Page 44 - IRANRptNov20

Iran’s oil minister openly admits forging exports documents to dodge US sanctions
US extends Iraq waiver to buy gas from Iran by 60 days
Iran’s oil minister has openly admitted forging oil documents to hide the origin of Iranian cargoes of crude that might otherwise not find a market because of US sanctions.
“What we export is not under Iran’s name. The documents are changed over and over, as well as specifications,” Bijan Zanganeh was quoted as saying in parliament by the website of the state-owned National Iranian Oil Company (NIOC).
Since early last year, the US has been attempting to use sanctions to meet its stated goal of driving all Iranian crude shipments off world export markets. Earlier this week, Zanganeh described the ultra-aggressive economic policy as like waging a “war without blood”.
Working out how much oil Iran has continued to export on the grey market despite Washington’s efforts is a complex question for analysts.
On September 25, Reuters reported that three assessments based on tanker tracking showed that this month Iranian oil exports have risen sharply. “Exports are way up right now. We are seeing close to 1.5 million bpd in both crude and condensate so far this month,” Samir Madani, co-founder of TankerTrackers, told the news agency. “These are levels we haven’t seen in a year and a half.”
China, known as the biggest buyer of Iranian oil on the unhindered market before the US adopted its “zero tolerance” policy, will very likely be the key to Iran’s fortunes in oil sales in the months ahead. Analysts see Beijing as using its grey market decision-making on Iranian oil as a bargaining chip in its trade war dealings with the US Trump administration.
The US on September 24 renewed a sanctions waiver that allows Iraq to buy gas from Iran, while at the same time urging Baghdad to use the provided 60 days to take “meaningful actions” to reduce its energy dependence on neighbouring Tehran.
Washington has repeatedly extended the waiver for Iraq to use indispensable Iranian energy supplies for its struggling power grid and dilapidated utilities, usually for periods of 90 or 120 days.
Iran provides one-third of Iraq’s gas supplies, despite the fact that the Iranian companies that the Iraqis import from are sanctioned by the US.
Official data shows that Iraq’s generation capacity stands at around 16,000 MW, not covering demand for 24-30,000 MW to keep the lights on.
“The waiver ensures that Iraq is able to meet its short-term energy needs while it takes steps to reduce its dependence on Iranian energy imports,” a US State Department official said.
“We believe it is possible within the 60 days for the government of Iraq to take meaningful actions to promote energy self-sufficiency...,” he said, without specifying what those actions should be.
9.1.2 ​Automotive sector news
Iran’s vehicle makers post production gain of 23.4% y/y for first half of Persian year
Vehicle manufacturers in Iran recorded a 23.4% y/y increase in production in the first half of the 2020/2021 Persian calendar year (March 20-September 21), ILNA reported on September 30.
Car buyers in Iran plainly have limited options when it comes to affordable cars, with Peugeots and Renaults the bigger names among the well-known global auto brands that are available. Due to constraints on the auto industry in Iran, buyers must purchase their car as a pre-order and wait several months for their vehicle to arrive.
Some, 468,699 vehicles were reportedly manufactured during the first half.
44​ IRAN Country Report November 2020 www.intellinews.com