New Delhi, May 9 (PTI) President Donald Trump’s announcement of the US pulling out from the Iran deal and his decision to re-impose sanctions on the key crude oil producer will exert pressure on fuel prices and affect the Indian economy on the downside, Assocham said today.Also Read - Supreme Court Set to Take Up All-Or-Nothing Abortion Fight

“While there are other imponderables like Saudi Arabia trying to increase crude output along with major OPEC producers and the US allies like France not being on board, the global economy does face bouts of uncertainty and volatility. In the short term, it is not a good news for the Indian economy which meets bulk of its crude oil requirements from imports,” Assocham Secretary General D S Rawat said. Also Read - US Man Orders Indian Street Food In Fluent Bengali, Enjoys Mishti, Puchka & Roshogulla | Watch

Trump announced that he was withdrawing the US from what he called the “decaying and rotten” Iran nuclear deal signed by the Obama regime in 2015, putting him on a collision course with America’s closest allies. Also Read - Texas Abortion Ban Stays in Force as Justices Mull Outcome

Moments later he signed fresh set of sanctions against Iran and warned countries against any cooperation with Tehran on its controversial nuclear weapons programme.

The nuclear deal was negotiated and agreed to by Iran and the P5+1 (the US, UK, France, China, Russia, and Germany), granting Iran sanctions relief and returning frozen assets in exchange for restrictions on its nuclear programme and international inspections.

This is published unedited from the PTI feed.