Authored by Mike Shedlock via MishTalk,
EC president Jean-Claude Juncker says the EU will activate a 'blocking statute' to avoid Iran sanctions.
Five hours ago Reuters reported the EU Will Start Iran Sanctions Blocking Law Process on Friday.
"As the European Commission we have the duty to protect European companies. We now need to act and this is why we are launching the process of to activate the 'blocking statute' from 1996. We will do that tomorrow morning at 1030," European Commission President Jean-Claude Juncker said.
"We also decided to allow the European Investment Bank to facilitate European companies' investment in Iran. The Commission itself will maintain its cooperation will Iran," Juncker told a news conference after a meeting of EU leaders.
Solidarity Busted Already
Two hours ago the Nasdaq reported Macron Rules Out Trade War Over Iran Deal as Firms Head for Exit.
French President Emmanuel Macron ruled out on Thursday any trade war with the United States over its withdrawal from the Iranian nuclear deal as a wave of European companies quit business with Tehran, fearing the global reach of U.S. sanctions.
Macron acknowledged the predicament of firms wanting to trade with Iran or invest there, especially multinationals with close business ties to the United States. But he made clear bigger matters were at stake.
"We won't start a strategic trade war against the U.S. about Iran," he said on arriving for a second day of a European Union summit in Bulgaria. "We're not going to take counter-sanctions against U.S. companies, it wouldn't make sense."
"All European Union member states are still backing this agreement, despite the fact the United States has decided not to, and we will continue talks with the United States," German Chancellor Angela Merkel told reporters at the EU summit.
Actions Speak Louder Than Bluffs
The EU can claim it is still honoring the deal, but ultimately the decision is up to corporate CEOs. And we have seen the response.
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Soren Skou, chief executive of Danish-based A.P. Moller-Maersk, made this statement: "With the sanctions the Americans are to impose, you can't do business in Iran if you also have business in the U.S., and we have that on a large scale. I don't know the exact timing details, but I am certain that we're also going to shut down."
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Italian steel manufacturer Danieli announced it has halted work on finding financial coverage for orders it won in Iran worth 1.5 billion euros ($1.8 billion). "With the withdrawal of the U.S. from the treaty the banks are no longer ready to fund Iranian projects for fear of secondary sanctions," Danieli CEO Alessandro Trivillin said....