An Iranian nuclear water reactor of Arak, south of capital Tehran. AFP
An Iranian nuclear water reactor of Arak, south of capital Tehran. AFP
An Iranian nuclear water reactor of Arak, south of capital Tehran. AFP
An Iranian nuclear water reactor of Arak, south of capital Tehran. AFP

Has Biden cooled on Iran nuclear talks return?


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The Biden administration has, quite naturally, prioritised resolving some of America’s greatest domestic challenges, particularly the Covid-19 pandemic and the bitter partisan divide that has led to deep social fissures across the country. In fact, President Joe Biden will be dedicating a significant portion of his first many days in office sorting out matters at home, leaving his foreign policy team to deal with the pressing issues beyond its borders.

Secretary of State nominee Antony Blinken and Secretary of Defence Lloyd Austin will have their work cut out, as they go about the difficult task of re-engaging with an international community less trusting of the US following four chaotic years under the preceding Trump administration. Moves have already been made to assuage concerns among fellow members of the Nato security alliance, as well as treaty allies in East Asia, regarding American commitment towards their security. There is promise of a five-year extension to the New START arms control treaty with Russia, and the US State Department is already reviewing its North Korea policy.

There is also good news with regard to the Middle East.

Curiously, the Biden administration seems to have cooled on the one talking point its key personnel harped on during the political transition over the past couple of months: the revival of the 2015 Iran nuclear deal, which Donald Trump withdrew the US from almost three years ago. Iran, in turn, went on to breach major parts of the deal. These breaches include resuming uranium enrichment at 20 per cent purity, increasing Tehran’s low-enriched uranium stockpile by 12 times the amount allowed under the accord and testing advanced centrifuges.

Mr Blinken and Mr Biden’s National Security Adviser, Jake Sullivan, had previously expressed their keenness to pursue a two-track strategy of reviving the so-called Joint Comprehensive Plan of Action – or JCPOA – and lifting sanctions against Tehran before negotiating with the regime over their ballistic missiles programme.

The Biden team has since sought to tamp down expectations. There are signs that they will, instead, build on the Trump administration’s pressure tactics against Iran with a view to curb its destabilising activities in various parts of the Middle East, as Mr Blinken himself recently put it. He said returning to JCPOA is predicated upon Tehran’s compliance, while confirming that these conditions are not being satisfied at present.

“We are a long way from there,” Mr Blinken told the US Senate Foreign Relations Committee last week. “We would then have to evaluate whether they were actually making good if they say they are coming back into compliance with their obligations, and then we would take it from there.”

Antony Blinken has slowed down talk of rushing into talks with Iran. Reuters
Antony Blinken has slowed down talk of rushing into talks with Iran. Reuters

Avril Haines, Director of National Intelligence, also said that a decision to return to the pact is not imminent. “[Mr Biden] has indicated that if Iran were to come back into compliance, he would direct that we do so as well. And I think, frankly, that we are a long ways from that,” she said.

Perhaps the new administration has other foreign policy priorities, particularly collective security in East Asia amid what it perceives to be the rising threat of China. Perhaps the Biden team listened to concerns expressed by voices in the Middle East about the dangers of returning to talks with an Iranian regime that has made ideological expansion across the region its ultimate goal. Indeed, it should be clear by now the damage being done by the Iranian regime, which includes the creation and sustenance of armed proxies in countries with weak governments, such as Iraq, Syria and Lebanon. Many politicians in these countries are little more than puppets being controlled by Tehran.

Perhaps the escalating tensions between the Trump administration and the regime in recent months have led to the pause, at least for the time being.

Leaders of the GCC countries in the Saudi city of Al Ula this month. AFP
Leaders of the GCC countries in the Saudi city of Al Ula this month. AFP

Yet, despite the shift in mood in Washington, the Gulf countries will be watchful and the Biden administration should look to the Gulf Co-operation Council to play a vital role in keeping the peace.

It is clear that the GCC is determined to put its concerns and interests on the table if the Biden team were to begin renegotiation of the nuclear deal in the future. Amid the uncertainty, the six-nation grouping has sought to remind the administration of its unique understanding of Iran’s behaviour. As neighbours, the Gulf countries are all too aware of the consequences of Tehran’s actions in the Strait of Hormuz. “Whatever you [Washington] know about the region, we know more,” Nayef Al Hajraf, the GCC Secretary General, told me recently. “We are trusted partners and we have a strategic relationship.”

Indeed, the Biden administration must understand the GCC’s role as a responsible stakeholder in a region that is otherwise riddled with a range of issues. Even as other countries struggle to deal with the economic fall-out of the pandemic, the Gulf nations are already focused on diversifying their economies and empowering their youth. And for what it's worth, they have always been advocates for constructive dialogue with all their neighbours – including Iran.

As the former US Special Representative for Syria, James Jeffrey, said, the Biden administration will do well to “listen” to the region. “They will look to the people of the region to explain three things: one, why the region remains very important to Americans; two, what the region is doing to deal with these problems itself and can be counted on by the United States to do; and thirdly, what the region needs the United States to do.”

One of the truisms about an overstretched America, as Mr Jeffrey pointed out, is that there is only so much this administration can do – as there was only so much the previous administration could do. It must therefore rely on its partners on the ground. The dangers of not doing so are real.

“The last thing the new administrations wants," according to Mr Al Hajraf, "is to have a destabilised region that will affect the supply of the energy, which will further destabilise economic reform in the region and create tensions – fuelled and fed by Iranian behaviour."

Raghida Dergham is the founder and executive chairwoman of the Beirut Institute and a columnist for The National

In numbers: China in Dubai

The number of Chinese people living in Dubai: An estimated 200,000

Number of Chinese people in International City: Almost 50,000

Daily visitors to Dragon Mart in 2018/19: 120,000

Daily visitors to Dragon Mart in 2010: 20,000

Percentage increase in visitors in eight years: 500 per cent

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The specs

Engine: four-litre V6 and 3.5-litre V6 twin-turbo

Transmission: six-speed and 10-speed

Power: 271 and 409 horsepower

Torque: 385 and 650Nm

Price: from Dh229,900 to Dh355,000

Who was Alfred Nobel?

The Nobel Prize was created by wealthy Swedish chemist and entrepreneur Alfred Nobel.

  • In his will he dictated that the bulk of his estate should be used to fund "prizes to those who, during the preceding year, have conferred the greatest benefit to humankind".
  • Nobel is best known as the inventor of dynamite, but also wrote poetry and drama and could speak Russian, French, English and German by the age of 17. The five original prize categories reflect the interests closest to his heart.
  • Nobel died in 1896 but it took until 1901, following a legal battle over his will, before the first prizes were awarded.
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COMPANY PROFILE

Company name: Letstango.com

Started: June 2013

Founder: Alex Tchablakian

Based: Dubai

Industry: e-commerce

Initial investment: Dh10 million

Investors: Self-funded

Total customers: 300,000 unique customers every month

The distance learning plan

Spring break will be from March 8 - 19

Public school pupils will undergo distance learning from March 22 - April 2. School hours will be 8.30am to 1.30pm

Staff will be trained in distance learning programmes from March 15 - 19

Teaching hours will be 8am to 2pm during distance learning

Pupils will return to school for normal lessons from April 5

What are the influencer academy modules?
  1. Mastery of audio-visual content creation. 
  2. Cinematography, shots and movement.
  3. All aspects of post-production.
  4. Emerging technologies and VFX with AI and CGI.
  5. Understanding of marketing objectives and audience engagement.
  6. Tourism industry knowledge.
  7. Professional ethics.
The bio

Job: Coder, website designer and chief executive, Trinet solutions

School: Year 8 pupil at Elite English School in Abu Hail, Deira

Role Models: Mark Zuckerberg and Elon Musk

Dream City: San Francisco

Hometown: Dubai

City of birth: Thiruvilla, Kerala

Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

Essentials

The flights

Emirates and Etihad fly direct from the UAE to Geneva from Dh2,845 return, including taxes. The flight takes 6 hours. 

The package

Clinique La Prairie offers a variety of programmes. A six-night Master Detox costs from 14,900 Swiss francs (Dh57,655), including all food, accommodation and a set schedule of medical consultations and spa treatments.

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If you go...

Fly from Dubai or Abu Dhabi to Chiang Mai in Thailand, via Bangkok, before taking a five-hour bus ride across the Laos border to Huay Xai. The land border crossing at Huay Xai is a well-trodden route, meaning entry is swift, though travellers should be aware of visa requirements for both countries.

Flights from Dubai start at Dh4,000 return with Emirates, while Etihad flights from Abu Dhabi start at Dh2,000. Local buses can be booked in Chiang Mai from around Dh50

The specs: 2019 Aston Martin DBS Superleggera

Price, base: Dh1.2 million

Engine: 5.2-litre twin-turbo V12

Transmission: Eight-speed automatic

Power: 725hp @ 6,500pm

Torque: 900Nm @ 1,800rpm

Fuel economy, combined:  12.3L / 100km (estimate)

THE BIO

Born: Mukalla, Yemen, 1979

Education: UAE University, Al Ain

Family: Married with two daughters: Asayel, 7, and Sara, 6

Favourite piece of music: Horse Dance by Naseer Shamma

Favourite book: Science and geology

Favourite place to travel to: Washington DC

Best advice you’ve ever been given: If you have a dream, you have to believe it, then you will see it.

The Bio

Name: Lynn Davison

Profession: History teacher at Al Yasmina Academy, Abu Dhabi

Children: She has one son, Casey, 28

Hometown: Pontefract, West Yorkshire in the UK

Favourite book: The Alchemist by Paulo Coelho

Favourite Author: CJ Sansom

Favourite holiday destination: Bali

Favourite food: A Sunday roast

The specs
Engine: 77.4kW all-wheel-drive dual motor
Power: 320bhp
Torque: 605Nm
Transmission: Single-speed automatic
Price: From Dh219,000
On sale: Now
The specs

Engine: 8.0-litre, quad-turbo 16-cylinder

Transmission: 7-speed auto

0-100kmh 2.3 seconds

0-200kmh 5.5 seconds

0-300kmh 11.6 seconds

Power: 1500hp

Torque: 1600Nm

Price: Dh13,400,000

On sale: now