U.S. Persuades Iraq to Quash Siemens Deal in Favor of GE
- Effort is part of plan to wean Iraqi energy sector off Iran
- Iraq’s government warned that deal could hurt ties with U.S.
Photographer: Aaron M. Sprecher/Bloomberg
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The Trump administration intervened to quash a $15 billion deal for Siemens AG to develop power stations in Iraq, instead persuading Baghdad to sign an agreement with General Electric Co., two administration officials said.
Iraq signed a memorandum of understanding with GE on Monday, after senior U.S. officials warned Iraqi Prime Minister Haider al-Abadi that the future of the U.S.-Iraq relationship would be at risk if his government accepted the deal with Siemens, according to the officials, who asked not to be identified discussing private deliberations. The Financial Times reported the U.S. move earlier Thursday.