Today I am announcing that we will no longer grant any exemptions. We’re going to zero – going to zero across the board. We will continue to enforce sanctions and monitor compliance. Any nation or entity interacting with Iran should do its diligence and err on the side of caution. The risks are simply not going to be worth the benefits
Admin l Tuesday, April 23, 2019
WASHINGTON DC – The United States of America has issued a marching order to allies and every other country to stop buying oil from Iran. Speaking from Washington DC, Secretary of State, Michael R. Pompeo said Iran makes as much as $50 billion from oil annually but that the U.S estimates that the sanctions have denied the regime of about $10 billion.
“After withdrawing from the Iran nuclear deal, President Trump implemented the strongest pressure campaign in history against the Islamic Republic of Iran to deprive the outlaw regime of the funds it has used to destabilize the Middle East for four decades, and incentivize Iran to behave like a normal country.
“Up to 40 percent of the regime’s revenue comes from oil sales. It’s the regime’s number one source of cash. Before our sanctions went into effect, Iran would generate as much as $50 billion annually in oil revenue. Overall, to date, we estimate that our sanctions have denied the regime well north of $10 billion. The regime would have used that money to support terror groups like Hamas and Hizballah and continue its missile development in defiance of UN Security Council Resolution 2231, and it would have perpetuated the humanitarian crisis in Yemen.
“Our goal has been to get countries to cease importing Iranian oil entirely. Last November, we granted exemptions from our sanctions to seven countries and to Taiwan. We did this to give our allies and partners to wean themselves off of Iranian oil, and to assure a well-supplied oil market.
“Today I am announcing that we will no longer grant any exemptions. We’re going to zero – going to zero across the board. We will continue to enforce sanctions and monitor compliance. Any nation or entity interacting with Iran should do its diligence and err on the side of caution. The risks are simply not going to be worth the benefits.
“I want to emphasize that we have used the highest possible care in our decision to ensure market stability. The United States has been in constant discussion with allies and partners to help them transition away from Iranian crude to other alternatives. And we have been working with major oil-producing countries to ensure the market has sufficient volume to minimize the impact on pricing. Both the Kingdom of Saudi Arabia and the United Arab Emirates have assured us they will ensure an appropriate supply for the markets. And of course, the United States is now a significant producer as well.
“I can confirm that each of those suppliers are working directly with Iran’s former customers to make the transition away from Iranian crude less disruptive. And as I said, we’re doing our part here in the United States too. In 2018, crude production increased by 1.6 million barrels per day over the 2017 levels. And the U.S. Energy Information Agency projects an increase of an additional 1.5 million barrels per day in calendar year 2019.
“Look, with the announcement today, we have made clear our seriousness of purpose. We are going to zero. We – how long we remain there at zero depends solely on the Islamic Republic of Iran’s senior leaders. We have made our demands very clear to the Ayatollah and his cronies. End your pursuit of nuclear weapons. Stop testing and proliferating ballistic missiles. Stop sponsoring and committing terrorism. Halt the arbitrary detention of U.S. citizens”, he said, adding that the pressure is aimed at fulfilling these demands and others, and that it will continue to accelerate until Iran is willing to address them at the negotiating table.
He said these demands are not just coming from the United States Government and many of our allies and partners. As he puts it, “they are similar to what we hear from the Iranian people themselves. I want the Iranian people to know that we are listening to them and standing with them. We will not appease their oppressors, as the last administration did. Our hopes are for a better life for them, and all people afflicted by the regime’s violence and destruction”, he said.
