Maersk Suspends Iran Port Calls Due to Sanctions

WSJ

The decision comes after Maersk Line, which is operated by Danish industrial conglomerate AP Moller Maersk AS MAERSK-B.KO -2.07%, gradually scaled down operations in Iran, according to a Dow Jones Newswires report, because of international pressure and sanctions on Tehran’s nuclear program.

“Due to a combination of European Union sanctions as well as strengthened U.S. sanctions, it is no longer possible for Maersk to conduct business in the country,” spokesman Michael Storgaard was quoted as saying by Newswires. He emphasized the company’s business ties with Iran were very limited.

Storgaard said the company made biweekly port calls to Iran with third-party vessels until operations were suspended at the end of September for the foreseeable future, Newswires reported.

The decision comes as another injury to Iran’s economy, which is reeling from a currency crisis due in part to sanctions by the West that it intends to tighten. Much of Iran’s imports are transported by container ships, making the Maersk decision hurt the economy even further.

A BBC report said Maersk primarily transported food and other goods to the people of Iran, and it regretted no longer being able to do so.

“Maersk Line will maintain a dormant business entity in Iran and will look to resume business should the sanctions regime be eased,” an unnamed spokesperson was quoted as saying.