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After Saudi Arabia severed diplomatic relations with Iran, its allies Jordan and Bahrain also severed diplomatic relations with Iran. Even Iran’s largest trading partner, the United Arab Emirates, announced that it would lower the diplomatic level between the UAE and Iran from the ambassador level to the charge d’affaires level, and at the same time reduce Iran’s presence in the country. The number of diplomatic personnel in the UAE only retains economic ties. Kuwait also announced that it would join Saudi Arabia and its Persian Gulf allies in announcing the recall of its ambassador to Iran.
According to the UAE National News Agency, the UAE Ministry of Foreign Affairs issued a statement saying that in order to implement the above decision, the UAE Ministry of Foreign Affairs recalled the UAE Ambassador to Iran Saif Zaabi on the same day. The statement also stated that this unusual step was taken because "Iran has been interfering in the internal affairs of the Gulf and Arab countries".
Although Iran hopes to return to the world economic stage in 2019, it still needs regional trading partners. Foreign businesses are likely to expand into Iran by using countries such as the United Arab Emirates as trading hubs. If relations between the two countries do not improve, things will become more complicated.
The United States is also a factor affecting Iran's economy. Even if the Iran nuclear deal is reached, the United States may not lift sanctions. It remains difficult for U.S. businesses to trade with Iran due to the inability to set up physical stores and offices in the country. In most cases, they need to obtain special exemptions from the U.S. Treasury Department to ship U.S. goods to Iran.
Hunan Weide Trading Center’s long-term investment agent free account opening & consultation hotline:
&
:
Contact: Mr. Zhang
Hunan Weide agent free account opening Hunan Weide regular exchange agent