Dear Europe: Grow a Backbone on Something Important, Defy Trump on Sanctions
Mike Mish Shedlock
- Total SA, the French oil giant, is hoping it can hold on to its $1 billion deal to develop an offshore natural-gas field, even if there are new U.S. sanctions. It argues it signed the deal when there were no U.S. or European sanctions in place. And it says it has effectively ring fenced the project from any of its U.S. operations. For instance, it has kept all U.S. computer software out of the project, according to people familiar with the matter. It has also excluded its American employees from working on it.
- Total Chief Executive Patrick Pouyanne has informally asked French officials to intervene with the Trump administration to secure a waiver for the project, called South Pars, if sanctions return, according to one of the people.
- Royal Dutch Shell PLC signed a 2016 contract to sell petrochemical technologies to Iranian partners. The company sent a top manager to Iran in April to reassure Iranian officials it remained committed to the country, as long as its business was still permitted under any new U.S. sanctions, according to a person familiar with the matter. Last year, it generated $6.3 million in gross revenue from its Iran petrochemical business, according to the company’s annual report.
- French car manufacturer Renault SA RNO and Franco-German plane maker Airbus SE EADSY have each met French trade and finance officials early last month to seek clarity on any possible sanctions, according to a person familiar with the matter.
Why should every country in the world be forced to go along with every absurd US sanction?
The simple solution is for Europe to tell Trump flat out, "Go to Hell". It is absurd to let Trump sets sanction policy for the world!
There is no case for sanction and there is no case for for a US-sponsored regime change in Iran.
Mike "Mish" Shedlock