Some Sanctions Relief For Iran, But Mostly Status Quo For The U.S. Auto Industry

On January 16, 2016, the International Atomic Energy Agency (IAEA) declared that Iran had implemented its commitments to ensure that its nuclear program will be limited to peaceful purposes. With that, the United States announced that it was lifting its nuclear-related sanctions on Iran. But what does that mean for the U.S. auto industry? The short answer is “not much”. Here’s why.

First, a bit of history

For decades, the United States has maintained a broad embargo on nearly all trade and investment involving Iran. This has its basis in a number of laws enacted by the U.S. Congress and many related regulations and executive orders of the President. The U.S. Treasury Department’s Iranian Transactions and Sanctions Regulations (ITSR) are the primary regulation governing commercial transactions involving Iran. But dealings with Iran are also subject to the Iranian Assets Control Regulations, the Iranian Financial Sanctions Regulations and the Iranian Human Rights