Abu Dhabi: The visiting US undersecretary of commerce for international trade Stefan M Selig said there is a possibility of US companies entering Iran if sanctions are lifted, but said a lot of work needed to be done before the two countries reach a final agreement.
“Sanctions are not going to be lifted until we actually have an agreement with Iran in June. There is still a lot of work to be done before the two governments reach an agreement. “
He said the security implications are more important than the potential commercial opportunities.
“It is not at all a focus of the conversation the secretary of state and the secretary of energy are leading at the moment.”
When asked whether he sees any chance of the US companies entering Iran if sanctions are eased, he said it’s a possibility.
“We have not had commercial ties between the two countries for a long time and so a lot of things have to happen for our relationship to develop in a way that would be significant for US trade.”
Iran and a group of six world powers, including the US, have reached a framework agreement in Switzerland earlier this month to pave the way for possible lifting of sanctions against the Islamic republic’s economy.
The countries have set the deadline of June 30 to reach a final deal to solve the matter.
A lot of international companies are knocking the doors of Iran for investment especially in the energy sector, Iranian officials recently said.
The country had been put under economic sanctions over its controversial nuclear programme.
About Cuba, Selig said there is still a lot of work to be done to normalise relations between the two countries.
“We did not have a relationship with Cuba for over fifty years and so normalising that relationship is going to be slow to develop and the commercial implications in the near term are not going to be particularly significant.”
“Cuba is a poor country. They have nothing like the infrastructure that the UAE is blessed with. They have lot of work to do before it is going to represent significant commercial opportunity for the United States.”
The US government still has a trade embargo against the country, he said.
“There will be opportunities if embargo is lifted, but given the state of Cuban economy and infrastructure, it is going to be slow to develop.”
The US government is trying to improve relations with Cuba and US President Barack Obama has recently removed Cuba from the US list of state sponsors of terrorism.
