Due to most of its tankers storing crude, as well as foreign ship-owners showing reluctance to transport cargo, Iran is currently struggling to increase its oil exports, according to Reuters.
This follows recent news that Iran is seeking to spend US$2.5 billion to modernise its oil tanker fleet, which includes testing, inspection and certification.
Michele White, General Counsel with Intertanko, an association which represents the majority of the world's tanker fleet, said: “We have witnessed a reluctance by our members generally to return to Iranian trade given the prohibition on use of the US financial system essentially no US dollars.”
Iran’s most recent move to engage in more trading activities was at the Port of Hamburg, after a ship belonging to the Islamic Republic of Iran Shipping Lines berthed at the port, marking the beginning of trade between the East and West.
Iranian sanctions were lifted on Iran recently under a nuclear deal that would allow non US citizens and businesses to trade with Iranian government entities.
However, complaints were recently made by Iran, which believes that the US is not fulfilling its obligations as part of the deal.
John Kerry, Secretary of State for the US and Javad Zarif, Foreign Minister of Iran are to meet again on Friday May 22, 2016 to come to a solution after recently meeting for almost three hours to discuss the issue, according to reports.
PTI previously reported that the majority of US sanctions would remain in place to prevent US persons from trading with Iran.
The US initially imposed sanctions on Iranian trade after it was alleged that Iran was backing terrorism in the mid-90s.