Jul 2, 2018

The United States remains determined to force Iran to change its behavior by cutting its oil exports to zero, the State Department said Monday, despite resistance from importing countries.

Brian Hook, the senior official leading negotiations with US allies on a new Iran strategy, said Washington is confident the world has enough spare oil capacity to replace Iranian crude.

And he confirmed that US secondary sanctions on firms dealing with Iran would "snap back" on August 6 for trade in cars and metals and on November 4 for oil and banking transactions.

This has been US policy since President Donald Trump pulled out of the Iran nuclear accord on May 8, but many foreign capitals have been demanding waivers to allow some trade to continue.

The US ultimatum has also contributed to upward pressure on world oil prices, although Trump believes he has persuaded Saudi Arabia to offset this by ramping up its own production.