EU hopes against hope on Iran
President Emmanuel Macron of France has offered himself as a broker in the US-Iran Gulf standoff, but the chances of an agreement are small
Macron has launched his initiative aiming to keep alive the Iran nuclear deal, signed in 2015, which the EU continues to support. The EU has also set up an alternative payment system to help European companies trade with Iran outside the US banking apparatus—the Instrument in Support of Trade Exchanged (Instex)—but there are few takers. Many European companies fear penalties against their US subsidiaries if they trade with Iran, along with denial of trade to the US market. Iranian exports to the EU are down 93pc. China, the biggest importer of Iranian oil, is better placed to shrug off US sanctions, yet has cut hydrocarbons imports by at least half, with many exporters having the same concer
Also in this section
24 April 2024
But even planned exploration activity is unlikely to reverse declining output from mature fields
23 April 2024
Cheaper Russian barrels and lower overall crude prices have helped cut key oil consumer’s import bills in election year
22 April 2024
Pursuing three different goals as part of the same package may mean achieving none of them
22 April 2024
Beijing’s renewed targeting of NOC management could threaten investment