Iran feels the bite of new US sanctions, while U.S. Treasury Defends Iran Sanctions.

Iran feels the bite of new US sanctions, while U.S. Treasury Defends Iran Sanctions.(Jpost).

Two top Chinese shipping lines have severed ties with Iran; Tehran set to become more reliant on trade by land.

LONDON - Two top Chinese shipping lines severed ties with Iran as tough new US sanctions over the country's disputed nuclear program came into effect on Monday, leaving the country increasingly dependent on front companies and overland routes.

Many of Iran's imports, including food and consumer goods, arrive by ship, either directly or via feeder services from places like the United Arab Emirates, and the latest set of sanctions are likely to worsen an already deep economic crisis."The vast majority of major container carriers have now ceased calling at Iran," said Daniel Richards, shipping analyst with Business Monitor International."As even feeder services begin to shy away from calling there, the country will struggle to continue importing."

Tehran is set to become more reliant on trade by land, which will push up prices already driven by currency volatility. An Iranian food producer said business was getting more difficult. "The prices of food are so high, I don't know how people can afford it," the Tehran-based producer said. "They're about three times higher than before."

US Treasury Secretary Jacob Lew said the economic sanctions against Iran will work, because “the alternatives are worse.” 



“It would be the best thing for Iran and the best thing for the world if economic sanctions worked because the alternatives are worse for Iran and for the world,” Lew said. “I don’t think any (U.S.) president should make the decision about whether or not to go beyond the sanctions without having exhausted the tools available,” he added. (AFP, 1 July)

Lew made the comments on Sunday at a conference in Aspen, Colorado. He called the sanctions the “toughest sanctions in history.” “We have not seen the kind of slippage in international support for sanctions that some people have speculated about.”Hmmm.....Assuming the sanction would work.......What's to guarantee that Iran won't start where it left of in three years from now...after stocking up on everything it needs?....Genius 

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