Iran - EP 2

Duration: 24-Mar-2007 to 03-Mar-2008

With the IAEA report in February 2007 that Iran failed to comply with UNSCRs 1696 and 1737, new sanctions were adopted under UNSCR 1747 (24 March 2007), including an expanded list of individuals and entities involved in nuclear and missile activities (e.g. Bank Sepah, front companies, and members of the Iranian revolutionary guards) and new sanctions were imposed banning arms transfers from Iran.


Coerce

Coerce Iran to suspend its nuclear activities, and to comply with IAEA requirements.

Constrain

Constrain Iran’s development of its nuclear and missile programs.

Signal

Signal support for non-proliferation norms, specifically NPT and the role of the IAEA in monitoring nuclear programs.


Mandatory

Ongoing sanctions:
  • Proliferation sensitive goods and technology imports and exports ban (specific items);
  • Individual / entity asset freeze.
Newly imposed sanctions:
  • Arms exports embargo.

Sanctions Committee in place, no sanctions monitoring mechanism. Designation criteria were specified and targets designated (maximum number of designees during the episode – 27 individual designees, 23 entities). Enforcement authorities not specified.


Coercion

Ineffective

Policy outcome

IAEA noted progress by Iran on addressing some outstanding issues in February 2008, but no clear progress or concessions on the major issue (clarity on the purposes of the program).

Sanctions contribution

Sanctions and diplomatic pressure reinforced IAEA negotiations with Iran.

Constraint

Ineffective

Policy outcome

Iranian exports of arms appeared to decline, but the data was spotty; Russian sales of arms also declined in the episode.

Sanctions contribution

Primary effect from non-UN sanctions and informal US pressure on financial sector to limit Iranian business; little UN attention to implementation.

Signaling

Mixed

Policy outcome

Support for non-proliferation norm and reinforcing IAEA authority clear.

Sanctions contribution

Sanctions reinforced other measures (diplomatic pressure).


Insufficient information available at present.


24-03-2007

Substantive

  • Imposes arms exports embargo from Iran.
  • Specifies new UNSCR 1737 financial asset freeze designees (Annex I).
  • Delineates criteria for sanctions suspension and termination.
  • Specifies elements of long-term agreement and areas of future cooperation to be covered in negotiations on a long-term agreement with Iran (Annex II).
  • Calls upon MS to exercise vigilance regarding travel of individuals supporting, associated with, or engaged in proscribed activities.
  • Calls upon MS to exercise vigilance and restraint in supply, sale or transfer of any battle tanks, armoured combat vehicles, large calibre artillery systems, combat aircraft, attack helicopters, warships, missiles or missile system (as defined in UN Register on Conventional Arms) to Iran, as well as provision of any related training, technical or financial assistance, investment, brokering or other services, and transfer of financial resources or services, related to supply, sale, transfer, manufacture or use.
  • Calls upon MS and international financial institutions not to enter into new commitments for grants, financial assistance, and concessional loans to Government of Iran, except for humanitarian and developmental purposes.

Procedural

  • Calls for MS reporting.
  • Requires MS notification of travel of individuals subject to asset freeze and additional designated individuals (Annex I, Annex of UNSCR 1737 and subsequent designations).