Defense Alliance: Turkey, Saudi Arabia, Pakistan &... Iran?! | EYES ON GEOPOLITICS

In this episode of Eyes on Geopolitics, Dimitri, Andy Milburn, Mick Mulroy, and Jonathan discuss a range of geopolitical issues, focusing on the proposed defense alliance between Turkey, Saudi Arabia, and Pakistan, and the surprising possibility of Iran's involvement. They also delve into the effectiveness of sanctions against Iran, the role of China in the global energy market, and the broader implications for international security.

Sanctions on Iran: Effectiveness and China's Role

The discussion begins with the topic of sanctions against Iran. Jonathan highlights the challenges of enforcing sanctions, particularly when countries like China are involved. He explains that while the US imposes sanctions on specific entities, Iran often finds ways to circumvent them, such as renaming ships or altering cargo manifests. This makes it difficult to track and enforce sanctions effectively. Jonathan emphasizes that sanctions alone are not a panacea and require a broader strategy that includes diplomatic and economic instruments.

Andy Milburn adds that the current sanctions on Iran are indeed having a significant economic impact, with inflation rates soaring. He cites figures of general inflation around 66% and food inflation around 120-130%. This economic pressure is causing widespread discontent among the Iranian population, who are bearing the brunt of these policies. However, he acknowledges that the Iranian regime has largely insulated itself from these economic hardships, with its wealth held in offshore accounts and real estate.

Jonathan further elaborates on China's role, noting that while China is a major importer of Iranian oil, it's not entirely dependent on it. China has been actively diversifying its energy sources, including converting coal to crude oil and investing in solar energy. This reduces China's vulnerability to US sanctions and gives it leverage in its dealings with Iran. He also points out that China has issued a formal prohibition against US sanctions on Chinese soil, which is an unprecedented move, indicating China's growing assertiveness in challenging US economic policies.