The debate of the bill to embargo oil sales to Europe did not took place in Iran's parliament. At least for now these were words, like the avorted bill to close Hormuz straits.
Top US senators agree on tough penalties on Iran
Bipartisan bill aims to impose measure that would target Iran's Revolutionary Guard, require companies that trade on US stock exchange to disclose any Iran-related business
The penalties target a large panel of Iranian activities and foreign companies that assist them.
Iran says oil ban will not halt nuclear work
Oil minister says Tehran won't abandon 'just' nuclear course 'even if we cannot sell one drop of oil,' but urges EU to reconsider ban
Most central European countries don't really import Iranian oil, but rely on Caucasian suppliers. Anyways, I think this step was necessary and it will hurt Iran.
Iranian lawmakers call for embargo on oil sales to EU
Statement signed by 200 out of 290 of Iranian parliamentarians calls for cutting off oil sales to EU if embargo on Iranian oil goes ahead in the summer.
By The Associated Press and Reuter$
Here we go again.
EU sanctions start to affect Iran's capability to export its oil, as there's no alternative to European insurance companies that cover the majority of oil tankers fleet:
Key China insurer to stop covering Iran oil tankers
Move raises questions on how Tehran can to continue to export bulk of its oil; China P&I Club still hoping for easing of sanctions.
http://www.businessweek.com/news/201...cover-iran-oilChina Ocean Shipping Group Co. (COSCZ), the nation’s biggest sea-cargo carrier, said a government-backed insurer will probably cover oil shipments from Iran so deliveries aren’t disrupted by European trade sanctions.
“There is a big chance the government may get a state- owned insurer to underwrite the ships,” Meng Qinglin, managing director at Cosco Group’s tanker unit, Dalian Ocean Shipping Co., said in a phone interview yesterday. It’s not clear when plans will be finalized, he said.
A number of government departments are discussing the issue, Meng said, as China, the biggest buyer of Iranian crude, seeks to ensure that EU sanctions coming into force July 1 don’t interrupt supplies. The EU embargo, prompted by Iranian nuclear plans, affects shipments to China and other countries as 95 percent of oil tankers are insured by the 13 members of the London-based International Group of P&I Clubs.
“The government will definitely carry out measures to deal with the situation,” Meng said. “Replacing Iranian oil imports wouldn’t be easy.”
China Shipping Group Co., the nation’s No. 2 vessel operator, similarly said last month that it expects the government will act to safeguard shipments. China buys about 22 percent of Iranian oil exports, according to U.S. Department of Energy estimates.
China Shipowners Mutual Assurance Association, known as the China P&I Club, will also probably continue covering tankers carrying Iranian oil, said Meng, who is a director at the ship- insurance co-operative. ******* said last week that the group may halt coverage, citing an unidentified official.
“I don’t believe China P&I would make such a hasty decision,” Meng said. Dalian Ocean hasn’t received any notice about coverage being halted, he said. The company operates more than 50 oil and liquefied petroleum gas tankers, including at least 20 very large crude carriers, according to its website.
Marine insurance: The stranglehold on Iran?
There are few alternatives to Western ship insurance market; Asian governments mull sovereign guarantees for ship insurers.
HONG KONG/TOKYO - Marine insurance, or lack of it, may yet turn out to be the most effective sanction used by Western nations in 17 years of tightening the screws on Iran's nuclear program.
A European Union oil embargo on Iran, set to take effect in July, prohibits EU insurers from covering Iranian oil exports anywhere in the world. With around 90 percent of the world's tanker insurance based in the West, the arcane world of reinsurance and liability coverage has become a powerful weapon.
As it turns out the possibilities for Iran to maintain large oil exports are slim.
Italian automaker Fiat halts sales to Iran
Auto industry faces pressure from anti-nuclear lobbying group
The auto industry has been under pressure from the anti-nuclear lobby group United Against Nuclear Iran to cut off business dealings with Iran. UANI says that the global auto industry is the second-largest source of foreign currency for the Iranian government, after oil, and also a source of foreign technology.
The decision by Fiat to halt sales “is a step in the right direction, and it shows the effectiveness of public pressure against these companies,” UANI spokesman Nathan Carleton said from New York.
The announcement follows similar ones in recent months by French automaker PSA Peugeot Citroen SA, which has entered an alliance with General Motors Co., South Korean automaker Hyundai and German sports carmaker Porsche.
More than a dozen foreign automakers continue to do business with Iran, said UANI, which noted that Iran’s auto industry is the 13th largest in the world, producing 1.6 million vehicles in 2011.
“No car company should be doing business in Iran,” Carleton said. “The international community is trying to isolate the Iranian regime from the rest of the world, and any company doing business with Iran is providing a lifeline.”
Last edited by Camera; 05-26-2012 at 10:48 AM.
I don't think sanctions are economically sound. That is not the criteria for them any ways. They are punitive with the idea that they will prevent a greater economic disaster, war.
Albeit loosing the Iranian market is not really death on itself, regional companies like Tofas or Dacia cannot really afford politics like these.
That is a problem with sanctions, they can be very selective on who they harm, there are back doors via corruption or countries who ignore the sanctions, etc.
Probably all of a part of the negotiation strategy along with what they put on the table to encourage Iran to "Let's make a deal."