WASHINGTON (Reuters) – The United States is poised to impose sanctions on Turkey over its acquisition last year of Russian S-400 air defense systems, five sources including two U.S. officials told Reuters on Thursday, a move likely to worsen already problematic ties between the two NATO allies.
Turkish President Tayyip Erdogan arrives at a military parade to mark the victory on Nagorno-Karabakh conflict, in Baku, Azerbaijan December 10, 2020. Murat Cetinmuhurdar/Presidential Press Office/Handout via REUTERS
The long-anticipated step, which is likely to infuriate Ankara and severely complicate relations with the incoming administration of President-elect Joe Biden, could be announced any day, sources said.
The sanctions would target Turkey’s Presidency of Defence Industries and its head, Ismail Demir, sources have said. They would be damaging but narrower than the severe scenarios some analysts have outlined.
The Turkish lira weakened as much as 1.4 percent following the news. U.S. sanctions could harm a Turkish economy struggling with a coronavirus-induced slowdown, double-digit inflation and badly depleted foreign reserves.
A senior Turkish official said sanctions would backfire and hurt ties between the two NATO members.
“Sanctions would not achieve a result but be counter-productive. They would harm relations,” the official said.