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Europe
U.S. Warns EU Firms to Stay Away from Iran-Diplomats
2005-01-29
The United States, determined to prevent Iran from building nuclear weapons, is piling pressure on European firms to stop them doing business with Tehran, diplomats say. In turn this is making it harder for Europe to offer Iran economic incentives to persuade it to abandon nuclear processes that could be used to build weapons. "They're being pressured by Washington. Major European companies are unwilling to deliver," an EU diplomat said. "This means we really have no incentives to offer Iran at this point."

Iran denies U.S. charges it is seeking a nuclear bomb and says its nuclear program is purely for civilian purposes.

Although publicly the United States is saying it wants to stop Iran acquiring equipment for a military nuclear program, it is interpreting this very widely to cover any "dual use" goods which could be used for either civilian or military purposes. In November, U.S. ambassador Jackie Sanders told the board of governors of the International Atomic Energy Agency, the U.N. nuclear watchdog, that selling even small items with potential military use would be punished. "We want any proliferators, from multinational conglomerates to small exporters of dual-use machine tools, to understand that the U.S. will impose economic burdens on them, and brand them as proliferators," Sanders said.

The pressure seems to be working, diplomats say, by deterring European companies wary of damaging their business in the United States from trading with Iran. Among firms that have told their governments they will stay out of Iran for now are German engineering giant Siemens, French state-controlled nuclear giant Areva, German steel firm ThyssenKrupp and British oil major BP, industry sources and diplomats say.

Senior officials from some companies -- such as BP and ThyssenKrupp -- have already discussed these issues publicly. Areva has told its government that it did not want to do anything to harm its U.S. sales, a French source familiar with the case told Reuters. French electricity group EDF and the French Atomic Energy Commission are also concerned, the source said. The same applied to Siemens and other German firms, diplomats said. "German industry told the government that it will not get involved in Iran," one source said.

The new reticence of European companies in turn is blunting efforts by France, Britain and Germany to persuade Iran to abandon nuclear processes that could be used to build weapons in return for economic incentives. Among these incentives, the EU's "big three" have promised to help Iran cut deals with EU firms in civilian nuclear, aeronautic, telecoms and other industries.

European diplomats complained about the U.S. increasing pressure on trade just as the European governments were trying to persuade Iran to accept economic incentives. "We were surprised by this," one European diplomat said.
Fetch this man a blue pill.
But diplomats said European companies had also complained they had not been consulted before their governments promised Iran goods and equipment that they would be unable to provide. "The politicians should have talked to industry before starting negotiations with Iran, not after," one said.
Outstanding example of Euro "diplomacy".
One of the items promised to the Iranians was a light-water reactor of the type that does not produce large quantities of plutonium. But no European company is willing to build it.

Iran, under pressure to give up its uranium enrichment program, is also getting frustrated that the European governments are unable to offer it anything. "Iranian expectations are too high. We can't order our companies to do business with Iran. All we can do is create a political atmosphere to build confidence," an EU diplomat said.

Germany and France were the top exporters to Iran in 2003, accounting for 11 and 8.6 percent respectively of Iran's $25.26 billion of imports.

On Friday, the head of the International Atomic Energy Agency urged the United States to join forces with Europe to persuade Iran to give up nuclear processes that could be used to make weapons. "I would hope that the U.S. eventually would be actively engaged with the Europeans in the dialogue with Iran," Mohamed ElBaradei told Reuters on the sidelines of the World Economic Forum in Davos, Switzerland. Washington wants the U.N. Security Council to impose sanctions on Iran to stop it developing nuclear weapons.
Posted by:tipper

#5  Seems to me that Germany/France/Russia were the main exporters to Saddam as well.

My oh my, how offfering bribes to brutal regimes in order to encourage them to follow the agreements that Iranian has previously made (non-proliferation treaty) has become so complicated for the appeasers.

Posted by: Duke Nukem   2005-01-29 2:42:31 PM  

#4  well at least when it hits the fan, they were warned to get out
Posted by: Frank G   2005-01-29 2:12:24 PM  

#3  But diplomats said European companies had also complained they had not been consulted before their governments promised Iran goods and equipment that they would be unable to provide. "The politicians should have talked to industry before starting negotiations with Iran, not after," one said.

Dear Industrialists

You have to remember that, as the enlightened leaders of the post-technological, trans-national Humanity, we are not too conversant with the details of your nasty, polluting, profit grabing, business. In fact, we're going to abolish you, and your (spit) industry as soon as we can.

Now, shut up and deliver the goodies to our Iranian friends.

Signed, The Enlightened

p.s. Don't forget to pass our cut to us.
Posted by: gromgorru   2005-01-29 1:56:33 PM  

#2  What a surpise - another crooked arab (al-baradei) doing his best to protect iran and attack Bush. This the same Baradei who tried to get the idiot Kerry elected by leaking crappy info just before the elections.
Posted by: Glereper Craviter7929   2005-01-29 12:53:54 PM  

#1  Sucks to piss off the Great Satan, doesn't it? Fatwa against these companies in 5....4....3....
Posted by: Desert Blondie   2005-01-29 12:13:42 PM  

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