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Kerry: Boeing Deal Important For 'Furthering Transformation' in Iran

June 29, 2016

Secretary of State John Kerry said Tuesday he hoped the $25 billion Boeing aircraft sale to Iran would further the country’s "transformation" into a responsible state actor, in spite of being the world’s primary state sponsor of terrorism.

Writer Jeffrey Goldberg asked Kerry how the U.S. could reconcile considering Iran the world’s largest state sponsor of terrorism with approving the Boeing sale, given that Iran has used civilian aircraft in the past to assist actors like terror group Hezbollah and the Assad regime in Syria. The Treasury Department in 2011 sanctioned Iran Air, the Iranian airline that will receive the Boeing aircraft, for shipping weapons and other military-related equipment on behalf of Iran’s Islamic Revolutionary Guard Corps. Kerry said the U.S. would continue to call out Tehran on its sponsorship of terrorism, but promoting business was a means of fostering internal change.

"We’re going to absolutely stay focused on that [terrorism], but at the same time, we’re trying to move the process thoughtfully, and doing business is one of the best ways to create interests ... a purpose if you will, in furthering transformation," Kerry said.

Kerry added that the complexity of the Boeing deal and the U.S. relationship with Iran made for a "difficult needle to thread."

"So the distinction between the planes and the other things is, I think, trying to draw a line that threads a needle that’s a very difficult needle to thread, but very important in order to have a transformation that doesn’t send you down the road to a needless confrontation or to misunderstanding or to lost opportunity," he said.

Here is the full exchange:

JEFFREY GOLDBERG: I want to stay on something that Walter was talking to you about, the Iran deal and the consequence of the Iran deal. Two interesting developments the past couple of weeks. The first is that your department has re-listed Iran once again as the world's primary state sponsor of terrorism. The second is that your administration is considering approving the sale of approximately $25 billion worth of Boeing aircraft to Iran. Now, two observations out of that. The first is that we know that in the past Iran has used civilian aircraft to resupply Hezbollah, to resupply the Assad regime. We also know that within the administration, you are one of the most fervent advocates for more action against the Assad regime, including military action against the Assad regime.

So, I'm just trying to understand this, and I'm not understanding the thought process that goes into the possible approval of the Boeing deal, given what you think about Iran's role in terrorism and what you think about Iran's role in Syria.

JOHN KERRY: Well, it's a very good and very fair question, and I don't think there's a fault line in our approach or in my thinking about it or the president's thinking about it. About 60 percent of the people in Iran are under the age of 30. People who have been to Tehran tell me of a Tehran in which young people are sitting in cafes talking about the future, educated in other countries, looking for a very different place. The revolutionary streak part of Iran, which is what brought us the terror, and the principle reasons for the designation go back to Khobar Towers and Hezbollah, and it continues with Hezbollah. Hezbollah is a terrorist-designated organization by the United States of America, which is building up a weapons arsenal, a missile arsenal that's aimed at Tel Aviv and other parts of Israel. It's a risk and a danger, and it's not their country. It's not their people. These are a terrorist organization in another country that's being supported by Iran.

So you're absolutely—we're going to call them on it. We're going to absolutely stay focused on that, but at the same time, we're trying to move the process thoughtfully, and doing business is one of the best ways to create interests and [inaudible], a purpose if you will, in furthering transformation. So, I think, and by the way, tell me what makes sense. In the United States of America, negotiating a deal with Iran to allow people to lift the sanctions, which we did, but other countries like France are rushing in to sell AirBus to the cost of Washington State and Boeing and our workers in the United States. Doesn't make a lot of sense to me, so I think we ought to sell what other people can sell, but not break completely with our primary sanctions, which continue to pressure on to move them to recognize that there's still unfinished business and there's certain things we will not tolerate.

Now, it's complex, folks. Not every—issues in foreign policy don't always—if they lend themselves to, you know, right and wrong, black and white, simple line, you draw it, you're often wrong, and I fought in a war that was drawn that way, and we know how wrong that was. So I'm for looking at the subtleties and understanding all of the rationale for what is happening in a country. We were not good for a long period of time looking at other countries through their lens, not just ours, and if all we do is interpret problems in other countries as Americans in our lens through our felt need, we are neglecting the felt need of all the other people who will also make up policy decision that an impact on us. So the distinction between the planes and the other things is, I think, trying to draw a line that threads a needle that's a very difficult needle to thread, but very important in order to have a transformation that doesn't send you down the road to a needless confrontation or to misunderstanding or to lost opportunity.