US is exploring oil sources so “our friend India’s economy” is not affected
The tough round of sanctions imposed the United States of America on Iran will take effect quite soon on November 4th, 2018. Just before the imposition, a top Trump administration official said that Washington recognized India’s needs for significant oil imports. The US is exploring oil sources right now. They are having conversations to ensure that there are alternative supplies of the fuel “so that our friend India’s economy is not adversely affected”.
Earlier this year, the US had withdrawn from the 2015 Iranian nuclear deal and reimposed a series of tough sanctions on Iran. The first phase of the US sanctions is already active and in place. The sanction will come into action with full force and the US expects all countries including India to bring down their import of Iranian oil to zero then.
The US has made it abundantly clear that any country that continues to do business with Iran will be blocked from accessing the American banking and finance system. However, the sanctions are not endorsed the United Nations. Moreover, it has been a traditional policy of India to act only according to the United Nations Security Council- authorized sanctions. Thus, the chances of the compliance of India towards this sanction does not seem very promising.
But still, India, which is one of the biggest importers of oil from Iran, has already reduced its import. Then again, hints both India and Iran have been given which tells us that India is unlikely to go down to zero given its immense energy needs. That’s why the US is exploring oil sources other than Iran.
It seems as though the US is exploring oil sources just to stall India a bit. They are testing how the country reacts to this proposition. It would be wise to not stop imports from Iran because the US would always want India as its ally and not an enemy. It would be better to coerce a better deal out of them.
