Donald Trump has raised US sanctions to Syria, news that will probably be held greatly throughout the country.
But what does it mean for Syrian companies trying to recover after years of war and global isolation? Let’s take a look.
A new US policy
On May 13, 2025, doors an investment forum in Riad, Saudi Arabia, President Trump announced that he would raise many US sanctions against Syria.
The announcement occurred after months of lobbying of some of Syria’s allies, namely Saudi Arabia and Türkiye, and before Trump’s meeting with the new president of Syria, Ahmed al-Sharaa.
According to Reuters, speaking in the forum, Trump said: “I will order the cessation of sanctions against Syria to give them the opportunity to greatness … It’s his time to shine … Good luck, Syria, show us something very special.”
This marked the greatest change in American policy towards Syria in more than a decade, and many encouraged the international community to meet in the reconstruction of Syria after the fall of President Bashar al-Assad’s regime in December 2024.
The lifting of the sanctions will allow Syrian companies to re -emerge the global financial system, which allows them to participate more in foreign trade and increase the economy. But it also means that powers such as Iran and Russia have less influence in Syria, since the country can now work for its own feet.
This feeling was resonated by the American senator Jeanne Shanen, who told Reuters “that it is important for us to provide the opportunity to keep those countries in motion in a way that continues to keep out of Iran and Russia.”
Why were the sanctions imposed in the first place?
There is a long history of sanctions in the region, promoted by the Assad regime. Syria has been in a civil war for more than a decade, with hundreds of thousands of dead people and millions displaced.
Here is a summary of the letter of sanctions in Syria, according to Wikipedia.
1979: Syria was sanctioned for being a “state sponsor of terrorism” after allegedly supporting groups like Hezbollah.
1986: European Community prohibits the sale of new arms to Syria and high -level visits.
2004: New sanctions issued by the United States government, which condemned their occupation of Lebanon and support for groups such as Hezbollah and Hamas.
2011: USA, United Kingdom and that imposed stricter sanctions that were addressed to Syrian assets, prohibit oil exports and more. These were applied to attack the Assad regime, pressing it to stop the war.
2021: The EU declared that the sanctions would remain in place until a political transformation occurred in Syria.
And now, after the fall of the Assad regime, it seems that this political transformation is here.
What sanctions were built?
On May 23, the Department of Foreign Assets Control (OFAC) of the United States Treasury Department (OFAC) issued General License No. 25, which allows companies to participate in previously prohibited transactions with Syrian companies.
American banks were also allowed toilet relations with Syrian banks, even more strengthening ties.
However, some limits remain, and many of the conditions of the sanctions that deposit on the behavior of Syria, especially in the context of the current conflict in the Middle East.
In addition to this, sales of weapons and military technology are still restricted to provide the United States with certain level of control over the war in the region.
The EU and the United Kingdom did the same, with the EU raising all economic sanctions in May on May 28, apart from those linked to national security.
The United Kingdom also reduced the sanctions and promised £ 160 million in help, helping local Syrians to rebuild their lives. (BBC).
What does this mean for Syrian companies?
For many Syrians, this announcement occurs after years of difficulties. According to the UN, 90% of Syrians live below the poverty line, with the country’s GDP falling by 84% since 2010 (Reuters).
For companies, this announcement could mean:
- More trade with foreign companies.
- Cheaper imports, reducing prices.
- Ability to exchange currency more easily.
- Return of the Syrians who fled due to war, promoting the demand of consumers of local businesses.
A new future for Syria?
Trump sanctions lifting in Syria marks a turning point for the country, not only for its government, but for millions of people within the country.
But one thing is sure of years of war, many Syrians now have the opportunity to rebuild their lives and prosper economically, which can only be something good.
