Foreign media, Iranian Foreign Minister Mohammad Javad Zarif said today (8th) that the EU is planning to trade with Tehran in a non-US dollar way to circumvent US sanctions. The speed was not as good as expected, forcing Iran to turn to China, India and Russia.
According to Reuters reported on January 8, Zarif told reporters: We will continue to work with Europeans on the 'Special Purpose Carrier (SPV)', but we will not wait for them. Starting from the interests of the people, we are cooperating with traditional partners such as India, China and Russia.
He also revealed that Iran is discussing the sale of more uric acid to India at a reasonable price.
To circumvent US sanctions, the EU plans to establish a new trade mechanism, the Special Purpose Carrier (SPV), to pay for oil imported from Iran.
According to the US-planned sanctions program, Washington can cut off any banking institution that trades oil with Iran. The SPV uses EU intermediaries to deal with Iran's trade through barter exchange, thus avoiding the US financial system.
For example, it will ensure that Europeans can use the same value of EU goods and services to pay for oil purchased from Iran.
According to Reuters, the EU has said that it will establish the mechanism before the new US sanctions against Iran take effect on November 5 last year, and it will take effect at the beginning of this year.
But the plan was delayed due to concerns about potential US retaliation.
At the same time, foreign media reported that the Indian and Iranian governments signed an agreement to pay oil in rupees in November last year, and 50% of the payment will be used to export Indian goods to Iran.
This document mentions that under the new mechanism, oil imported from Iran will only be paid in rupees, compared to the previous agreement that the rupee and the euro each accounted for 45% and 55%. Russian and Chinese shipping companies are working hard to facilitate the trade in India and India.
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