President Donald Trump warned Thursday that any country or person who bought oil or petrochemical from Iran would be cut off from doing any business in the United States.
He posted the threat to social reality, writing:
“Any country or person who buys any amount of oil or petrochemical from Iran will be subjected to, immediately, a second penalty. They will not be allowed to do business in the United States of America in any way, shape, or form.”
This Message Trump's February's decision followed to launch what he called a “maximum pressure” campaign aimed at completely stopping Iran's oil exports. At the White House on Thursday, he claimed Iran to continue to fund militant groups throughout the Middle East with oil revenues.
According to data from CNBC, the oil market responded immediately as crude futures in the US rose $ 1.03, or 1.77%, closing to $ 59.24 per barrel. Brent, the global oil benchmark, up $ 1.07, or 1.75%, ending at $ 62.13. Iran remains a leading oil manufacturer within OPEC, so any communication of the penalties immediately affects pricing.
Trump's goal in China and starts talking to Iran
The White House has not directly named China, but Scott Modell, who runs Rapidan Energy and a former CIA officer, said the message said clearly in Beijing. China has been reported importing more than 1 million barrels a day from Iran. MODELL told CNBC that unless the administration specifically hit companies owned by the China State and the infrastructure that supports oil flows, barrels are constantly moving.
“Trump's comments do not indicate a change in the administration's drive to reach a new deal with Iran but instead emphasizes Trump's belief in talking through strength,” Modell Says.
Even with all the pressure, Trump does not close the door to the conversations. In April, he opened negotiations with Iran officials in Oman. The focus is Iran's nuclear program. Back in February, he said the goal was to prevent Iran from obtaining a nuclear weapon, even though Tehran denied it wanted. He added that he would rather organize a new agreement than the ever -increasing tensions.
This method is not new. In his first term, Trump pulled the US out of the 2015 nuclear deal brokered by Barack Obama. Since then, his administration has worked to squeeze Iran's economy, especially oil exports, as much as possible.
Another move came earlier in April, when Trump slapped the “second tariff” in countries that bought oil from Venezuela, another OPEC member. As in Iran, the goal is to block revenue from flowing from the governments he wants to isolate.
Cryptopolitan Academy: Tired of market swings? Learn how the Defi can help you develop a steady passive income. Register now
