TEHRAN, Iran — As new European Union sanctions targeting Iran’s vital oil industry took effect Sunday, Iran acknowledged the measures aimed at reining in its disputed nuclear program were taking a toll.
The ban by the 27-member EU on the purchase of Iranian oil dealt the Islamic Republic its second economic setback in days, after fresh U.S. sanctions that prohibit the world’s banks from completing oil transactions with Iranian banks.
Combined, the measures ratchet up the pressure on an Iranian economy already squeezed by previous rounds of sanctions.
“Today, we are facing the heaviest of sanctions, and we ask people to help officials in this battle,” Vice President Mohammad Reza Rahimi was quoted as saying on state television’s website.
He said the “dastardly sanctions” might cause “occasional confusion” in the domestic market.
Iran reacted furiously when the U.S. and EU sanctions were announced, threatening to block the strategic Strait of Hormuz, a vital waterway used to ship about one-fifth of the world’s oil. On Sunday, Iranian officials appeared to be backing away from that threat.
Rahimi also said Iran has stocked up on some imported goods to reduce the embargo’s impact, without saying what specifically.
The EU, which accounted for about 18 percent of Iran’s oil exports, said last week that all contracts for importing Iranian oil will have to be terminated from Sunday. Also, European companies will no longer be involved in insuring Iranian oil.
In Washington, White House spokesman Jay Carney welcomed the EU oil embargo. He said in a statement that the U.S. and EU “are committed to holding Iran accountable for failing to meet its international obligations,” showing “the seriousness with which the international community views the challenge of Iran’s nuclear ambitions.”
Iran is the second largest OPEC oil producer, producing about 4 million barrels of oil a day. The country’s recoverable oil reserves are estimated at more than 137 billion barrels, or 12 percent of the world’s overall reserves. The country relies on oil exports for about 80 percent of its public revenues.
The sanctions are the latest move in the West’s standoff with Iran over its disputed nuclear program, which the U.S. and its allies suspect is aimed at developing atomic weapons. Iran insists its program is designed solely for peaceful purposes.
