News ID: 3233
Date: Monday 24 February 2025 - 19:30

In order to pressure Iran, did Trump reach out to Baghdad?

In order to pressure Iran, did Trump reach out to Baghdad?
The possibility of the Kurdistan Region resuming oil exports through the Kirkuk-Ceyhan pipeline has fueled speculation about the Trump administration's pressure on Baghdad to compensate for the decline in Iranian oil exports, which seems unlikely given the OPEC+ quota.

According to Energy Press, Reuters recently reported, citing some sources, that the administration of US President Donald Trump has asked Iraq to resume oil exports from the Kurdistan Region quickly, otherwise it will be sanctioned along with Iran. Reuters continued its report, citing the aforementioned sources, adding: Washington believes that the start of oil exports from the Kurdistan Region and its entry into the market could have an impact on reducing crude oil prices and replace the reduction in Iranian oil exports.
Of course, the Iraqi government has denied this. Farhad Alaeddin, the foreign affairs advisor to the Iraqi Prime Minister, denied reports that the country may face US sanctions if it does not resume oil exports from the Kurdistan Region. He said that media reports claiming that Iraq will face sanctions if oil exports from the Kurdistan Region of Iraq are not resumed are untrue.
However, recently, Iraqi Prime Minister Muhammad Shia Al-Sudani surprised everyone by announcing that the Kirkuk pipeline would be reopened for oil exports. The resumption of oil supplies through Iraq’s largest crude oil export pipeline appears to be fraught with operational or financial challenges.
The reason for the suspension of the Kirkuk-Ceyhan pipeline
US President Donald Trump is pursuing a policy of maximum pressure on Iran since his official return to the White House a month ago, seeking to remove Iranian oil supplies from the market and isolate Tehran’s economy and oil revenues from the global market. It seems that he has taken a swipe at Iraqi oil exports in this context. Of course, experts believe that the Iraqi Prime Minister’s announcement of the resumption of exports through the pipeline was hasty. Although he made these statements to prevent US threats to impose sanctions on Baghdad, he did not specify how to deal with the technical problems of the line.
The roots of the Kirkuk pipeline suspension crisis go back to the demand of international institutions for Turkey to pay Baghdad $1.5 billion in compensation, because the country illegally exported oil between 2014 and 2018. Before the pipeline was shut down in March 2023, more than 300,000 barrels per day of Iraqi Kurdistan oil was being pumped into global markets through Turkey. In the complaint, Baghdad accused Turkey of violating the Kirkuk-Ceyhan pipeline agreement signed between them in 1973. Ankara agreed to import Iraqi Kurdistan oil without the supervision of the Ministry of Oil, which prompted the Iraqi government to protest. Following the international ruling, Turkey stopped receiving 450,000 barrels per day of Iraqi Kurdistan oil. Ankara, through the state-owned Botas Oil Pipeline Company, informed the Baghdad government that it had stopped pumping the region’s oil to the Turkish port of Ceyhan, which had been underway since January 2014.

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