Iran, France Seek Conditions to Resume Nuclear Talks by Mid-July
At a Group of 20 summit in Japan, Macron expressed the unwillingness to ditch the deal that’s widely felt in Europe.
(Bloomberg) -- France and Iran agreed to seek conditions by mid-July for the resumption of nuclear talks, presenting a potential diplomatic opening a day before the Islamic Republic was due to announce an acceleration in enrichment activities restricted under the landmark 2015 deal.
In a one-hour telephone call with Iranian President Hassan Rouhani on Saturday night, French President Emmanuel Macron reinforced his concerns about the risks of a further weakening in the multiparty pact meant to prevent Iran from developing a nuclear weapon. The Trump administration withdrew from the deal a year ago and reimposed sanctions on Iran’s economy and leaders, prompting it to scale back compliance and fueling concerns that the region was sliding toward war.
“Beyond the announced July 7 deadline, the president has agreed with his Iranian counterpart to explore by July 15 the conditions for a resumption of dialogue between all parties," according to a statement from Macron’s office.
A week after it exceeded a cap on its stockpile of low-grade uranium, Iran’s expected to resume purifying uranium to 5%, beyond the 3.67% allowed under the 2015 agreement but way short of the 90% level needed to make a bomb.
The moves have created a challenge for European nations who helped negotiate the deal but are struggling to deliver the economic relief from American sanctions that Iran had demanded by July 7. European leaders have signaled they won’t rush to reimpose sanctions, but they’ll find it increasingly hard to resist pressure from the Trump administration if Iran abandons multiple commitments.
European diplomats at the United Nations expressed concern that even though the U.S. pulled out of the deal, it could turn to a key provision in Security Council Resolution 2231, which enshrined the nuclear deal and unwound sanctions on Iran, to force a process that could result in the so-called “snapback” of penalties. The provision allows for action against any party found not to be in compliance with the accord but its adoption by the U.S. would be certain to trigger legal wrangling with countries like Russia, which would argue that the U.S. lost the right to use it when it exited the deal.
Hours after Rouhani reiterated on July 3 his enrichment ultimatum, U.S. President Donald Trump tweeted it could “come back to bite you like nobody has been bitten before!”
At a Group of 20 summit in Japan, Macron expressed the unwillingness to ditch the deal that’s widely felt in Europe. Ministers would meet to “assess” the situation, rather than immediately reimpose sanctions, he said. “What we’d want to do is restore trust between the different parties and to restore dialogue.”
In a July 1 statement, Iran said its nuclear steps could be reversed if sanctions were lifted and it called on “Europe to pay its share in adhering to their commitments under the deal.”
The European troika has delivered Instex, a financial channel aimed at protecting some trade with Iran -- most likely food and medicines -- from the threat of U.S. sanctions. Iran has warned the trade vehicle is insufficient unless it can be used to buy Iranian oil.
European officials say that oil purchases are a matter for the private sector.
Iranian Enrichment
Whether or not Iran retains the right to enrich uranium has been at the heart of its nuclear conflict with the U.S. for two decades, and the 2015 deal took a middle road with provisions designed to prevent Tehran from breaking out and constructing a weapon within a year.
Iran has also warned it might restart construction of a heavy-water reactor that could provide plutonium, potentially opening another path to amass fissile material for a bomb. Ultimately, it could opt to withdraw from the 2015 accord entirely and end special access for International Atomic Energy Agency inspectors. Iran continues to comply with an exhaustive monitoring regime.
IAEA inspectors reported the country has less than a third of the 1,050 kilograms (2,315 pounds) of low-grade uranium that would be needed to construct a single weapon. Before the accord, Iran had enough to potentially build more than a dozen bombs. While the country always maintained its program was civilian, world powers pursued the deal because they doubted that claim.
Trump, supported by regional allies including Saudi Arabia and Israel who are sworn adversaries of Iran, says the accord didn’t go far enough and wants to negotiate a new deal that covers the country’s support for proxy Middle East militias and its missile program. Iran won’t talk with its economy and leaders under sanction.
Tensions have surged since the U.S. withdrew exemptions that allowed a handful of major economies to continue buying Iranian oil, dealing a crippling blow to an economy already in recession and with inflation at 50%. Iran’s downing of an American drone in disputed circumstances and attacks on shipping in the Gulf convulsed the region and sent oil prices soaring.
That’s why the seizure on Thursday of a tanker carrying Iranian oil to Syria hit a nerve.
British special forces boarded the Grace 1 off Gibraltar for violating European and U.S. sanctions against the Syrian regime. Iran condemned the move as a “kind of extraterritorial sanction” carried out at the request of the U.S.
--With assistance from David Wainer.
To contact the reporters on this story: Golnar Motevalli in Tehran at gmotevalli@bloomberg.net;Gregory Viscusi in Paris at gviscusi@bloomberg.net;Giulia Camillo in New York at gcamillo@bloomberg.net
To contact the editor responsible for this story: Lin Noueihed at lnoueihed@bloomberg.net
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