By: Brian Evans
In August, the United States re-imposed economic sanctions against Iran that were lifted under a 2015 nuclear accord that between the Obama Administration, Iran, and other nations. The accord lifted sanctions in return for Iran agreeing not to pursue nuclear weapons. However, the accord allowed Iran to continue its nuclear enrichment program, and only prevented their nuclear missile ambitions for a brief number of years. As a result, it allowed Iran to continue working on nuclear energy, which they could then later use towards a nuclear missile program. It was a concern for both the United States and Israel, as Iran has openly, and irrationally vowed to wipe both Israel and the United States off the face of the earth.
As a result, President Trump officially ended the non-Congressionally approved accord and re-imposed sanctions in May. The Trump Administration imposed the sanctions, in an effort to force Iran to shut down its nuclear enrichment efforts, curb its weapons program and end its support of brutal governments or uprisings in the Middle East. Following the reinstatement of sanctions, President Trump said…
The outcome of the newly re-instated sanctions means that the U.S. will revive the pre-nuclear deal sanction regime, and eliminate the exemptions that were granted by the Obama Administration. Therefore, companies were required to end their dealings with the rogue nation and said that companies or individuals who violate those sanctions would be punished if they choose to violate those sanctions. Therefore, foreign nations who purchase Iranian oil, or export goods to Iran, would be subject to prosecution and penalty.
The ultimate goal of the re-imposition of sanctions involves the fact that IF ENFORCED, it would do severe damage to the Iranian economy, and force the radical and violent regime to follow international law, especially nuclear laws. Also, there is hope that it would cripple the Iranian regime to the point that it would force them to negotiate a deal with the Iranian ruling class.
Sadly, one company/individual has apparently, already been caught violating those sanctions. In fact, earlier this week reports indicate that the United States requested that Canadian officials arrest Sabrina Meng, who is the Chief Financial Official for Huawei, which is China’s largest mobile phone maker. The reports reveal that she is wanted by United States authorities for violating Iran sanctions, which is in clear violation of the United States sanctions on Iran… The arrest was strongly condemned by Chinese government officials, and they are now calling for her immediate release. However, despite China’s stern demands, the United States continues to request her extradition from Canada to New York, where she will reportedly face charges for violating the Iranian Sanctions.
Now, according to a state-run newspaper called the Global Times, their editor Hu Xinjin, said that Meng’s arrest was a…
“declaration of war” on China!”
The Chinese Ministry of Commerce added that…
“Without any solid evidence, the Canadian and US governments trampled on international law by basically ‘kidnapping’ Chinese citizen Meng. The China-US trade row could become a protracted war.”
The Global Times also reported that Chinese experts see the arrest, as an intentional attempt to…
“heat up the ongoing trade war.”
One of the reasons for Chinese outrage has to do with the fact that Meng is highly connected in the Chinese communist government, and she is at one of the top levels of the business.
Meng is the daughter of Ren Zhengfei, who is a former Chinese military official, and the founder of the company she works for. Furthermore, she is the expected successor of her father. On CNBC, they have compared her arrest to the equivalence of arresting Steve Jobs’ son, while others said it was like arresting the Chief operating officer for Facebook. As a result, her arrest has angered the Chinese, because Huawei was expected to help propel China towards becoming the leader in 5g tech, and the dominant supplier of high-tech products.
So far, it is unclear how the United States enforcement of Iranian sanctions against China’s leading tech company will affect the newly negotiated trade deal between the United States and China, but its repercussions will likely be known quickly. Also, it is unknown if President trump knew about Meng’s pending arrest in advance. However, it was made at the same time that President Trump and Xi Jinping were in negotiations.
Currently, President Trump has frozen tariffs on Chinese imports for 90 days, as China has the opportunity to implement some of the agreements made with the President. In the meantime, the world, as well as Wall Street, will wait to see who blinks first, as the Trump Administration continues to strive to create a fair trade system between China and the United States, as well as a safer world, which involves an Iran without nuclear power.