The EU plans to use its so-called "blocking statute" to counter US sanctions against Iran. The measure was first threatened in response to US sanctions on Cuba in 1996 but never introduced. Will it now help EU firms doing business with Teheran?
France's Total had signed up last year to a $4.8 billion Iranian gas field project. However, it was forced to backtrack after the US threatened to impose penalties on any business found still doing business with Iran.
The EU is using new regulations to persuade companies to continue working with Iran. But protection against US secondary sanctions remains difficult in practice. Bernd Riegert reports from Brussels.
The French energy giant had said it would pull out of the project if unable to secure a US sanctions waiver. CNPC will own an 80 percent stake in the multibillion dollar gas project, the Iranian state news agency said.
Trump's decision to reimpose a range of economic sanctions on Tehran puts German and EU firms in a tough spot. It seems that their plans for doing business in Iran have to be shelved.
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