on Iran and Russia won’t derail the container market recovery, but would
suppress potential growth, said Drewry.
Donald Trump’s unilateral decision earlier this month to pull his Country from
the Iran nuclear deal (the Joint Comprehensive Plan of Action that was
co-signed by Iran, China, the European Union, France, Germany, Russia and the
United Kingdom in July 2015), has the rest of the world scrabbling for a Plan
negotiations fail to resolve the matter all non-US countries will be faced with
a thorny dilemma: how to continue trading with Iran without catching heat from
America? The threat of so-called ‘secondary sanctions’, whereby the US punishes
foreign firms for doing business with Iran, will inevitable see companies
acquiesce to the demands of the biggest market. MSC, the World’s second largest
container line, is reportedly no longer serving Iran.
This won’t be
such a problem for US companies as America barely does any trade with Iran.
Iran’s trading partners this decade: US’ share of two-way trade is virtually
imperceptible at just 0.4% last year. The EU, on the other hand, has rapidly
been reacquainting itself with Iran since the end of sanctions in 2016,
rebuilding its trade share to 25% last year. It had been around 45% in
As for as
India is concerned, we can recall here what Commerce Secretary Rita Teotia had commented on US sanctions on Iran; she had
said that sanctions on Iran will not have much
impact on India’s trade relations with Iran.
Our trade with Iran has remained at even
levels. I do not expect any significant shift or sudden shutdown in trade with
Iran,” Teotia had said.