World Business and Economic Analysis
World Business and Economic Analysis
By M.A Saki and Ali Kushki
TEHRAN - President Xi Jinping of China is having his last stop in Tehran as he is wrapping up the Middle East tour which included trips to Riyadh and Cairo, as well.
The tour could not have come at a more opportune moment as the beleaguered Middle East has been in distress like no time before.
Syrians and Iraqis have been having heavy causalities on the battleground with well-heeled terrorist groups, petro-dollars have led to more air raids on Yemen, and Iran and Saudi Arabia continue to be at loggerheads over numerous issues.
However, amid all this disappointment, President Xi’ visit to the serene Tehran after the implementation of the nuclear pact between Iran and the 5+1 group seems to be a turning point in Sino-Iran relations.
The event can open a new chapter in bilateral ties between the two countries as emphasized by Pang Sen, the Chinese ambassador to Tehran. Prior to President Xi’s visit to Iran, the Tehran Times talked face-to-face with Pang Sen to hear more about the importance of the event. In what follows, a transcript of the interview has been given.
Tehran Times: Would the visit of President Xi Jinping and his entourage to Tehran lead to transfer of new technologies and investment to Iran, if so, in what areas?
Ambassador: I imagine a very bright future for the two countries’ cooperation in the fields of science and technology. During President Xi Jinping’s visit, I expect we will sign agreements or memorandums of understanding (MOUs) to enhance cooperation between the two countries. Possible cooperation areas are solar energy, because we cannot depend on fossil fuel all the time. Also, we can cooperate with Iran in other areas such as fast-speed train and infrastructure, including irrigation systems which use less water. I cannot list all possible areas but certainly I feel scientific and technical institutions of the two countries can get in close contacts with one another and these MOUs will specify areas that we can work on them together.
Tehran Times: In the new atmosphere, which has been created with the signing of the nuclear deal, which countries are China’s main competitors in the Iranian market?
Ambassador: I think that the signing of the nuclear agreement will make it possible for more countries to come to Iran for investment and cooperation purposes. Given this, Iran has more choices in the future. That’s a good thing because different companies have different advantages and disadvantages. For example, Japanese ones, Korean ones, and European ones, they have their own strong points while Chinese firms have also their own strong points. I think on the one hand we compete one another, and on the other hand, we consider the possibility of tripartite cooperation with rivals. That will bring advantage and benefits to all of us. So, I don’t see more options as a threat as they provide opportunities for us, too.
Tehran Times: Has there been a change in Sino-Iran relations during your tenure as China’s ambassador to Iran?
Ambassador: I think over the past two years since new governments have taken office in both countries, bilateral relations between the two countries have witnessed further development. The two countries’ officials have exchanged ideas and views on various major bilateral and international issues. Our economic cooperation has seen rapid development. In 2014, the trade volume between the two countries surpassed $50 dollars compared to the year 1994. After 20 years, the trade volume has grown more than one hundred times. So, I am very happy to see the smooth development in the relations in all areas.
Tehran Times: Will the visit of President Xi create a new climate for cooperation in nuclear technology with Iran?
Ambassador: The signing of the nuclear agreement between Iran and 5+1 countries has paved the way for Iran’s cooperation with the world, including nuclear cooperation because as an NPT member state, Iran is entitled to enjoy the right to benefit from the peaceful use of nuclear energy. We can cooperate in the production of isotopes for medical purposes. We can also work together on seawater desalination as well as joint construction of nuclear power plants.
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Many world leaders and politicians respond to the implementation of Iran’s historic nuclear deal with world powers.
During a joint press conference held in Vienna late on Saturday, Iranian Foreign Minister Mohammad Javad Zarif and EU foreign policy chief Federica Mogherini announced that sanctions imposed on Tehran over its nuclear program have been lifted. The announcement was made after the International Atomic Energy Agency (IAEA) confirmed Iran’s commitment to the Joint Comprehensive Plan of Action (JCPOA).
"Today marks the moment that the Iran nuclear agreement transitions from an ambitious set of promises on paper to measurable action in progress,” said US Secretary of State John Kerry after the announcement.
United Nations Secretary General Ban Ki-moon also hailed the agreement implementation.
"This achievement demonstrates that international proliferation concerns are best addressed through dialogue and patient diplomacy," said Ban's spokesman in a statement. "This is a significant milestone that reflects the good faith effort by all parties to fulfill their agreed commitments," he added.
In a statement released by the IAEA, the agency’s Director General Yukiyo Amano said that "Relations between Iran and the IAEA now enter a new phase. It is an important day for the international community. I congratulate all those who helped make it a reality."
Head of the Atomic Energy Organization of Iran (AEOI) Ali Akbar Salehi said that Iran gained its "right" through support from the Iranian nation and Leader of the Islamic Revolution Ayatollah Seyyed Ali Khamenei.
British Foreign Secretary Philip Hammond released a statement saying that “Years of patient and persistent diplomacy, and difficult technical work, have borne fruit as we now implement the deal.”
French Foreign Minister Laurent Fabius also welcomed the deal, calling it an “important step for peace and security implementation.”
"At a time when the region is seeing immense challenges and strong tensions, I hope that the spirit of cooperation that marked the conclusion of the deal can also be brought to all the other regional issues," he said.
German Foreign Minister Frank-Walter Steinmeier also hailed the announcement as a “historic success for diplomacy.”
He added that the diplomatic victory could lead to success “in defusing other urgent crises and conflicts in the region, especially regarding the civil war in Syria,"
Meanwhile, US President Barack Obama signed an executive order for the removal of sanctions on Iran, the White House announced.
Leading US Democratic presidential candidate Hillary Clinton praised Obama for implementing the nuclear agreement, yet claiming that concerns still remain.
“Iran is still violating UN Security Council resolutions with its ballistic missile program, which should be met with new sanctions designations and firm resolve,” Clinton said.
Israeli Prime Minister Benjamin Netanyahu also repeated Tel Aviv’s anti-Iran rhetoric, saying, "Even after signing the nuclear deal, Iran has not relinquished its ambition to obtain nuclear weapons.”
Iran has always rejected such allegations, arguing that as a committed signatory to the nuclear Non-Proliferation Treaty (NPT) and a member of the IAEA, it has the right to use nuclear technology for peaceful purposes.
Netanyahu added that Israel would "follow the implementation of the deal and warn of any violation."
Iran and the five permanent members of the UN Security Council – Britain, China, France, Russia and the United States – plus Germany finalized the JCPOA in Vienna, on July 14, 2015.
Under the JCPOA, limits are put on Iran’s nuclear activities in exchange for the removal of sanctions against the Islamic Republic.
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US Secretary of State John Kerry said the implementation of the Iran nuclear agreement may be only 'days away,' since the Islamic Republic is meeting its commitments, according to media reports.
Kerry told reporters in Washington on Thursday that he had spoken to his Iranian counterpart, Foreign Minister Mohammad Javad Zarif, who promised Tehran would live up to its promises made under the nuclear accord, officially known as the Joint Comprehensive Plan of Action (JCPOA), Presstv reported.
The United States would be ready to begin lifting its sanctions against Tehran, he added.
Last July, Iran and the P5+1 group of world powers – the US, Britain, France, Russia, China, and Germany – concluded talks on Iran’s nuclear energy program in Vienna.
Under the agreement, Iran has been recognized by the United Nations as a nuclear power and will continue its uranium enrichment program, but some restrictions will be placed on Iran’s nuclear program in exchange for the removal of sanctions.
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