Brazil in diplomatic impasse with Iran over US sanctions

RIO DE JANEIRO – Brazil is entangled in a diplomatic spat with the Iranian government that could seriously damage a long-standing commercial relationship with Iran, which is the biggest buyer of Brazilian corn.

Iran’s ambassador said Wednesday that Tehran would reconsider imports from Brazil if it continues to refuse to refuel two Iranian vessels stranded there.

Brazilian oil giant Petrobras is refusing to supply fuel to the ships, which it says could lead to significant fines since they appear on a list of U.S. sanctions.

Brazilian President Jair Bolsonaro is actively seeking a rapprochement with President Donald Trump and has backed U.S. sanctions on Iran.

The Brazilian company seeking to export corn aboard the two Iranian ships contends the sanctions do not apply to corn as agricultural commodities are protected under a “humanitarian exception.”