Rouhani warns of ‘war situation’ as sanctions resume

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Iranian President Hassan Rouhani takes part in a news conference near the United Nations General Assembly in the Manhattan borough of New York, U.S., September 22, 2016. REUTERS/Lucas Jackson/Files
  • US Secretary of State Mike Pompeo says hopeful for renewed deal

TEHRAN: Iran greeted the re-imposition of US sanctions on Monday with air defence drills and an acknowledgement from President Hassan Rouhani the nation faces a “war situation,” raising Mideast tensions as America’s maximalist approach to the Islamic Republic takes hold.

The sanctions end all the economic benefits America granted Tehran for its 2015 nuclear deal with world powers, though Iran, for now, continues to abide by the accord that saw it limit its enrichment of uranium. While for now not threatening to resume higher enrichment, Iranian officials in recent months have made a point to threaten that could resume at any time faster than before.

The new American sanctions particularly hurt Iran’s vital oil industry, a crucial source of hard currency for its anaemic economy. Its national currency has plummeted over the last year, sending prices for everything from mobile phones to medicine skyrocketing.

“Today, Iran is able to sell its oil and it will sell,” Rouhani vowed Monday as the sanctions kicked in.

Iranian state television aired footage of air defence systems and anti-aircraft batteries in two-day military manoeuvres underway across a vast stretch of the country’s north. It included surface-to-air missiles shooting down a drone.

The drill was to continue through Tuesday. Iranian Army General Habibullah Sayyari said both the national army and the country’s paramilitary Revolutionary Guard were taking part in the exercise.

Rouhani, meanwhile, pledged to government officials in comments aired on state TV that Iran would overcome the sanctions.

“We are in the war situation,” Rouhani said. “We are in the economic war situation. We are confronting a bullying enemy. We have to stand to win.”

Iran is already in the grip of an economic crisis. Its national currency, the rial, now trades at 145,000 to one US dollar, down from when it traded 40,500 to $1 a year ago. The economic chaos sparked mass anti-government protests at the end of last year which resulted in nearly 5,000 reported arrests and at least 25 people being killed. Sporadic demonstrations still continue.

Rouhani separately said leaders from “four powers” met with Iran on the sidelines of the September meeting of the United Nations General Assembly to try to save the deal, including brokering a possible meeting with President Donald Trump. He did not name those countries but was likely referring to China, France, Russia and Britain, which along with Germany made up the world powers involved in the 2015 nuclear deal.

“This issue does not require a mediator,” Rouhani said, blaming America for unilaterally pulling out of the accord.

Iran’s Foreign Ministry spokesman Bahram Ghasemi also predicted the sanctions will actually work against America’s interests.

“Many countries from Europe to Russia and China have opposed the sanctions,” Ghasemi told journalists, adding that Iranians “have experienced more extensive sanctions” and that they are “not a new issue.”

Israel’s Defense Minister Avigdor Lieberman welcomed the newly restored US sanctions in a tweet on Monday, saying they will deal a “critical blow” to Iran’s military presence around the Middle East.

The Trump administration’s decision to restore sanctions “is the sea change the Middle East has been waiting for,” he said.

Israel has been a fierce opponent of the 2015 nuclear deal from which the US withdrew in May, saying the accord failed to rein in Iran’s regional military threat.

POMPEO HOPES TO RENEGOTIATE NUCLEAR DEAL:

US Secretary of State Mike Pompeo said, “We hope a new agreement with Iran is possible,” he added. “Rest assured, Iran will never come close to getting a nuclear weapon on President Trump’s watch.”

“The Iranian regime has a choice: it can either do a 180-degree turn from its outlaw course of action and act like a normal country, or it can see its economy crumble,” Secretary of State Mike Pompeo said.

The United States says the sanctions are not aimed at toppling the government, but at persuading it to radically change its policies, including its support for regional militant groups and its development of long-range ballistic missiles.

However, Trump’s personal lawyer Rudy Giuliani and John Bolton, the president’s national security adviser, both have made public statements supporting overthrowing Iran’s theocratic government.