site.btaEU Leaders Adamant that Bloc Will Stick to Nuclear Deal with Iran, Demand Unlimited Exemption for US Tariff Measures

Sofia, May 17 (BTA) - European Commission President Jean-Claude Juncker told a news conference here on Thursday that as long as Iran honours its commitments, the EU will also remain committed to the nuclear deal with that country which the Union also helped reach. "As the European Commission we have the duty to protect European companies and especially small and medium-sized enterprises," he added.

Juncker stressed that he was encouraged by last night's debate because the heads of State and government backed the Commission's proposals submitted to the European Council. "We now need to act and this is why we are launching the process of to activate the 'blocking statute' from 1996," the President said. He was referring to a statute protecting against the effects of the extra-territorial application of legislation adopted by a third country. The activation would ban European companies from complying with US sanctions against Iran and, under it, the EU would not recognize any court rulings that enforce American penalties.

"We also decided to allow the European Investment Bank to facilitate European companies' investment in Iran. The Commission itself will maintain its cooperation will Iran, and the Energy Commissioner will visit that country in the near future," Juncker said.

European Council President Donald Tusk said at the same news conference: "As to the Iranian deal, we agreed unanimously that the EU will stay in the agreement as long as Iran remains fully committed to it. The European Commission was green a green light to be ready to act whenever European interests are affected."

Concerning the Iranian nuclear deal, German Chancellor Angela Merkel said that the EU Member States continue to support it despite the decision of the US to withdraw. She said that the EU countries will continue the negotiations with the US and the other partners to the agreement so that Iran stays in it.

EU-US Trade Issues

"On the trade situation between the US and the European Union, we want an unlimited exemption from the proposed tariff measures," Juncker said. "If Europe obtains an unlimited exemption from the proposed tariff measures, we are ready to engage in talks with our transatlantic partner. We want to deepen our energy cooperation, notably on liquefied natural gas, we want to focus on voluntary cooperation between regulators on both sides. We are ready together with the US, if they so want, to discuss a reform of the World Trade Organization. Under the condition that these exemptions will be permanent, we are ready to discuss how to best improve reciprocal market access notably for industrial products including cars, as well as the liberalization of government procurement. We will not negotiate with the sword of Damocles hanging over our heads," Juncker said.

"The problem is if your closest friend is unpredictable," Tusk said, replying to a reporter's question about EU-US relations. "We have no illusions and no high expectations when it comes to Iran, but we still have the highest expectations when it comes to Washington," the European Council President added. "Our opinion is to continue this possible closest cooperation also with this [US] administration but, for this, we need less capricious assertiveness and a more predictable and consistent approach," Tusk pointed out.