November 16, 2018
China and the EU Are Growing Sick of U.S. Financial Power
This month, the United States imposed on Iran its most draconian round of sanctions yet. These measures made clear something the global community has long known: When it comes to international finance, Washington sets the rules for others to follow. Though some governments, led by the European Union, have announced initiatives to break free of this U.S. dominance, their policies will likely fail. Less publicized trends, however, are already eroding U.S. financial power and may make aggressive U.S. sanctions policies untenable.
When U.S. President Donald Trump announced in May that he would reimpose sanctions on Iran lifted under the 2015 nuclear deal, the effect was swift. Companies began to comply, independently of their governments’ stances toward Tehran. Even as the EU moved over the summer to make it illegal for its companies to comply with the new U.S. sanctions, firms were already turning away from Iran.
Read the full article in Foreign Policy.
More from CNAS
-
Marco Rubio Is Rebooting the Neocons for the MAGA Era
Commentary
This article was originally published in Bloomberg. In his infamous guide to ruling, Niccolò Machiavelli also offers a warning to ambitious advisers: Power belongs to the pri...
By Chris Kennedy
-
CNAS Insights | Why the United States Needs Economic Coercion Doctrine
Commentary
Economic tools now sit at the center of U.S. global competition. Sanctions, export controls, investment restrictions, and financial measures are employed with a frequency and ...
By LtCol Mary Hossier
-
Commentary
Transatlantic Security / Energy, Economics & Security
Want to Stop Trump Bullying Your Country? RetaliateThis article was originally published in The Guardian. In February of last year, Donald Trump convened the first full cabinet meeting of his second term in the White House. He...
By Edward Fishman
-
Unpacking the Trump Administration’s Plans for Venezuela’s Oil Revenue
Commentary
This article was originally published in Lawfare. Since removing Venezuelan dictator Nicolás Maduro from power, President Trump has made clear that he intends to “get the oil...
By Alex Zerden
