WASHINGTON: European governments are resisting Bush administration demands that they curtail support for exports to Iran and that they block transactions and freeze assets of some Iranian companies, officials on both sides say. The resistance threatens to open a new rift between Europe and the United States over Iran.
Administration officials say that a new American drive to reduce exports to Iran and cut off its financial transactions is designed to further isolate Iran commercially amid the first signs that global pressure has hurt Iran's oil production and its economy. There are also reports of rising political unrest in Iran.
In December, Iran's refusal to give up its nuclear program led the UN Security Council to impose economic sanctions. Iran's rebuff was based on its contention that its nuclear program is civilian in nature, while the United States and other countries believe Iran plans to make weapons.
Administration officials say that a new American drive to reduce exports to Iran and cut off its financial transactions is designed to further isolate Iran commercially amid the first signs that global pressure has hurt Iran's oil production and its economy. There are also reports of rising political unrest in Iran.
In December, Iran's refusal to give up its nuclear program led the UN Security Council to impose economic sanctions. Iran's rebuff was based on its contention that its nuclear program is civilian in nature, while the United States and other countries believe Iran plans to make weapons.
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