I did not believe Trump would be so foolish as to force the entire world to accept Iranian sanctions. I was wrong.
Here’s my general policy: When you are wrong, it’s best to admit it or someone will admit it for you, in a worse way.
I was wrong about how far Trump would carry his foolish policy on Iran.
Hedgeye energy analyst Joe McMonigle got it correct as this Energy Flashback shows.
Choking Point
Yesterday, Trump tightened the noose on Iran. How tight?
Consider this International Law Advisory on Iranian Sanctions.
The Department of the Treasury’s Office of Foreign Assets Control (OFAC) and Trump Administration officials have explained that primary and secondary sanctions will be reimposed after 90- or 180-day “wind-down” periods, depending on the business activity, and that failure to halt sanctioned activity by the end of the wind-down period would risk “severe consequences.”
President Trump’s NSPM indicates that “all” of the sanctions waived or lifted under the JCPOA will be reimposed. These changes most likely will be implemented through new Executive Orders (EOs) from the president; termination of the periodic statutory sanctions waivers that have been issued by the Secretary of State; and changes to licenses, licensing policy, and the SDN list that will be made by OFAC. While there are numerous questions still outstanding about how the new sanctions may be implemented on a practical level, it is clear that the greatest impact of the reimposition of the sanctions will be on non-US entities, including non-US entities owned or controlled by US persons.
Sanctions Subject to 90-Day Wind-Down
