USA allies scramble to fix damage from Trump's Iran nuclear pact decision

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Germany's Angela Merkel, France's Emmanuel Macron and the UK's Theresa May issued a joint statement following Trump's announcement yesterday that the United States would withdraw from the Iran nuclear deal - officially known at the Joint Comprehensive Plan of Action - and re-impose sanctions on the country.

Asked what he would do if Iran restarted its program, Trump said: "I would advise Iran not to start their nuclear program".

Iranian President Hassan Rouhani reacted quickly to Trump's announcement, saying there is a "short time" to negotiate with the countries remaining in the nuclear deal and he will be sending his foreign minister to meet them.

Slapping aside more than a decade and a half of diplomacy by Britain, China, France, Germany, Iran, Russia and past United States administrations, Trump called Tuesday for a "new and lasting deal".

European powers will also speak to China and Russian Federation, the deal's other signatories, to coordinate their response, though an EU diplomat said it would be wrong to characterise it as an attempt to "isolate" Washington.

Describing the Joint Comprehensive Plan of Action (JCPoA) as a bad deal, Trump had said that the nuclear deal is unlikely to prevent Iran from acquiring nuclear weapons.

US President Donald Trump speaks during an event in honor of Military Mothers and Spouses in the East Room of the White House in Washington, DC, May 9, 2018.

It will be months, or years, before the world feels the full impact of Donald Trump ripping up the Iran nuclear deal.

The oil price rose on Thursday and was set for its largest weekly increase in a month, as the market prepared for potential disruption to crude flows from major exporter Iran in the face of US sanctions. We have many treaties with the United States dating back long decades and none. On the other hand, one theory goes, Saudi Arabia and other Middle Eastern oil-producing states may be more willing to see prices climb if Iran can't benefit.

"The central idea is that around the core of the JCPOA you build a super-structure, a follow-on agreement that would address the problems of the sunset clauses, address the issue of the ICBMs (inter-continental ballistic missiles) and satisfy the president's anxieties", he said.

"You can not say that Iran is in compliance unless you are 100 percent certain that the IAEA and our intelligence are infallible", said USA national security advisor John Bolton.

Again, the president can do what he wants and lead where he pleases, but on the Iran deal, it is not at all clear where he is going - or if even he knows.

Chief among the critics was French President Emmanuel Macron, who was Europe's leading emissary to Washington in efforts to defend the deal and who has sought to cultivate a strong personal rapport with Trump. Many are holding out hope-however slim-that they can maintain both their established American business and burgeoning operations in Iran.

I'm not sure how serious we should take Iran's stance on the threat of starting to enrich [its nuclear program] at the moment.

Johnson had been involved in negotiations with European countries working to save the deal.

Iran's government must now decide whether to follow the U.S. and withdraw or try to salvage what's left with the Europeans.

"Iran says the United States is denouncing the vows!"

Hinderstein said there is every indication that the U.S. is preparing to pull out of other non-inspection mechanisms in the agreement, including converting the Arak heavy water reactor and the "procurement channel" that regulates the import of dual-use materials to Iran.