Follow us on social

google cta
Secretary_of_the_treasury_steven_mnuchin_and_secretary_of_state_mike_pompeo_participate_in_a_press_conference_49379915306

Why Biden shouldn’t fall for the ‘sanctions wall’ trap on Iran

As the Trump administration wanes, regime change fanatics are throwing everything they can at Iran trying to prevent Biden from returning to the nuclear deal.

Analysis | Middle East
google cta
google cta

Faced with a countdown on its tenure in office, the Trump administration is accelerating efforts to bar President-elect Biden from returning to the Joint Comprehensive Plan of Action — the nuclear accord between the United States, other major world powers, and Iran — and to cement the U.S.-Iran relationship into one of perpetual conflict.

Soon after news agencies called the presidential election for Joe Biden, Axios reported that the Trump administration was preparing a so-called “flood” of sanctions on Iran in the coming weeks. Consistent this move, the Special Envoy for Iran and Venezuela Elliott Abrams traveled to Israel to help strategize with the Netanyahu government on the proposed sanctions on Iran. According to an Israeli source, “The goal is to slap as many sanctions as possible on Iran until January 20.”

None of this surprising. Ever since the U.S.’s cessation of its participation in the JCPOA, the Trump administration has sought to render permanent the state of alienation between the U.S. and Iran, precluding any successor administration from either returning to the JCPOA or entering a new diplomatic agreement in its place. Figuring prominently in this strategy is the so-called “sanctions wall,” the term coined by Mark Dubowitz of the Foundation for Defense of Democracies, which has, as its express purpose, to politically frustrate any successor administration that dares consider lifting sanctions imposed on Iran.

To effectuate this “sanctions wall,” the Trump administration has imposed sanctions on broad sectors of Iran’s economy, as well as its largest banks and companies, under non-nuclear-related authorities, including the U.S.’s counterterrorism sanctions authority. This includes, as an example, sanctions on Iran’s financial sector and its aluminum, construction, copper, iron, mining, manufacturing, steel, and textile sectors, as well as on Iran’s central bank, Bank Melli, Bank Mellat, Bank Tejarat, and Bank Parsian. If, the theory goes, the Biden administration is scared off politically from lifting these sanctions, then the United States will be unable to return to the nuclear accord; that accord will collapse absent its necessary party; and escalating conflict between the United States and Iran will prove the name of the game moving forward.

The so-called “flood” of sanctions being prepared in the coming weeks is more of the same. These sanctions are not designed to change Iran’s behavior or to deter it from conduct anathema to U.S. interests. Instead, the whole point of the sanctions is to set a trap for the Biden administration.

The Biden administration would do well not to fall into this trap. Absent immediate steps to undo the damage wrought by Trump and reinvigorate the JCPOA through a compliance-for-compliance agreement with Iran, President Biden will face the same crisis that prevailed in the lead-up to the JCPOA where Iran’s nuclear program built in step with U.S. sanctions. Only this time, the one exit from this escalatory cycle — a political agreement to deescalate and calm tensions between the two countries — will be foreclosed.

In a matter of weeks, President Biden will take office facing a historic pandemic and a ravaged economy, as hundreds of thousands of Americans have died and millions have been left jobless because of the indifference of the Trump administration. In tackling this, the Biden administration will be dealing with arguably the gravest national security threat facing this country since President Lincoln’s inauguration in 1861.

It would thus behoove President Biden not to add to the stress that his administration will be under in its opening months by delaying a compliance-for-compliance agreement with Iran and lifting all those sanctions imposed in bad faith by the Trump administration. To do otherwise risks a most unnecessary choice — that between acceding to a growing Iranian nuclear program or launching the opening salvo of a devasting military conflict in the Middle East. 


Secretary of the Treasury Steven Mnuchin and Secretary of State Mike Pompeo participate in a press conference to announce an Executive Order authorizing the imposition of new sanctions against Iran, Friday, Jan. 10, 2020, in the James S. Brady Press Briefing Room of the White House. (Official White House Photo by Andrea Hanks)
google cta
Analysis | Middle East
Will Democrats pop Trump's $50 billion trial balloon for war?
Top image credit: Sens. Andy Kim (D-N.J.), Ruben Gallego (D-Ariz.) and Elissa Slotkin (D-Mich.) sit look on during a congressional hearing in January, 2025. (Tom Williams/CQ Roll Call/Sipa USA)

Will Democrats pop Trump's $50 billion trial balloon for war?

Washington Politics

On Wednesday, Sen. Ruben Gallego (D-Ariz.) told CNN that he would support new funding for the U.S. war with Iran — but only if Israel and Arab Gulf states help pay for it.

“We’re using our taxpayer money to protect those countries,” Gallego said. “We’re using our men to protect these countries. They need to throw in and have skin in the game too.”

keep readingShow less
Polymarket Iran War
Top photo credit: Polymarket logo (Shutterstock/PJ McDonald) and Scene following an airstrike on an Iranian police centre damaging residential buildings around it in Niloofar square in central Tehran on march 1, 2026. (Hamid Vakili/Parspix/ABACAPRESS.COM)

Prediction markets are a national security threat

Latest

Hours before an Israeli attack in Tehran killed Ayatollah Khamenei, an account on the prediction market Polymarket made over half a million dollars wagering that Iran’s Supreme Leader would vacate office before 3/31. That account, named “Magamyman,” was not the only one to cash in on the attacks.

Half a dozen Polymarket accounts made over $1.2M betting that the U.S. “strikes Iran by February 28, 2026.” Those accounts were allegedly paid for through cryptocurrency wallets that had previously not been funded prior to Feb. 27. Overall, prediction market users bet over $255M on markets related to the attacks in Iran on the prediction markets Kalshi and Polymarket alone.

keep readingShow less
Indonesia stock exchange
Top photo credit: (Shutterstock/Triawanda Tirta Aditya)

Trump's ‘move fast and break things’ war slams into economy

Middle East

The launch of joint U.S.-Israeli strikes on Iran could lead to economic and financial disruptions that ripple across the countries of the Global South with devastating effects. And while a quick end to the war could dampen these effects, Defense Secretary Pete Hegseth has acknowledged that the war could even last up to 8 weeks, and Israel is now reportedly expecting a "weeks-long" war with Iran.

The fundamental issue here seems to be an increasingly expansive vision of American — and particularly Israeli — war aims. These have now gone well beyond Iran’s offer of substantial denuclearization to regime change, and some quarters have even more extreme visions like the potential Balkanization of Iran into multiple statelets. Such mission creep on the part of the U.S. and Israel has in turn changed incentive structures in Iran towards an expansion of the conflict to target both the Gulf States and global oil markets, a dynamic that threatens to broaden the conflict and extend it, with profound impacts on the global economy.

keep readingShow less
google cta
Want more of our stories on Google?
Click here to make us a Preferred Source.

LATEST

QIOSK

Newsletter

Subscribe now to our weekly round-up and don't miss a beat with your favorite RS contributors and reporters, as well as staff analysis, opinion, and news promoting a positive, non-partisan vision of U.S. foreign policy.