Today the White House ends the initial 90-day period for the JCPOA withdrawal, and reveals the structure of the reinstatement of U.S. sanctions against Iran.
White House: REIMPOSING TOUGH SANCTIONS: President Donald J. Trump’s Administration is taking action to reimpose sanctions lifted under the Joint Comprehensive Plan of Action (JCPOA).

♦President Trump made clear when he ended United States participation in the JCPOA that his Administration would be reimposing tough sanctions on the Iranian regime.
♦In connection with the withdrawal from the JCPOA, the Administration laid out two wind-down periods of 90 days and 180 days for business activities in or involving Iran.
♦Consistent with President Trump’s decision, the Administration will be reimposing specified sanctions after August 6, the final day of the 90-day wind-down period.
On August 7, sanctions will be reimposed on:
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If there was a five-click dial available as a severity meter between the U.S. and China, something happened internally in Beijing, over the last 72 hours, because that dial just triggered movement from 3 to 4… Keep watching everything in the world of geopolitics with a mental 360° radar sweep looking for Chinese influence/interests.

Nuance and subtlety is everything in China. Culturally harsh tones are seen as a sign of weakness and considered intensely impolite in public displays between officials; especially within approved and released statements by officials representing the government.
Therefore, when we see China publicly use strong language – it indicates a level of internal disposition beyond the defined western angst. Big Panda becomes Red Dragon; there is no mid-status or evolutionary phase.

SHANGHAI (Reuters) – China’s state media on Monday lashed out at the policies of U.S. President Donald Trump in an usually direct attack, accusing him of “starring in his own carefully orchestrated street fighter-style deceitful drama”.
Trump’s wish for others to play along with his drama is “wishful thinking,” the ruling Communist Party’s People’s Daily newspaper said in an editorial.

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When President Trump withdrew the U.S. from the intensely short-sighted JCPOA (Iran deal), there was a period of preparation for our allies and partners prior to the re-institution of the first round of U.S. sanctions against Iran.   The transition period ends tomorrow as the sanctions begin August 6th, 2018.
Europe and NATO allies are under pressure to discontinue any trade action/terms with Iran as the U.S. sanctions will also apply toward any nation that engages in economic transactions with the Iranian regime.

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Against the backdrop of U.S. withdrawing from the ill-fated Iran nuclear deal (JCPOA); and against the backdrop of looming U.S. sanctions therein; there has been an ongoing geopolitical simmering/positioning between allies and adversaries surrounding the current and future disposition of Iran.
Recently China, likely responding to economic trade leverage from the U.S., made a deal with Saudi Arabia for petroleum purchases weakening their alliance with Iran.  At the same time Turkey, a tenuous NATO ally, began positioning in advance of U.S. sanctions and removing Iran oil purchases.  Collectively, and with President Trump putting pressure on Russian President Vladimir Putin via Syria and Iranian influence, this has led to Iran feeling an economic squeeze similar to the previous Trump Doctrine leverage as witnessed in N-Korea.
Iranian President Hassan Rouhani is feeling the heat.  On Sunday he said “war with Iran is the mother of all wars.” That led to the tweet reply from President Donald Trump:

This follows on the immediate heels of a speech given by Secretary of State Mike Pompeo yesterday at the Ronald Reagan Presidential Foundation and Library in Simi Valley, CA.
There is a clearly coordinated and unified message:
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It is more than likely President Trump and Commerce Secretary Wilbur Ross knew this was in the making several months ago.  In hindsight it now appears Germany presented a false proposal to U.S. Ambassador Richard Grenell intentionally to poke him in the eye.
Germany has sealed the fate of their auto-industry with a multi-company agreement to manufacture vehicles in China and share all their intellectual processes therein.

FRANKFURT (Reuters) – German companies signed a series of agreements with Chinese partners at a meeting of Chancellor Angela Merkel and Prime Minister Li Keqiang in Berlin on Monday, according to a document seen by Reuters. Following are details of them:
♦BASF signed a Memorandum of Understanding (MoU) with China’s Guangdong Province to look at building a highly-integrated chemical production site there, BASF said.

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White House national security adviser John Bolton appears on Face The Nation with Margaret Brennan to discuss North Korea and Russia.  Within the interview Bolton says the U.S. could dismantle North Korea’s nuclear and ballistic missile programs within a year if the North Koreans committed to scrapping their arsenal in accordance with the agreement reached in Singapore last month.

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Within the German economy the auto-sector holds the largest political influence.  Because of this dynamic all German politicians kneel at the knee of the big industrial auto manufacturers.  It has been said that losing support from within the auto-sector is much worse on a German politician than losing support from party or parliament.
Because of this dynamic; and specifically because the German auto-sector is dependent on the United States as their biggest customer, President Trump holds leverage over German Chancellor Angela Merkel.  This makes Fraulein Merkel unhappy.

President Trump wants three EU issues resolved: 1) Germany to contribute the minimum 2% of GDP for their own NATO defense.  2) Germany/EU to support enhanced sanctions against Iran; and  3) President Trump wants all German/EU protectionist trade barriers and tariffs lowered or eliminated – and new trade deals negotiated.
To gain momentum on these initiatives, President Trump is using the economics of trade as leverage.  Trump has suggested a 20% tariff on all EU automobiles shipped into the U.S. [The same standard now likely proposed toward Canada]  The German auto-sector, and as a consequence the German economy, simply cannot survive without low cost access to the U.S. market, their biggest customer.
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There is an article from Bloomberg which finally concedes the obvious economic and trade dynamic within a U.S. -vs- China confrontation.  The media paradigm shift is based on new statements from Chinese Ministers admitting they cannot win a trade confrontation with U.S. President Trump.
The summary reason is simple, we have discussed it frequently:
China is a production-based economic model, they do not have the ability, or wealth, to consume their own durable goods production; they rely on exports.
The U.S. is a more balanced economy; we consume 80% of our own production.  We are self-sustaining, China is not.
Without a market to sell their products, the Chinese economy cannot survive.
Conversely, China has focused so intensely on durable-goods manufacturing, their consumable goods market (food) is dependent; they cannot feed themselves.  The U.S. can survive without exporting food, China cannot survive without importing food.  The U.S. economy can survive without importing durable goods; the Chinese economy cannot survive without exporting durable goods.  This is the unavoidable trade reality.  As a consequence President Trump has all the factual leverage.
In stunning, and carefully worded economic writings, Chinese academics and economic ministers are now talking about the inherent weakness of the Red Dragon policies:
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Immediately before lunch with members from congress, President Trump delivers remarks in response to the Supreme Court removing a challenge to the administration travel restrictions and vetting process. In a 5-4 decision the Supreme Court upheld the president’s authority to restrict travel from countries who are not compliant with U.S. vetting requirements.
UPDATED Video ADDED

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Earlier today President Trump and First Lady Melania welcomed King Abdullah II bin Al-Hussein and Queen Rania Al Abdullah of Jordan back to the White House.  This is the second official visit of King Abdullah and Queen Raina.
In the background it is likely much of the executive conversation surrounds the current issues with Iran, the state of Syria, Israel and the Palestinian Authority as it pertains to regional stability overall and Jordan specifically.   In the quiet distance, and entirely overlooked by Western -mostly U.S. media, President Trump has been positioning the EU via economic leverage against Iranian influence.

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[Transcript] PRESIDENT TRUMP: Thank you very much. It’s a great honor to have the King and Queen of Jordan with us. They’re friends. We’ve known each other now for quite a while. Long before this.
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