May 16, 2018
How the exit from the Iran deal will hurt the effectiveness of U.S. sanctions
After more than a year of negotiations and crises, President Trump decided to withdraw from the Iran nuclear deal last week as he announced that the United States would unilaterally reimpose sweeping sanctions targeting the Iranian economy. In announcing this decision, Trump drew a direct line to his ongoing negotiations with North Korea and emphasized how his decision would bolster U.S. leverage over the regime in Pyongyang. The decision, he said, demonstrates that “the United States no longer makes empty threats.”
While withdrawal will let United States once again use aggressive sanctions against Tehran, this decision will – paradoxically – negatively affect Washington’s ability to successfully use economic pressure in the future. These measures have been one of the most powerful U.S. foreign policy tools – what brought Tehran to the negotiation table in the first place. Yet, the U.S. administration is putting this powerful instrument at risk.
The damage caused by short-sighted use of sanctions on Iran will spread because these measures do not exist in isolation. Each case sets a precedent that informs future use. Separate sanctions episodes are therefore inextricably linked. Muddle on Iran sanctions will become muddle on Russia sanctions. Uncertainty over Venezuela will become uncertainty over North Korea.
The reintroduction of sanctions as part of the termination of the Iran deal will harm U.S. credibility in two key areas required for the success of any sanctions program.
Read the Full Article at the European Leadership Network
More from CNAS
-
Economic Security in Asia Part 1: China's growing pains with Dan Rosen
Podcast
Dan Rosen, leading expert on China's economy and head of the Rhodium Group's China practice, joins Emily and Geoff to talk about the recently concluded third plenum meetings i...
By Emily Kilcrease & Geoffrey Gertz
-
What a Bunch of Malarkey!
Podcast
Emily and Geoff discuss the U.S. presidential election and what that might mean for economic security policy. They get into trade policy, what both candidates would do to comp...
By Emily Kilcrease & Geoffrey Gertz
-
How U.S.-China Competition Upended the International Economic Order and What the United States Can Do to Fix It
Podcast
On June 26, CNAS hosted an event to discuss a new report, Disorderly Conduct: How U.S.-China Competition Upended the International Economic Order and What the United States Ca...
By Emily Kilcrease, Geoffrey Gertz, Adam Tong & Peter Harrell
-
Sanctions by the Numbers: 2023 Year in Review
Reports
Executive Summary In 2023, the Biden administration continued to prioritize sanctions as a key tool to support U.S. national security and foreign policy objectives. The United...
By Rowan Scarpino & Jocelyn Trainer
