Skip to content
CityAM
Main navigation
  • News
    • News
      • Latest Business News
      • Economics
      • Politics
      • Tech
      • Banking
      • FTSE 100 Live
      • Retail
      • Insurance
      • Legal
      • Property
      • Transport
      • Markets
    • From our partners
      • AON
      • Bayes Business School
      • Canada BIDs
      • Central London Alliance CIC
      • Destination City
      • Halkin
      • Olympia
      • Inside Saudi
      • Tottenham Hotspur Stadium
      • Santander X
      • YEAR SIX Dividend
    • Featured

      Platitudes in women’s sport are empty, patronising and offensive

      Business professionals in a conference room discussing strategy with a presentation screen displaying key market trends.

      Submit a story

      Tell us your story.

      Submit
  • Opinion
  • Sport
    • Latest Sports News
      • Sport
      • Sport Business
    • From our partners
      • The Morning Briefing: SBS x CityAM
      • Aramco Team Series
      • LIV Golf
    • Featured

      Platitudes in women’s sport are empty, patronising and offensive

      Business professionals in a conference room discussing strategy with a presentation screen displaying key market trends.

      Submit a story

      Tell us your story.

      Submit
  • Life&Style
    • Life&Style
      • Life&Style
      • Toast the City Awards
      • The Magazine
      • Travel
      • Culture
      • Motoring
      • Wellness
      • The RED BULLETiN
      • Do it with Shared Ownership
      • Media Speak Hub
    • Featured

      Fogo de Chao nominated for Best Casual Dining Toast award

      Fogo de Chão restaurant exterior with vibrant signage and bustling entrance at popular city location

      Submit a story

      Tell us your story.

      Submit
  • Investec
  • Events
  • Latest Paper
Tuesday 25 November 2014 4:08 pm  |  Updated:  Friday 07 June 2019 5:55 pm

Iran nuclear crisis: The sharks are circling and war is not impossible

By: John Hulsman

Add as a preferred source on Google

IF THE conventional wisdom of the mainstream press could sum up the current state of the Iranian nuclear talks in one headline, it would absurdly read “Optimism as talks fail to end”. Even by their standards, this fails to pass the laugh test analytically. Instead, an alarmed pessimism must be the correct response. For after 12 years, including the last nine months of increasingly intense discussions, the Iranian nuclear crisis has hit a brick wall.

With a deal out of reach this week, both the Iranians and the P5+1 (the US, China, Russia, the UK, France, and Germany) have agreed to continue disagreeing about two major stumbling blocks: the number of centrifuges allowed in the future Iranian nuclear programme and the speed with which, after an accord, sanctions on the Islamic Republic would be lifted.

These substantive problems standing in the way of a deal are far from trivial. First, Iran (as was clearly stated by Grand Ayatollah Khamenei in July) wants the ability to develop a large, civilian nuclear capacity. Khamenei reckons this will require more than 200,000 of the current IR-1 centrifuges; the West’s counter-offer is that Iran will be allowed to possess a mere 2,000. So the negotiators, over this absolutely central point, are off by a factor of 100. This is a canyon-sized difference.

Second, the West wants any final agreement to stretch on for up to 20 years, with sanctions being repealed in bite-sized, incremental stages. Contrarily, Tehran expects the majority of sanctions to be suspended – by executive order, in the case of the US, as the new Republican-controlled Congress is highly unlikely to go along – almost at once, and for the whole process to be wound up in just five years. The two negotiating positions remain far apart.

Cheering on this failure, both Iran and the US have very strong vested interests – centred respectively around conservative religious clerics and the Iranian Revolutionary Guards (IRG) and irreconcilable hawks in the US Congress – who will not favour a deal under any circumstances that might be palatable to the other. For example, senator Bob Corker, the incoming Republican chairman of the Foreign Relations Committee, stated in June that he would personally back new economic sanctions on Iran should a deal not be reached. Failure to solve the Iranian nuclear issue would immediately lead to a full-blown geopolitical crisis, with war a quite possible outcome. The stakes could not be higher.

And after a forest of false deadlines, the real sort is at last in view. This week, both sides agreed to keep the talks going until 1 March 2015, when a political framework deal ought to be in place. This is the real end game. For following the past few days’ failure to nail down an accord, the sharks are circling, particularly in America. The new Congress (which convenes in January 2015) probably has a veto-proof majority inclined to impose new sanctions on Iran should a deal not be imminent. Tehran has made it clear that any new US sanctions would end the talks. As such, the White House probably has one more chance to make a deal work, ahead of a hawkish Congress wresting the diplomatic initiative away from a weakened President Obama.

In other words, theoretically a deal can be done by March, but only just. But this much is for certain: the odds of such an accord are long. Failure, with all its ghastly consequences, must now be contemplated.

Share this article

  • Facebook
  • X
  • LinkedIn
  • WhatsApp
  • Email

Similarly tagged content:

Sections

  • Opinion

Categories

  • Opinion

Trending Articles

  • As it happened: Stocks sink after Fed and Bank of England opt for hawkish hold; Oil price tumbles

  • FTSE 100 Live: Pound dips and stocks slip as Andy Burnham victory triggers political uncertainty

  • City investors raise alarm on Burnham’s Chancellor pick

  • Inheritance tax enquiries surge to six-year high after HMRC clampdown

  • More Big Four blues as Deloitte plans to slash UK audit roles

More from CityAM

  • Peace deal will be finalised Sunday, Trump says but Tehran casts doubt

    Politics
    Donald Trump at Pennsylvania CPA event, addressing financial policies to an audience of accounting professionals
  • Trump yet to make ‘final determination’ on Iran war despite discussions

    Politics
    Donald Trump raising his fist in a confident gesture during a public appearance, symbolizing determination and leadership
  • As it happened: Petrol prices surge to Iran war record as Kingfisher helps lift stocks higher

    Markets
    Breaking news headline image with abstract design, suitable for general news articles on a professional business website
  • As it happened: Stocks plummet on latest Iran war tensions; Neets crisis a ‘human tragedy’

    Markets
    Breaking news graphic with bold headline and dynamic background in business and general news context
  • As it happened: Stocks jitter on stalling US-Iran talks; OECD unemployment warning

    Markets
    Donald Trump raising his fist in a confident gesture during a public appearance, symbolizing determination and leadership
  • Iran deal is ‘largely negotiated’ as Trump teases Strait of Hormuz re-opening

    Politics
    Donald Trump discussing the Iran nuclear deal, standing at a podium with the American flag in the background
  • Iran ‘pulls out of talks with US’ and threatens to strike Israel

    Politics
    Iranian military vessels patrol the strategic Strait of Hormuz amidst escalating tensions in the region
  • As it happened: US-Iran peace hopes sends oil lower; Brits handed energy price cap blow

    Markets
    Without the articles title or content, its challenging to craft specific alt text for the image. If you provide more conte...

CityAM Canada — business, markets and opinion for Canadian readers.

Sections

  • Business
  • Markets
  • Tech
  • AI
  • Economics
  • Opinion
  • Cities

Company

  • About
  • Contact

Legal

  • Terms of Use
  • Privacy Policy
  • Cookie Policy
© 2026 CityAM Canada. All rights reserved.
Terms · Privacy · Cookies