New Delhi: US President Donald Trump has extended the ceasefire with Iran, but along with this he has adopted a new way to put pressure on Iran’s economy. Extending the ceasefire was initially considered a peace step, but a post by US Finance Minister Scott Besant made it clear that it is actually a part of the economic strategy.
Donald Trump’s new plan
Trump announced on Tuesday to extend the ceasefire indefinitely. This decision was taken on Pakistan’s request for mediation. Iran has been told that talks will continue until it makes a peace proposal, but Trump made it clear that the blockade of Iranian ports will continue.
The US Navy is blocking the movement of Iranian oil ships in the Gulf of Hormuz. Its purpose is to force Iran to stop its oil production on Kharg Island. Kharg Island is the main center of Iran’s oil export.
Why economic pressure on Iran?
US Finance Minister Scott Besant said that the storage tanks of Kharg Island will be filled within a few days. When space runs out, Iran will have to stop its oil production. This will be a direct hit to Iran’s main income. Iran extracts millions of barrels of oil daily.
If production stops, old oil wells may suffer permanent damage. Closing an oil well can cause water to seep in, damage to rocks, and blockage of pipelines. Let us tell you, once a well is closed, it is difficult to start it again and the production is not as much as before.
impact on iran
Iran has limited space to store excess oil. Due to the blockade, some oil is coming out of the shadow fleet, but not enough. America has already returned many ships and has also seized some. Trump admitted that there are deep differences in the Iranian government.
America believes that economic pressure will weaken Iran and force it to accept American conditions at the negotiating table. This strategy can cause long-term damage to Iran’s economy more than military attacks. Iran has called the blockade a move of war and has opposed it. This tension may increase further before the talks in Pakistan.
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