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Iran rejects Trump’s offer for talks
Why it is in news?
- Iran waved away U.S. President Donald Trump’s claims that talks with the country's leaders were imminent.
More on news
- With Washington pulling out of the landmark 2015 nuclear deal and set to reimpose full sanctions on Iran from August 6, Tehran has responded coolly to Mr. Trump’s offer on Monday to talk “any time” without preconditions.
- Foreign Minister Mohammad Javad Zarif said that Threats, sanctions & PR stunts won’t work. Try respect: for Iranians & for (international) commitments.
- ‘Great Satan’- The Revolutionary Guards also made their opposition to talks calling Trump as great satan.
Historical Background of deal
- The historic Joint Comprehensive Plan of Action (JCPOA) nuclear deal was struck in Vienna between Iran and the P5+1 nations in the year 2015 which includes the permanent members of the United Nations Security Council — the United States, the United Kingdom, Russia, France, and China — plus Germany.
- According to this framework, Iran would redesign, convert, and reduce its nuclear facilities and accept the Additional Protocol, with provisional application, in order to lift all nuclear-related economic sanctions, freeing up tens of billions of dollars in oil revenue and frozen assets.
Trump’s strategic re-positioning in the region
- Trump’s strategic re-positioning in the region has two parts-
- The first is the reversal of the Iran nuclear deal framework, brokered by former President Barack Obama in 2015, which calls for a restriction of Iran’s nuclear capacities in exchange for significant economic incentives from the West.
- Building a coalition against Iran and its Shiite proxies with Saudi Arabia and other Gulf states.
Where is the geo-economic impact of the new tensions?
- US sanctions on Iran may lead to an oil price rally, according to economists at RBC Capital Markets.
- Sanctions against the third-largest oil producer among the OPEC, Organization of the Petroleum Exporting Countries, will penalise foreign energy companies operating in Iran as well as countries that import crude from the nation.
- While large importers of Iranian crude such as India and Turkey will be badly impacted.
Source
The Hindu,The Diplomat,MoEA