After months of speculation, Donald Trump finally withdrew from the Obama-era 2015 nuclear deal reached between Iran and six major powers. It also vowed to reimpose all the “powerful economic sanctions” on the OPEC nation waivered within the deal as well as introduce new ones.

The sanctions would be reinstated after wind-down periods of 90 and 180 days so that companies could pull out themselves from agreements with Iran to avoid U.S. sanctions. As such, the sanctions will be levied in two rounds — one on Aug 6 and the other on Nov 4.

Hefty Sanctions

According to the Treasury Department, the first deadline includes sanctions on Iran buying or acquiring U.S. dollars as well as Iran's trade in gold and other precious metals, graphite and coal, metals such as aluminum and steel, the country's automobile sector and luxury products such as Iranian-origin carpets and caviar. Sanctions on “significant” sales or purchases of Iranian rials or the maintenance of significant funds or accounts outside the country using Iranian rials will also be reimposed.

In the second round, sanctions targeting companies doing business with Iran's oil industry will be reinstated on Nov 4. These will include penalties against foreign financial institutions that conduct significant transactions with the Central Bank of Iran and other Iranian financial institutions. The United States will also enforce sanctions on Iran's energy sector and on petroleum-related transactions with firms including National Iranian Oil Company, Naftiran Intertrade Company, and National Iranian Tanker Company. Sanctions on Iran's ports, as well as the country's shipping and shipping sectors will also be included.

Further, the Trump administration will prohibit U.S.-owned foreign entities from being allowed to engage in certain transactions with Iran from Nov 5 onward. Sanctions on certain Iranian individuals will also be restored from that day.