Why are there sanctions on Iran and when could they be lifted?

Why are there sanctions on Iran and when could they be lifted? Submitted by Daniel Tester on Fri, 07/17/2026 - 11:03 For nearly 50 years the West has targeted Tehran, citing its nuclear ambitions, links with armed groups and human rights abuses Two Iranian men exchange rials against US dollars at an exchange shop in Tehran in August 2018 (AFP) On US President Donald Trump has called for further sanctions against Tehran amid fresh US strikes on Iran. “Republicans should add Iran to the Russian Sanctions Bill,” Trump said on social media on Sunday, referencing a much-delayed bill that aims to target Moscow financially for its invasion of Ukraine, It’s but the latest move against Iran under one of the broadest sanction programmes imposed by the West worldwide.

The embargo regime introduced by the US, plus the more limited measures imposed by the UN, EU and others, have resulted in massive restrictions on Iran’s ability to trade oil and access the international financial system, devastating its economy for years. The sanctions have been imposed for several reasons according to Washington and others, including Iran’s alleged development of nuclear weapons to its poor human rights record and support for regional groups such as Hamas and Hezbollah. Today, they are a key bargaining chip on the table in negotiations to end the US war on Iran, used by the US to pressure Tehran to scale back its nuclear programme.

Here, Middle East Eye explains how the sanctions came about, and whether they could be lifted in the current negotiations. When did the US first impose sanctions imposed on Iran? Sanctions were first imposed on Iran by the US in November 1979 when Iranian students seized the US Embassy in Tehran after the Iranian Revolution, taking 52 Americans hostage.

The measures froze more than $8bn of Iranian assets held in US banks. This was extended in April 1980 to include a full ban on US imports of Iranian goods and services. In 1981 the sanctions were eased and most of the frozen assets returned under the Algiers Accords, which brought an end to the hostage crisis.

But in 1984 the US reimposed an arms embargo, designating the Islamic Republic a “state sponsor of terror” amid the Iran-Iraq war. Sanctions were initially imposed on Iran by the US amid the hostage crisis of 1979 (left) and the attack on the US Martine barracks in Beirut in 1983 (right, AFP) The move c…