truck carrying goods from Iran before, they are now importing four trucks at the same cost,” Akreyi stated.

“A lot of people are taking advantage of this to travel to Iran which has created a heavy load on the border crossings. Almost 3,000 people from the Kurdistan Region cross into Iran on a daily basis.”

The Kurdish official noted that the import business booming, job opportunities on the border have also increased.

Akreyi added that, so far, no decision has been made in the Kurdistan Region to halt its trade with Iran.

“We don’t want to halt trade because our people need it. But, if the Iraqi [federal] government made a country-wide decision for the border gates to close, we would be obliged to implement it,” he concluded.

Previously, Prime Minister of the Kurdistan Region, Nechirvan Barzani, stated that the semi-autonomous region would deal with the new US sanctions on Iran within the framework and policies of Iraq.

“Until now, the sanctions are not clear for us in the Kurdistan Region. I believe they are not clear to them, yet, either,” Barzani said in response to a question asked by Kurdistan 24 correspondent Aras Ahmed during a press conference in Erbil.

“But certainly, the Kurdistan Region’s steps will be in line with the policies and position of Iraq,” he continued. “We have asked the US and Baghdad to give us more clarifications on the matter.”

He mentioned that the KRG had asked the US to send a delegation to explain what exactly should and should not be done to avoid violating provisions within the economic sanctions.

“We do not want to violate the terms of the sanctions; we want to receive further clarifications of what lies under those embargoes,” Barzani added.

Both the Kurdistan Region and Iran have substantial economic ties, accounting for billions of dollars annually in trade.

 

http://www.kurdistan24.net/en/economy/9234ea6b-508e-4978-bcc8-c9ee5ab4b6da

 

[Theseus]

59 minutes ago, mr.unlikely said:

What a friggen Shiite show! 

Imwas watching vice news on HBO the other evening and they were nvestigating the ripple effect of the increased tariffs 

that Trump has been imposing. There were several hundred farmers in the Midwest who loved Trump for saving their farms.

then they went down the road a few miles and were interviewing companies that had to close their doors literally overnight as the goods they manufactured had the orders cancelled out from underneath them. Long story short, these sanctions are hurting many more people here than helping. We all have to pay the inflated price for the imported goods from China who increased prices overnight  offset tariff increases. It all sounds good when you stand on the podium and shout to everyone how we're going to punish them for such large trade imbalances, but it's Americans that are footing that bill. On a brighter note, at least is not as bad now as it's going to get.

2

When you say "down the road" what type of farms are being put out of business? If these are family farms, how were they doing before the tariffs? Also what part did the larger farms play in their downfall as larger farms having been putting family farms out of business for the last ten to twenty years. A large guess would be the larger farms had more of a hand in putting these family farms out of business.

[jcfrag]

I agree with KD and the fact that Iran has already initiated Tug of War by shutting off water and electricity to Southern Iraq. And they were only doing that to stir up trouble in Iraq to begin with! But even that turned on them when the protesters started demanding all ties be severed with Iran. Iraqi’s were some kind of pissed at Iran for throwing them under the bus and blowing off all that “Brotherly Love” towards their good neighbors by severing needed utilities. The same country Iran was wanting to keep trading with during the upcoming US sanctions! 😳

Iran needs some new leadership I’d say. They really don’t know what they are doing...

[Butifldrm]

Washington threatens Iraq if sanctions are not met

4 hours ago

Watching

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NRT

The US State Department confirmed that violators of the sanctions regime on Iran could themselves be subject to sanctions while the Iraqi government warned that it would refuse to comply with US sanctions against Iran .

 "Violators of the sanctions regime can themselves be subject to sanctions," ministry spokeswoman Heather Neuert said in a statement on Tuesday evening (August 14th), commenting on Prime Minister Haider al-Abadi's comments on continued trade with Iran. Russia Today".

"You know our warnings about Iran and trade with them, and we will continue to prosecute countries for any breach of the sanctions we are imposing against Iran," she added.

On the other hand, the US Embassy in Baghdad issued a clarification on the statements of State Department spokeswoman Heather Neuert on Iraq's relationship with sanctions against Iran, stressing that there was no violation . The embassy said in a clarification that "after reviewing the question and answer to the question and after following up the matter with the Deputy Ambassador, the clarification of the subject is as follows" Regarding the sanctions on Iran said that countries that violate sanctions will be held accountable, as you know, the sanctions are to deal in dollars with Iran, As you know, the prime minister said Iraq will not deal with the dollar with Iran, so there is no breach of sanctions . "    

http://www.nrttv.com/AR/News.aspx?id=3374&MapID=2

[Butifldrm]

Newspaper: Abadi retreat from his position on the sanctions did not satisfy Iran

4 hours ago

22431 views

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NRT

The newspaper al-Sharq al-Awsat reported on Wednesday that the retreat of Prime Minister Haider al-Abadi from his position on sanctions against Iran did not satisfy Tehran, which could reduce his chances of winning a second term .

The newspaper said in a report, today, August 15, that "Abbadi, in his recent remarks burned his bridges with Tehran because of its position on sanctions, which confirmed at a press conference last Tuesday, the commitment of his country, before it receded a bit, yesterday, declaring that Baghdad will only commit itself not to deal in dollars with Tehran . "

"I want to pressure us to give the interests of gangs to the interests of gangs," she said. The Iraqi people, this can not be. " "The retreat of Abadi yesterday from his original position did not satisfy Tehran, although it did not officially comment on it, but websites close to Tehran were explicit in its rejection." The website "Khobar Online" close to the Speaker Ali Larijani, in his main report that " "Abadi has ignored his common interests with Iran, and all Abadi's efforts to form a government are about to collapse because of his position on Iran," the website said .
 

The newspaper said that "the opponents of Abadi believe that his visit to Ankara, yesterday, will not help him in light of his crisis with Tehran, which still owns the pressure papers towards the nomination of the next prime minister, especially that Abadi aspires to obtain a second term, and his current visit to Ankara is not new To be an alternative to visit Tehran. "

 "The visit of Abbadi to Ankara was prepared for a while, but it has now reached an important time for both countries," said the head of the Iraqi Center for Media Development and a close associate of Abadi Adnan al-Sarraj. "Iraq is today in a position to take political action to support Turkey In return for Turkish decisions on issues related to the release of water and borders and the prevention of Turkish aircraft to penetrate the Iraqi border.

"This visit is important in terms of the fact that Iraq is able to stand by neighboring countries and can give important signals to the neighboring countries that Iraq stands with these countries without exception and for the talk About his visit to Iran is not present neither now nor in the near future . "

"The development of the relationship with the neighborhood is very important and must come within the framework of a project and a well-thought-out vision of the real national interest that brings to Iraq and its people the benefits," said former government spokesman Ali al-Dabbagh. And the return of security and economic and real and tangible exchange of interests, "noting that" advised Abadi early this year to meet with Turkish President Recep Tayyip Erdogan to follow up the outstanding issues and extinguish the Turkish concern and the timing of the visit is not appropriate now and gives a positive impression . 

" As for canceling his visit to Tehran, al-Dabbagh said: "Abadi made a mistake in explaining Iraq's position on the sanctions against Iran. He could find many reasons for not declaring any position positively or negatively, a rejection or a commitment from those sanctions, and giving himself time and opportunity to consult the Americans And also with the Iranians. "

He added that "the retreat from his position or correct it should not have been delayed, where he created great repercussions and divisions and gave a new contradiction added to the contradiction that occurred between the declaration of Abadi and the position of the Iraqi Foreign Ministry. In any case, Abadi unfortunately suffered a loss and was subjected to harsh campaign and unnecessary auctions of allies And opponents. "

http://www.nrttv.com/AR/News.aspx?id=3373&MapID=2

[Butifldrm]

Washington in response to Abadi's remarks: We will punish those who violate the sanctions regime against Iran

 

 basnews en

 15/08/2018 - 12:14

Iraq

 

 

 

Washington has threatened to impose sanctions on Iraq, in case of non-compliance with US sanctions against Iran, in response to comments made by outgoing Iraqi Prime Minister Haider Abadi.

In response to Abadi's comments on continued trade with Iran, US State Department spokeswoman Heather Noiret said that "violators of the sanctions regime could themselves be subject to sanctions"

"You know our warnings about Iran and trade with them, and we will continue to prosecute countries for any breach of the sanctions we are imposing against Iran," Nuerte told a news conference on Tuesday.

Abadi said on Monday that Baghdad partly takes into account US sanctions against Iran and refuses to use the dollar in its dealings with Tehran.

US President Donald Trump has imposed comprehensive sanctions on Iran after it pulled out of its nuclear deal in 2015.

The sanctions target Iran's purchases in the automotive and transportation sector as well as its business activities and purchases of gold and other basic metals.

http://www.basnews.com/index.php/ar/news/iraq/459345