US Warns Pakistan of Potential Sanctions Over Iran Trade Deal

The United States has issued a firm caution to Pakistan about potential sanctions risks over its trade deal with Iran, amid concerns about the agreement's implications. The US State Department spokesperson Vedant Patel advised anyone considering commercial transactions with Iran to be aware of the potential risk of sanctions.

The warnings came as the US imposed sanctions last week on suppliers to Pakistan's ballistic missile program, including entities from China and Belarus. Patel stated that these entities were involved in the proliferation of weapons of mass destruction and their delivery means. He emphasized that the US will continue to disrupt and take actions against proliferation networks and concerning weapons of mass destruction procurement activities.

Pakistan has been exploring ways to increase commerce with Iran, despite the US sanctions on the country. During Iranian President Ebrahim Raisi's recent three-day visit to Pakistan, the two countries signed eight bilateral agreements for cooperation in various areas and agreed to push bilateral trade to $10 billion. Pakistan has also been looking to revive a gas pipeline project from Iran, which has been delayed due to the possibility of US sanctions.

The Biden administration has made it clear that it will uphold all sanctions related to Iran and will not tolerate any actions that could weaken the pressure on the country. Pakistan plans to request a sanctions waiver on the pipeline project.

Why this matters: The US warning to Pakistan highlights the complex interplay between geopolitics, trade dynamics, and international regulations. It underscores the need for transparency, adherence to norms, and open communication as Pakistan navigates these challenges while balancing its trade partnerships and international obligations.

Pentagon Press Secretary Pat Ryder stated that the US maintains good relations with Pakistan and considers them an important security partner in the region. The US acknowledged Pakistan's foreign policy decisions but reiterated its commitment to disrupt proliferation networks. While the US is not currently reviewing any specific sanctions related to Pakistan's trade with Iran, it has reaffirmed its commitment to the US-Pakistan partnership, recognizing Pakistan as a significant export market and key investor.

Key Takeaways

• US warns Pakistan of sanctions risk over trade deal with Iran
• US imposed sanctions on entities involved in Pakistan's missile program
• Pakistan exploring increased trade with Iran despite US sanctions
• US reaffirms commitment to US-Pakistan partnership, but will uphold Iran sanctions
• Article highlights complex interplay between geopolitics, trade, and international regulations