Iranian official says new sanctions will only hurt Europe

Ynetnews

Chairman of Tehran parliament's national security and foreign relations committee defines decision to tighten restrictions on Islamic republic due to its nuclear program as a 'reckless and inconceivable move'
Dudi Cohen

Alaeddin Boroujerdi, chairman of the Iranian parliament's national security and foreign relations committee, has said the European Union's decision to tighten the sanctions on Tehran was "a reckless move which will hurt the Europeans," the IRNA news agency reported Saturday.

According to Boroujerdi, "This is a hasty and unconceivable move, which will negatively influence the positive relations created between the sides.

He added that "in light of the high extent of commercial and economic relations between the EU and Iran, if the Europeans impose sanctions they will definitely be hurt."

The EU tightened trade sanctions against Iran on Friday to punish Tehran for not committing to a long-standing demand of the international community that it freeze its nuclear enrichment program.

The new EU restrictions go slightly beyond existing UN trade sanctions and are designed to deny public loans or export credits to companies trading with Iran.

France, which holds the rotating EU presidency, said European governments would also carefully watch financial groups doing business with Iranian banks and step up checks on ships and airplanes traveling to Iran.

The EU's decision was announced on the backdrop of data released by its statistics' office, which reveal that the first five months of 2008 saw a rise of 18% in European exports to Iran compared to the same period the previous year, despite the sanctions and the tensions surrounding Tehran's nuclear program.

'Talks with UN nuclear watchdog positive'

Iran gave a noncommittal, one-page letter this week to the six powers containing no reply to their offer to refrain from seeking more UN penalties if Iran froze expansion of its nuclear work.

Iran promised a "clear response" at an unspecified date.

US Secretary of State Condoleezza Rice said last month the United States would impose more of its own sanctions against Iran, along with European allies, as long as Tehran refused to give up sensitive nuclear work.

"We have said we will continue looking to see how best to apply pressure to the Iranian regime and we will continue to do that," said State Department spokesman Gonzalo Gallegos on Friday.

Iran said on Friday talks on its controversial nuclear drive with top UN atomic watchdog official Olli Heinonen were "positive".

Heinonen, deputy head of the International Atomic Energy Agency (IAEA), wrapped up two days of meetings with Iranian nuclear officials who did not give further details on the nature of the talks in Tehran.

"Current developments as well as relations between Iran's atomic energy organisation and the IAEA were discussed in a positive atmosphere," said the deputy chief of Iran's atomic energy organisation, Mohammad Saeedi, according to the state-run IRNA news agency.

AP, Reuters and AFP contributed to this report