Asia/Pacific News
Singapore Welcomes Iran Waiver, Issues Sanctions Reminder
The Maritime and Port Authority of Singapore (MPA) today issued a circular reminding the shipping community in Singapore that "unilateral sanctions have been imposed by foreign jurisdictions" that may impact companies operating in the shipping, port and marine sectors of Singapore.
It advised that, while Singapore does not enforce unilateral sanctions imposed by foreign jurisdictions, companies may find themselves affected by a foreign jurisdiction's enforcement of their sanctions.
The MPA said that any companies that have trade dealings involving any countries which have been subject to any unilateral sanctions should "make their own assessments and decisions in the light of their own commercial interests and consult their legal advisers, insurers and P&I Clubs accordingly."
A U.S. sanction against Iran which came into effect yesterday means financial institutions in a country that have not been granted a waiver will be subject to sanctions if they knowingly settle trades with the Central Bank of Iran for Iranian oil or petroleum products.
Singapore was granted such a waiver yesterday, and today Singapore's Ministry of Foreign Affairs issued a statement saying it welcomed the decision.
"Notwithstanding this exception, Singapore companies and FIs [Financial Institutions] know these unilateral sanctions still exist, and should continue to consider the impact of all such sanctions on their commercial decisions," it said.
European sanctions coming into effect on July 1, 2012 mean ship owners found carrying product from Iran, either as fuel or cargoes, will lose their P&I Cover.
The MPA said an indicative list of unilateral sanctions or embargoes may be found at the Singapore Customs' website.
