Central Asia

Russia goes its own way on Iran
By Hooman Peimani

On August 2, Rajab Safarov, a political adviser to Russian President Vladimir Putin and director of Russia's Iranian Studies Center, announced plans for long-term economic cooperation between Russia and Iran. Though yet to be signed by both sides, the plan provided for a significant expansion of bilateral relations in many areas, including trade, arms sales and construction of nuclear power reactors. Coming as it did on the arrival date of an American delegation led by US Energy Secretary Spencer Abraham - a delegation tasked with persuading Russia to halt its nuclear cooperation with Iran - Safarov's announcement amounted to an emphatic avowal of Russia's determination to pursue its own national interests, even in the face of vociferous American opposition.

Some history is in order. In the contemporary era, Russian-Iranian economic relations date only back to the 1960s, when political and economic considerations combined to force both countries to establish close ties. The Soviet Union became a major contributor to the creation of Iran's heavy industry.

Then came the 1979 Iranian revolution, which proved an insurmountable ideological obstacle to the continuance of political and economic relations. Russia's occupation of Afghanistan and Iran's backing of anti-Soviet Afghan mujahideen groups worsened these relations, leading the Soviet Union to turn to Iraq, which was then at war with Iran. The Soviet Union became Iraq's main supplier of weapons. It was not until 1987 that the Soviet Union shifted to a more balanced policy and began the gradual process of improvement of Iranian-Soviet relations. The two countries' conclusion of a variety of economic agreements and a major military one put them on a friendly path in 1989, a year after the end of Iran-Iraq war.

Then came the breakup of the Soviet Union. In the post-Soviet era, economic ties have expanded significantly as political and economic realities have made Iran and Russia "natural" partners. Various economic sanctions or restrictions on Iran stemming from its isolation have limited its international trade partners. When it comes to satisfying Iran's needs in heavy and advanced industrial equipment and in sophisticated weapons, China and Russia have become the only available trade partners. Meanwhile, Russia, having lost its Soviet-bloc market and having failed to penetrate many others, is faced with a growing need for hard currency that makes Iran an attractive and indispensable economic partner. The two sides' similar viewpoint on many regional and international issues has created a suitable political ground for their growing economic relations.

Russia's bid to improve ties with the United States in the 1990s made it accept some restrictions on military and non-military nuclear exports to Iran. According to a 1995 agreement between then Russian president Boris Yeltsin and then US president Bill Clinton, Russia agreed to stop selling conventional weapons to Iran beyond those already under contract. Also, the United States has continued to pressure Russia to stop helping Iran with its nuclear power projects. Russia's recent improving ties with NATO and its accession to G8 membership - as well as its interest in joining the World Trade Organization (WTO) - are expected to create a strong stake for the Russians to meet the American request regarding its ties with Iran.

Against this background, Safarov's announcement of a plan for long-term Russian-Iranian economic cooperation may have come as a surprise to the Americans. Even if it was put forward only as a negotiating ploy, the plan announced an astonishing level of increase in trade and cooperation between Russia and Iran. As announced, the value of Russian-Iranian trade would increase to US$5 billion annually, an amount that wouldn't count Russia's continued sale of "non-offensive weapons" to Iran, which should itself amount to another $5 billion in business over the next three years. These weapons would include fighters, helicopters, submarines and air defense systems. As well, Russia will provide Iran with a security belt, including an air defense system, for the still-under-construction Busheher nuclear power reactor (constructed with Russian aid). Most important, Safarov announced Russia's readiness to sell six more nuclear reactors to Iran.

Elaborating on the cooperation plan, Safarov made clear that Russia's bid to expand ties with the West should not be viewed as readiness to follow American policy regardless of direction. Pointedly noting the West's largely unfulfilled promises to help Russia economically, he said Russia would seek her own interests even if they do not coincide with those of Western countries.

What are those interests vis-a-vis Iran? Among other factors, there are security imperatives and economic realities that make friendly ties and economic relations with Iran a necessity for Russia. The security imperatives include Russia's desire to prevent its encirclement by hostile states and to promote the stability of Central Asia, the Caucasus and Afghanistan, where both countries have large stakes. The economic realities include Russia's current inability to penetrate Western markets and the short- and long-term importance of large and growing Asian and Middle Eastern markets to its economy.

Putin recently identified relations with "the CIS and the East" as his country's priority despite its interest in extensive economic ties with the West. It seems that the Russians have realized that the latter will likely remain an unachievable objective in the foreseeable future. The post-Soviet history has disillusioned them about the West's interest in their economic recovery beyond the level necessary to ensure the stability of a nuclear superpower whose disintegration could put its nuclear arsenal in the "wrong" hands.

Although economic relations with the West are still a Russian objective, economic and political realities have made ties with dissatisfied regional powers such as China, Iran and India a more realistic and economically promising option for Russia, another dissatisfied regional power in search of restoring its lost global status.

Dr Hooman Peimani works as an independent consultant with international organizations in Geneva and does research in international relations

(©2002 Asia Times Online Co, Ltd. All rights reserved. Please contact content@atimes.com for information on our sales and syndication policies.)

 
Aug 8, 2002



 

Affiliates
Click here to be one)

 

 

 
   
         
No material from Asia Times Online may be republished in any form without written permission.
Copyright Asia Times Online, 6306 The Center, Queen’s Road, Central, Hong Kong.