U.S. to end Iran sanctions waivers in May

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The U.S. will terminate sanctions waivers for purchasing oil from Iran when they expire in early May, the White House said in a statement on Monday.

The decision is "intended to bring oil exports of Iran to zero," the statement said while vowing to ensure global oil market is well supplied.

"We're going to zero across the board," U.S. Secretary of State Mike Pompeo Monday told reporters after the White House announced the end to waivers in order to pressure Iran over its nuclear program.

"There are no (oil) waivers that extend beyond that period, full stop," said Pompeo, adding that "the U.S. has been in discussions with other countries to help them wind down Iran oil imports."

U.S. Secretary of State Mike Pompeo speaks to the media at the State Department in Washington, U.S., April 19, 2019. /Reuters Photo

According to him, Saudi Arabia, United Arab Emirates have agreed to take timely action to assure that global demand is met as all Iranian oil is removed from the market.

Israeli Prime Minister Benjamin Netanyahu praised Washington's decision on Monday, calling it "of great importance" in boosting pressure on Tehran.

The U.S. reimposed sanctions in November on exports of Iranian oil after U.S. President Donald Trump unilaterally pulled out of a 2015 nuclear accord between Iran and six world powers. Washington is pressuring Iran to curtail its nuclear program and stop backing militant proxies across the Middle East.

China opposes U.S. unilateral sanctions, hails cooperation with Iran

Earlier Monday, Beijing expressed its opposition to Washington's unilateral sanctions against Tehran, after media reports suggested that all importers of Iranian oil will have to end their imports shortly or be subject to U.S. sanctions.

Chinese Foreign Ministry spokesperson Geng Shuang reiterated China's unchanged stance on cooperation with Iran, saying all activities are legal and transparent, and thus should be respected.

Iran: U.S. will fail

The semi-official Iranian Tasnim news agency quoted Monday an unnamed Iranian oil ministry source as saying that the U.S. will fail to cut Iranian oil exports to zero, as Tehran is ready for any U.S. decision.

"Whether the waivers continue or not, Iran's oil exports will not be zero under any circumstances unless Iranian authorities decide to stop oil exports ... and this is not relevant now," said the unnamed "informed source."

A gas flare on an oil production platform is seen alongside an Iranian national flag in Iran. / VCG Photo

"We have been monitoring and analyzing all possible scenarios and conditions for the advance of our country's oil exports, and necessary measures have been taken ... Iran is not waiting for America's decision or the lack of it to export its oil," Tasnim quoted the source as saying.

"We have years of experience in neutralizing efforts by enemies to strike blows against our country," the source added.

Iran has threatened to disrupt oil shipments through the Strait of Hormuz, a major oil shipment channel in the Gulf, if the U.S. tries to strangle Tehran's economy by halting its oil exports.

On Monday, the commander of the Revolutionary Guards' navy said Iran would close the Strait if Tehran is barred from using it.

(With inputs from Reuters)