US Revokes Syria Sanctions: Betting on New Government's Good Vibes
Published Date: 7/3/2025
Presidential Document
Summary
The U.S. is officially lifting many sanctions on Syria because the new Syrian government is making positive changes. This means businesses and people can trade and work with Syria more easily, but restrictions still apply to terrorists and bad actors. These changes start right away and aim to support peace and stability in the region without risking U.S. security.
Analyzed Economic Effects
7 provisions identified: 3 benefits, 3 costs, 1 mixed.
Major Syria Sanctions Revoked
Effective July 1, 2025, the President terminates the national emergency under Executive Order 13338 and revokes several prior Syria-related executive orders, which allows the removal of many Syria sanctions and permits agencies to relax export controls and other restrictions so businesses and people can more easily trade and work with Syria. The order also says restrictions remain in place for ISIS and other terrorist organizations, human rights abusers, chemical weapons proliferators, and other persons who threaten U.S. security.
Targeted Blocking Expanded Against Perpetrators
The order expands Executive Order 13894 to block property and interests in property of persons the Secretary of the Treasury (in consultation with the Secretary of State) determines meet listed criteria, including responsibility for serious human rights abuses, being former Bashar al-Assad regime officials, materially contributing to illicit captagon production/proliferation, involvement in missing U.S. nationals during the former regime, materially assisting the former regime, ownership/control relationships, or being adult family members of designated persons.
Caesar Act Sanctions May Be Suspended
The Secretary of State will examine whether the criteria in section 7431(a) of the Caesar Act have been met and may suspend, in whole or in part, the imposition of Caesar Act sanctions. If the Secretary of State decides to suspend such sanctions, the Secretary (with the Secretary of the Treasury) must brief the appropriate congressional committees within 30 days of that determination, and may reimpose sanctions if the criteria are no longer met.
Chemical-Weapons Sanctions Waived (Timed)
The President certifies a fundamental change in Syrian leadership and policies and waives specified CBW Act sanctions (including restrictions on foreign assistance, U.S. Government credit/credit guarantees, export controls on national security-sensitive goods and other goods/technology, and a restriction on U.S. banks making loans to the Government of Syria). That waiver becomes effective 20 days after the Secretary of State transmits the waiver determination and report to the appropriate congressional committees.
Past Sanctions, Penalties Remain Enforceable
Any action taken or pending as of July 1, 2025, any action based on acts committed before July 1, 2025, and any rights, duties, or penalties that matured or were incurred before July 1, 2025, are not affected by the termination of the national emergency. That means earlier penalties or ongoing proceedings based on pre-July 1 conduct stay in place.
Limited Waiver of Syria Accountability Act
The President waives parts of the Syria Accountability Act: specifically, he waives subsection (a)(1) with respect to items on the Commerce Control List (supp. No. 1 to 15 C.F.R. part 774) only, and subsection (a)(2)(A) of that Act. The Secretary of State must submit the report required by that Act to the appropriate congressional committees.
Specific Terrorist Designations Directed
The Secretary of State, in consultation with the Secretary of the Treasury and the Attorney General, is directed to take all appropriate action to designate al-Nusrah Front (Hay'at Tahrir al-Sham) as a Foreign Terrorist Organization and as a Specially Designated Global Terrorist, and to designate Abu Muhammad al-Jawlani (commonly known as Ahmed al-Sharaa) as a Specially Designated Global Terrorist.
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