The Biden administration has been allowing billions in sanctions waivers that benefit Iran, leading to billions more in unsanctioned oil sales that allow the Iranian government to continue funding its drone factories and proxy groups. Jonathan Schanzer, a senior vice president at the Foundation for Defense of Democracies, emphasized that any sanctions relief ultimately benefits the Iranian regime, particularly the Islamic Revolutionary Guard Corps (IRGC). The State Department insisted that the Biden administration has not lifted any sanctions on Iran and continues to increase pressure through sanctions on individuals and entities involved in Iran’s problematic behaviors. Despite this, Iran has managed to find buyers for its oil and has received between $16 billion and $20 billion in sanctions waivers.
Experts have criticized the Biden administration for allowing waivers that benefit Iran, such as a $10 billion waiver for Iraq to obtain electricity from Iran and a $6 billion waiver for South Korea to transfer funds for the release of Americans. Critics argue that these waivers only ease sanctions on Iran, providing the regime with financial resources to continue its malign activities abroad. The administration has defended the waivers by stating they are not benefiting the mullahs in Iran, but rather vendors providing humanitarian assistance to the Iranian people. However, Schanzer contended that the money is likely diverted or used in a cynical way by the Iranian regime or its proxies.
A lack of oversight has allowed Iran to sell oil worth billions of dollars, with Iranian vessels using methods to hide their location and ferry oil to evade sanctions. Some experts believe the Biden administration may be turning a blind eye to Iran’s activities due to concerns about inflation and the surge in oil sales. Iran’s cooperation with China, including a 25-year economic cooperation agreement and joining the Beijing-led BRICS bloc, has also helped the country avoid sanctions by providing access to other currencies and trading options. Schanzer highlighted that countries like Russia and China often provide assistance to Iran through trade, arms purchases, and oil deals.
Overall, the Biden administration’s approach to sanctions on Iran has been met with criticism from experts who believe that the waivers and lack of oversight have allowed Iran to continue funding its malign activities. While the administration insists that sanctions remain in place and pressure is being increased on Iran, critics argue that the waivers ultimately benefit the Iranian regime, particularly the IRGC. The growing cooperation between Iran and China, as well as Russia, has also played a significant role in how Iran has managed to evade sanctions and continue its activities. The situation highlights the complexities of enforcing sanctions and the challenges of curbing Iran’s destabilizing actions in the region.
