U.S. sanctions move angers Iran, Russia sees threat to nuclear deal

VIENNA/MOSCOW,  (Reuters) – A breakthrough agreement to end the standoff over Iran’s nuclear programme appeared to face its first major difficulty yesterday with Russia warning that expanding a U.S. sanctions blacklist could seriously complicate the deal’s implementation.

Russia, which, along with the United States, is among the six world powers that negotiated the Nov. 24 interim accord with Tehran, echoed Iranian criticism that it violated the spirit of the deal and could “block things”.

The United States on Thursday blacklisted additional companies and people under existing sanctions intended to prevent Iran from obtaining the capability to make nuclear weapons. Iran denies any such aims.

Diplomats said Iran, in what appeared to be a response, interrupted technical talks in Vienna with the six nations over how to implement the agreement, under which Tehran is to curb its atomic activities in return for limited sanctions easing.

The developments highlighted potential obstacles negotiators face in pressing ahead with efforts to resolve a decade-old dispute between the Islamic Republic and the West that has stirred fears of a new Middle East war.

Western diplomats said the inconclusive outcome of the Dec. 9-12 expert-level discussions should not be seen as a sign that the deal hammered out nearly three weeks ago was in trouble.

But Deputy Foreign Minister Abbas Araqchi told Iran’s semi-official Fars news agency in reaction to the U.S. decision that it was evaluating the situation and would “react accordingly”, adding, “It is against the spirit of the Geneva deal.”

Russia also made its concerns clear.

“The U.S. administration’s decision goes against the spirit of this document,” said Foreign Ministry spokeswoman Maria Zakharova, referring to the Geneva agreement between Iran and the United States, Russia, China, France, Britain and Germany.

“Widening American ‘blacklists’ could seriously complicate the fulfilment of the Geneva agreement, which proposes easing sanctions pressure.”

In Washington, U.S. State Department spokeswoman Marie Harf said she did not think the blacklistings announced on Thursday had made the negotiations more difficult.

“No, I don’t. I think it was always going to be very complicated,” Harf told reporters, adding the United States had told Iranian officials in Vienna that more designations were coming.

Russia built Iran’s first nuclear power plant and has much better ties with Tehran than Western states. It supported four rounds of U.N. Security Council sanctions aimed at reining in Tehran’s nuclear programme but has criticised the United States and Europe for imposing additional sanctions.

U.S. officials said the blacklisting move showed the Geneva deal “does not, and will not, interfere with our continued efforts to expose and disrupt those supporting Iran’s nuclear programme or seeking to evade our sanctions”.

The new measure, the first such enforcement action since Geneva, targeted entities that are suspected of involvement in the proliferation of materials for weapons of mass destruction and trying to evade the current sanctions.

Some U.S. lawmakers want further sanctions on the Islamic state. But the administration of President Barack Obama has campaigned to hold off on new measures for now to create space for the diplomatic push to settle the nuclear dispute.

Iran’s ambassador to France said expanding the blacklist played into the hands of those opposing the deal – including hardliners in Iran irked by the foreign policy shift and apprehensive that they are losing influence over Iran’s most powerful man, Supreme Leader Ayatollah Ali Khamenei.