After 45 years of sanctions, Iran has survived and grown stronger

The Iranian economy has faced significant challenges due to sanctions since 1979, limiting its access to global markets and financial resources. 

In response to these long-term stressors on its economy, they have developed strategies to cope with crushing economic difficulties and having a large percentage of their population being below the poverty line.

As of 2021, the top three imports in Iran have been cereal grain, electrical and electronic equipment, and the machinery and boilers required to run nuclear reactors.

While US and UN sanctions are aimed at limiting Iran's nuclear programme and regional influence, these sanctions have resulted in Iran seeking alternative revenue sources, and demonstrating a resilience against outside pressure.

Historically, much of Iran's revenue has come from oil exports. The sanctions, however, have spurred the development of clandestine shipping routes, moves to disguise the origin of the oil in question, as well as collaboration with countries such as China and Russia.

Timeline: US sanctions on Iran in the last 45 years

In addition to oil, Iran also uses cryptocurrencies for international transactions, which makes it extremely difficult for regulators to trace, while also focusing on domestic production and manufacturing to reduce their dependence on imports.

It is these same industries and strategies developed over decades of isolation that has allowed Iran to continue its weapons development to the point where their 'Shahed' drones have become known worldwide through their open use in the Russia - Ukraine war, and their hidden use through various islamic fighter groups.

These drones have been developed using "off-the-shelf" parts, often including technical components bought from American and European manufacturers through shell companies or allied countries.

Shahed drones use the Iranian-made Mado MD-550 four-cylinder piston engine, suspected to be a reverse-engineered German Limbach L550E, which is an aircraft engine developed in 1987. Their comms and guidance system that were studied from downed drones reveal that SIM's and 4G modems, similar to those used in mobile phones were used. Electronically CPUs(with identifiers removed) believed to be manufactured by American companies have been used in the drones construction.

The Russian version of the Shahed-136, known as the Geran-2, have been founds to have  55 parts made in the US, 15 from China, 13 from Switzerland, and six from Japan, among others

Decades of international pressure have forced Iran to develop its own resilience, as well as innovate ways to sustain itself and its military through clandestine imports and the use of off-the-shelf components. 

Militarily they have shifted from seeking a modernised military in lieu of the United States, to a cheaper more disposable force based on drones and missiles that have shown itself to be effective in the Russian -Ukrainian war.

If there is one thing that has become clear, it's that the sanctions imposed on Iran did not kill it, and instead made Iran stronger.