- Iran smuggled in order to circumvent US sanctions is not new.
- The Wall Street report point is Iran's use of Iraqi waters to transport and smuggle its crude oil.
- US had criticized the UAE government for failing to pursue the sale of Iranian crude oil.
The Islamic Republic of Iran is smuggling its crude oil through the waters of Iraq to circumvent US sanctions. It is said that Iranian oil is transferred to other tankers in the port of Faw and exported in the name of Iraqi oil. The Wall Street Journal in a special report revealed the smuggling of Iranian crude oil through Iraqi waters.
The fact that the Islamic Republic of Iran has resorted to oil smuggling and illegal transportation in order to circumvent the sanctions envisaged by the United States is not new.
A new point in the Wall Street report is Iran’s use of Iraqi waters to transport and smuggle its crude oil. Earlier, the United States had criticized the UAE government for failing to pursue the sale of Iranian crude oil illegally, as well as financial transactions with the country.
Dissatisfaction with the Performance of Iraq
In its report, Wall Street noted the dissatisfaction of US officials with the help of Iran’s neighbors to circumvent US sanctions. The report states that the governments of neighboring countries, Iraq and the United Arab Emirates, are not doing their best to prevent Iran from smuggling oil and doing business with that country.
According to the report, Iranian tankers transfer their cargo to Iraqi tankers at the Port of Al-Faw, and this smuggled oil enters the world market under the name of Iraqi oil.
The same report points to the sale of 230,000 barrels of Iranian oil in March through the port of Al-Faw. Selling oil on water is one of the methods used by the Islamic Republic to circumvent sanctions. Iran also used this strategy during the pre-nuclear sanctions period.
It is said that during the visit of the new Iraqi Prime Minister Mustafa Kazemi to Washington, the United States expressed its dissatisfaction with the Iraqi government’s failure to deal with Iran’s financial transactions with countries in the region.
Oil Sales Increase 28%
The Islamic Republic of Iran sold an average of 827,000 barrels of oil per day in the first six months of this year, according to statistics released by Tankers Trackers, which oversees the transportation of oil by tankers in international waters.
The same report indicates that Iran’s oil sales in the first half of this year compared to the second half of last year, an increase of 28 percent.
Although sales of this amount of oil are much lower compared to Iran’s oil exports before the US sanctions in May 2018, in any case, it has reduced the scope of the effects of the US policy of maximum pressure on Iran.
Brian Hook, former head of the State Department’s Iran Task Force, warned shipping companies about transporting and selling Iranian crude.
In May of this year, the United States criticized the UAE government for not following up on the illegal transportation of Iranian crude oil by some of its companies.