Previously Germany confirmed that Berlin won’t pull out of the Iranian nuclear deal after the US President Donald Trump had announced withdrawal from the agreement.
German Economy Minister Peter Altmaier stated this Friday, that he would continue to discuss the Iranian situation with the US, adding, however, that Berlin had no reasons to end its Hermes export guarantee scheme for Tehran.
“At the moment, there is no reason to change the valued Hermes scheme,” Altmaier told Deutschlandfunk radio. “We are just starting a conversation about what the economic implications are, and how we can avoid negative consequences for jobs in Germany.”
Altmeier also noted that the issue between the US and Iran is like a trade conflict, adding that Berlin must “avoid entering into a spiral of escalation.”
This statement echoes the position of Chancellor Angela Merkel, who claimed her support for the Iranian nuclear deal in the wake of the withdrawal of the US from the agreement, which was announced by Donald Trump last Tuesday. The US President called the deal “worst” and “unfair”, adding that he would re-impose the highest level of economic sanctions against Iran in response to Tehran’s development of its nuclear program.
Germes cover is an export credit guarantee by the German Federal Government, which enable exporters to cover themselves against economic risks and political risks, including bad debt losses and loss of goods due to politically motivated confiscations, wars and civil unrest. The cover widely used for exports to the countries, which are not members of the Organisation for Economic Co-operation and Development.