The UAE-Israel peace accord was said to be the road to better US-UAE relations. However, the latter seems to be on a treacherous path simultaneously, as the US sanctions UAE for the second time in 2020. After all, sharing alliance with the foes of an ally had to have a cost and the US Treasury Department made the gulf nation pay for it in sanctions.
The Trump administration imposed two new sanctions on two of UAE’s firms for rendering material aid to one of the biggest airlines operating in Iran. The US Treasury Department broke the news.
Following the sanctions, Treasury Secretary Steven Mnuchin said in a statement, “The Iranian regime uses Mahan Air as a tool to spread its destabilizing agenda around the world, including to the corrupt regimes in Syria and Venezuela, as well as terrorist groups throughout the Middle East.” He added, “The United States will continue to take action against those supporting this airline.”
The firms in question, Parthia Cargo and Delta Parts Supply FZC, supplied spare parts and logistical services to Tehran’s Mahan Air. The airline is blacklisted by the United States at present, stated the Treasury.
US sanctions UAE was followed by the US Treasury Department also sanctioning Amin Mahdavi, an Iranian living in the United Arab Emirates. The Iranian national was reportedly sanctioned for possessing or managing Parthia Cargo. Both the Dubai-based firms in question — Parthia Cargo and Delta Parts Supply FZC — have reportedly aided Mahan Air in carrying out malicious activities, which includes terrorist activities in the Syrian civil war that have led to destabilization of the Gulf region.
Mahan Air is said to have transported “terrorists and lethal cargo to Syria” for the regime led by President Bashar al-Assad in Syria. The role of UAE in Syria emerged in June 2020, when the US Treasury Department imposed financial sanctions on Syria under the Caesar Syria Civilian Protection Act. Under the Caesar Act, any nation or entity, financially or materially tied to the Assad regime was eligible to be sanctioned too, which included the UAE, which was operating an infrastructural development project in Syria at the time.
The US Treasury Department had declared that the sovereign nation(s) — referring to the UAE — can choose whichever path, but must remain clear that the US completely opposes the idea.
Just like any US Treasury Department sanctions, as the US sanctions UAE for aiding Iran’s Mahan Air, it simultaneously blocks the Americans from doing business with groups blacklisted. As part of the process, US also froze its assets linked with the sanctioned entities.
The United States considers Iran a rogue state, while the UAE-Iran relations have only grown over time. Tehran and Washington have had their horns locked since the Trump administration withdrew from the 2015 Iran nuclear deal. The deal was brokered by the Obama administration, during the former president’s tenure.
Before the US sanctions UAE, the UN Security Council had voted down the extension of an international arms embargo imposed on Iran. The embargo is set to expire on 18 October under the 2015 Iran nuclear deal with global superpowers.