US Mulls Sanctioning Iran's Oil Sales To China If Nuclear Agreement Talks Fail - Reports

The Biden administration is considering imposing new sanctions on Iran's oil deliveries to China in Tehran decides to withdraw from renegotiating the nuclear agreement that is formally known as the Joint Comprehensive Plan of Action (JCPOA), the Wall Street Journal reported on Monday

WASHINGTON (UrduPoint News / Sputnik - 19th July, 2021) The Biden administration is considering imposing new sanctions on Iran's oil deliveries to China in Tehran decides to withdraw from renegotiating the nuclear agreement that is formally known as the Joint Comprehensive Plan of Action (JCPOA), the Wall Street Journal reported on Monday.

The administration is considering several options to punish Iran if it decides to quit the nuclear deal or stop negotiating with the main option being cutting off Iran from its oil rent from China, the report said.

The new sanctions will target the shipping networks used by Iran to deliver roughly 1 million barrels of oil per day to China and will involve the aggressive enforcement of current sanctions while introducing new designations and legal actions with respect to shipping industry, the report said.

"There is not much left to sanction in Iran's economy," a the report cited a US official as saying. "Iran's oil sales to China is the prize."

However the report said the Biden administration has not made a final decision with respect to the sanctions and is also considering other options.

The sixth round of JCPOA talks ended on June 20. The parties declared a break in negotiations over the presidential elections in Iran while the seventh round has not been scheduled yet.