The Balance of Power in the Middle East Just Changed
U.S.-Iranian Relations Emerge from a 30-Year Cold War
By Peter Van Buren

Don't sweat the details of the July nuclear accord between the United States and Iran. What matters is that the calculus of power in the Middle East just changed in significant ways.

Washington and Tehran announced their nuclear agreement on July 14th and yes, some of the details are still classified. Of course the Obama administration negotiated alongside China, Russia, Great Britain, France, and Germany, which means Iran and five other governments must approve the detailed 159-page “Joint Comprehensive Plan of Action.” The U.N., which also had to sign off on the deal, has already agreed to measures to end its sanctions against Iran.

If we’re not all yet insta-experts on centrifuges and enrichment ratios, the media will ensure that in the next two months -- during which Congress will debate and weigh approving the agreement -- we’ll become so. Verification strategies will be debated. The Israelis will claim that the apocalypse is nigh. And everyone who is anyone will swear to the skies that the devil is in the details. On Sunday talk shows, war hawks will fuss endlessly about the nightmare to come, as well as the weak-kneedness of the president and his “delusional” secretary of state, John Kerry. (No one of note, however, will ask why the president’s past decisions to launch or continue wars in the Middle East were not greeted with at least the same sort of skepticism as his present efforts to forestall one.)

There are two crucial points to take away from all the angry chatter to come: first, none of this matters and second, the devil is not in the details, though he may indeed appear on those Sunday talk shows.

Here’s what actually matters most: at a crucial moment and without a shot being fired, the United States and Iran have come to a turning point away from an era of outright hostility. The nuclear accord binds the two nations to years of engagement and leaves the door open to a far fuller relationship. Understanding how significant that is requires a look backward.

A Very Quick History of U.S.-Iranian Relations

The short version: relations have been terrible for almost four decades. A slightly longer version would, however, begin in 1953 when the CIA helped orchestrate a coup to oust Iran's democratically elected prime minister, Mohammad Mosaddegh. A secular leader -- just the sort of guy U.S. officials have dreamed about ever since the ayatollahs took power in 1979 -- Mosaddegh sought to nationalize Iran's oil industry. That, at the time, was a total no-no for Washington and London. Hence, he had to go.

In his place, Washington installed a puppet leader worthy of the sleaziest of banana republics, Shah Mohammad Reza Pahlavi. The U.S. assisted him in maintaining a particularly grim secret police force, the Savak, which he aimed directly at his political opponents, democratic and otherwise, including the ones who espoused a brand of Islamic fundamentalism unfamiliar to the West at the time. Washington lapped up the Shah's oil and, in return, sold him the modern weapons he fetishized. Through the 1970s, the U.S. also supplied nuclear fuel and reactor technology to Iran to build on President Dwight Eisenhower’s “Atoms for Peace” initiative, which had kicked off Iran's nuclear program in 1957.

In 1979, following months of demonstrations and seeing his fate in the streets of Tehran, the Shah fled. Religious leader Ayatollah Khomeini returned from exile to take control of the nation in what became known as the Islamic Revolution. Iranian “students” channeled decades of anti-American rage over the Shah and his secret police into a takeover of the American Embassy in Tehran. In an event that few Americans of a certain age are likely to forget, 52 American staffers were held hostage there for some 15 months.

In retaliation, the U.S. would, among other things, assist Iraqi autocrat Saddam Hussein (remember him?) in his war with Iran in the 1980s, and in 1988, an American guided missile cruiser in the Persian Gulf would shoot down a civilian Iran Air flight, killing all 290 people on board. (Washington claimed it was an accident.) In 2003, when Iran reached out to Washington, following American military successes in Afghanistan, President George W. Bush declared that country part of the “Axis of Evil.”

Iran later funded, trained, and helped lead a Shiite insurgency against the United States in Iraq. In tit-for-tat fashion, U.S. forces raided an Iranian diplomatic office there and arrested several staffers. As Washington slowly withdrew its military from that country, Iran increased its support for pro-Tehran leaders in Baghdad. When Iran's nuclear program grew, the U.S. attacked its computers with malware, launching what was in effect the first cyberwarin history. At the same time, Washington imposed economic sanctions on the country and its crucial energy production sector.

In short, for the last 36 years, the U.S.-Iranian relationship has been hostile, antagonistic, unproductive, and often just plain mean. Neither country seems to have benefited, even as both remained committed to the fight.

Iran Ascendant

Despite the best efforts of the United States, Iran is now the co-dominant power in the Middle East. And rising. (Washington remains the other half of that “co.”)

Another quick plunge into largely forgotten history: the U.S. stumbled into the post-9/11 era with two invasions that neatly eliminated Iran’s key enemies on its eastern and western borders -- Saddam Hussein in Iraq and the Taliban in Afghanistan. (The former is, of course, gone for good; the latter is doing better these days, though unlikely to threaten Iran for some time.) As those wars bled on without the promised victories, America's military weariness sapped the desire in the Bush administration for military strikes against Iran. Jump almost a decade ahead and Washington now quietly supports at least some of that country’s military efforts in Iraq against the insurgent Islamic State. The Obama administration is seemingly at least half-resigned to looking the other way while Tehran ensures that it will have a puppet regime in Baghdad. In its serially failing strategies in Yemen, Lebanon, and Syria, Washington has all but begged the Iranians to assume a leading role in those places. They have.

And that only scratches the surface of the new Iranian ascendancy in the region. Despite the damage done by U.S.-led economic sanctions, Iran's real strength lies at home. It is probably the most stable Muslim nation in the Middle East. It has existed more or less within its current borders for thousands of years. It is almost completely ethnically, religiously, culturally, and linguistically homogeneous, with its minorities comparatively under control. While still governed in large part by its clerics, the country has nonetheless experienced a series of increasingly democratic electoral transitions since the 1979 revolution. Most significantly, unlike nearly every other nation in the Middle East, Iran's leaders do not rule in fear of an Islamic revolution. They already had one.

Why Iran Won't Have Nuclear Weapons

Now, about those nukes. It would take a blind man in the dark not to notice one obvious fact about the Greater Middle East: regimes the U.S. opposes tend to find themselves blasted into chaos once they lose their nuclear programs. The Israelis destroyed Saddam's program, as they did Syria's, from the air. Muammar Qaddafi's Libya went down the drain thanks to American/NATO-inspired regime change after he voluntarily gave up his nuclear ambitions. At the same time, no one in Tehran could miss how North Korea's membership in the regime-change club wasn't renewed once that country went nuclear. Consider those pretty good reasons for Iran to develop a robust nuclear weapons program -- and not give it up entirely.

While, since 2002, Washington hasn’t taken a day off in its saber-rattling toward Iran, it isn’t the only country the clerics fear. They are quite convinced that Israel, with its unacknowledged but all too real nuclear arsenal, is capable and might someday be willing to deliver a strike via missile, aircraft, or submarine.

Now, here’s the added irony: American sabers and Israeli nukes also explain why Iran will always remain a nuclear threshold state -- one that holds most or all of the technology and materials needed to make such a weapon, but chooses not to take the final steps. Just exactly how close a country is at any given moment to having a working nuclear weapon is called “breakout time.” If Iran were to get too close, with too short a breakout time, or actually went nuclear, a devastating attack by Israel and/or the United States would be a near inevitability. Iran is not a third world society. Its urban areas and infrastructure are exactly the kinds of things bombing campaigns are designed to blow away. So call Iran's nuclear program a game of chicken, but one in which all the players involved always knew who would blink first.

The U.S.-Iran Nuclear Accord

So if Iran was never going to be a true nuclear power and if the world has lived with Iran as a threshold state for some time now, does the July accord matter?

There are two answers to that question: it doesn't and it does.

It doesn’t really matter because the deal changes so little on the ground. If the provisions of the accord are implemented as best we currently understand them, with no cheating, then Iran will slowly move from its current two- to three-month breakout time to a year or more. Iran doesn't have nukes now, it would not have nukes if there were no accord, and it won’t have nukes with the accord. In other words, the Vienna agreement successfully eliminated weapons of mass destruction that never existed.

It does really matter because, for the first time in decades, the two major powers in the Middle East have opened the door to relations. Without the political cover of the accord, the White House could never envisage taking a second step forward.

It’s a breakthrough because through it the U.S. and Iran acknowledge shared interests for the first time, even as they recognize their ongoing conflicts in Syria, Yemen, and elsewhere. That's how adversaries work together: you don't have to make deals like the July accord with your friends. Indeed, President Obama's description of how the deal will be implemented -- based on verification, not trust -- represents a precise choice of words. The reference is to President Ronald Reagan, who used the phrase “trust but verify” in 1987 when signing the Intermediate-Range Nuclear Forces Treaty with the Russians.

The agreement was reached the old-school way, by sitting down at a table over many months and negotiating. Diplomats consulted experts. Men and women in suits, not in uniform, did most of the talking. The process, perhaps unfamiliar to a post-9/11 generation raised on the machismo of “you're either with us or against us,” is called compromise. It’s an essential part of a skill that is increasingly unfamiliar to Americans: diplomacy. The goal is not to defeat an enemy, find quick fixes, solve every bilateral issue, or even gain the release of the four Americans held in Iran. The goal is to achieve a mutually agreeable resolution to a specific problem. Such deft statecraft demonstrates the sort of foreign policy dexterity American voters have seldom seen exercised since Barack Obama was awarded the 2009 Nobel Peace Prize (Cuba being the sole exception).

It's All About the Money

While diplomacy brought the United States and Iran to this point, cash is what will expand and sustain the relationship.

Iran, with the fourth-largest proven crude oil reserves and the second-largest natural gas reserves on the planet, is ready to start selling on world markets as soon as sanctions lift. Its young people reportedly yearn for greater engagement with the West. The lifting of sanctions will allow Iranian businesses access to global capital and outside businesses access to starved Iranian commercial markets.

Since November 2014, the Chinese, for example, have already doubled their investment in Iran. European companies, including Shell and Peugeot, are now holding talks with Iranian officials. Apple is contacting Iranian distributors. Germany sent a trade delegation to Tehran. Ads for European cars and luxury goods are starting to reappear in the Iranian capital. Hundreds of billions of dollars worth of foreign technology and expertise will need to be acquired if the country is to update its frayed oil and natural gas infrastructure. Many of its airliners are decades old and need replacement. Airlines in Dubai are fast adding new Iran routes to meet growing demand. The money will flow. After that, it will be very hard for the war hawks in Washington, Tel Aviv, or Riyadh to put the toothpaste back in the tube, which is why you hear such screaming and grinding of teeth now.

The Real Fears of the Israelis and the Saudis

Neither Israel nor the Saudis ever really expected to trade missile volleys with a nuclear-armed Iran, nor do their other primary objections to the accord hold much water. Critics have said the deal will only last 10 years. (The key provisions scale in over 10 years, then taper off.) Leaving aside that a decade is a lifetime in politics, this line of thinking also presumes that, as the calendar rolls over to 10 years and a day, Iran will bolt from the deal and go rogue. It’s a curious argument to make.

Similarly, any talk of the accord touching off a nuclear arms race in the Middle East is long out of date. Israel has long had the bomb, with no arms race triggered. Latent fears that Iran will create “the Islamic Bomb” ignore the fact that Pakistan, with own hands dirty from abetting terror and plenty of Islamic extremists on hand, has been a nuclear power since at least 1998.

No, what fundamentally worries the Israelis and the Saudis is that Iran will rejoin the community of nations as a diplomatic and trading partner of the United States, Asia, and Europe. Embarking on a diplomatic offensive in the wake of its nuclear deal, Iranian officials assured fellow Muslim countries in the region that they hoped the accord would pave the way for greater cooperation. American policy in the Persian Gulf, once reliablyfocused only on its own security and energy needs, may (finally) start to line up with an increasingly multifaceted Eurasian reality. A powerful Iran is indeed a threat to the status quo -- hence the upset in Tel Aviv and Riyadh -- just not a military one. Real power in the twenty-first century, short of total war, rests with money.

The July accord acknowledges the real-world power map of the Middle East. It does not make Iran and the United States friends. It does, however, open the door for the two biggest regional players to talk to each other and develop the kinds of financial and trade ties that will make conflict more impractical. After more than three decades of U.S.-Iranian hostility in the world's most volatile region, that is no small accomplishment.

Peter Van Buren blew the whistle on State Department waste and mismanagement during the Iraqi reconstruction in We Meant Well: How I Helped Lose the Battle for the Hearts and Minds of the Iraqi People. A TomDispatch regular, he writes about current events at We Meant Well. His latest book is Ghosts of Tom Joad: A Story of the #99Percent. His next work will be a novel, Hooper's War.

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Copyright 2015 Peter Van Buren