Iranians mark the second anniversary of the Woman, Life, Freedom movement in Toronto in September 2024
The resumption of diplomatic relations between Canada and Iran—severed by Ottawa in 2012—remains unlikely, statements this week from both governments indicated, as tensions and mutual distrust fester.
Responding to a query from Iran International TV on Thursday, Canada’s foreign ministry stated that Iran must undergo “significant changes to its behavior both domestically and internationally” before the restoration of diplomatic ties can be considered.
Iranian Foreign Ministry Spokesman Esmail Baghaei on Tuesday put the onus on Canada to make the first move to restore relations.
“I think the first step they need to take is to unravel the many sanctions and restraints they have imposed on themselves and on our bilateral relations,” Baghaei told CBC News at a press briefing in Tehran on Tuesday.
In its sharply worded statement, however, Canada condemned Iran for what it called Tehran's destabilizing activities in the Middle East, proliferation of drone and ballistic missile technologies, and lack of transparency surrounding its nuclear program.
Ottawa also expressed “deep concern about Iran's failure to uphold its international human rights obligations” and said it will continue to increase pressure on Iran and implement further measures “for as long it continues its unacceptable conduct.”
Canada further called on Iran to fulfill its legal non-proliferation obligations, honor its political commitments under the nuclear agreement framework, and fully cooperate with the International Atomic Energy Agency (IAEA).
At the same press briefing, Baghaei accused Ottawa of turning a blind eye to Israel’s actions while portraying Iran as a threat.
“Is Iran committing genocide? Has Iran occupied another country? Is Iran enjoying the full support of Canada and other Western countries to commit the colonial erasure of a whole nation?” he said.
Designation of Iran's Revolutionary Guards and sanctions
Canada has sanctioned numerous Iranian entities and individuals since 2012 for human rights violations, support for terrorism, ballistic missile and nuclear programs and the IRGC’s downing of Ukraine’s Flight PS75 in January 2020.
Ottawa officially designated Iran’s Islamic Revolutionary Guard (IRGC) as a terrorist organization in June 2024, over a decade after designating its foreign operations branch the Quds Force as a terrorist entity.
On March 7 Canada slapped fresh sanctions on several individuals and entities in connection with the IRGC’s weapons production and sales.
Strained relations for decades
Canada’s relations with Iran took a major hit in 2003 following the death of Canadian-Iranian photojournalist Zahra Kazemi in Iranian custody under suspicious circumstances.
Evidence suggested she had been tortured, but Iran rejected Canada’s demand for an independent investigation by international observers.
A turning point came in September 2012 when Canada closed its embassy in Tehran and expelled all Iranian diplomats from Ottawa.
At the time, Canada cited Iran’s support for Syria’s Bashar al-Assad, its non-compliance with nuclear obligations, threats against Israel, support for terrorism, human rights violations and disregard for the safety of foreign diplomats.
The move came a few months after the 2011 vigilante attack and vandalization of the British embassy and its residential complex in Tehran in reaction to UK’s decision to impose further economic sanctions on Iran over its nuclear program.
After the 2015 election of Prime Minister Justin Trudeau’s Liberal government, there was cautious optimism about re-engagement, especially following the Iran nuclear deal (JCPOA). Canada eased some sanctions in alignment with the agreement.
However, hopes of rapprochement were dashed in January 2020, when the IRGC shot down Flight PS752, killing 55 Canadian citizens and 30 permanent residents.
Iran said it had unintentionally downed the civilian aircraft amid heightened tensions with the US following the assassination of IRGC Quds Force Commander Qasem Soleimani.
Canada officially banned the entry of senior Iranian government officials in November 2022, cancelling dozens of visas and visa applications. The ban was expanded in September 2024 by retroactively applying the inadmissibility to any senior official who served in the Iranian government since June 23, 2003 when Zahra Kazemi was killed in Iranian custody.
Iranian-Canadians
Baghaei also told CBC that the lack of diplomatic ties harms the hundreds of thousands of Iranians living in Canada and contributing to its economy.
In the 2021 Canadian Census, over 280,000 individuals, or around 0.8 percent of the total Canadian population, identified themselves as Iranian or Persian.
The Iranian dissident diaspora in Canada frequently organizes protests in major cities to denounce the Iranian government and the IRGC, and to express solidarity with political prisoners and pro-democracy movements in Iran.
Iran's foreign minister said on Thursday that nuclear talks with the United States will fail if Washington insists on Iran halting its uranium enrichment, in one of Tehran's gloomiest assessments yet of the negotiations.
“The American side says enrichment must stop in Iran, and if that is their goal, there will be no agreement,” Abbas Araghchi said in an interview with state media.
“We will not give up our rights, and our nuclear program, including enrichment, must continue."
Iran insists its disputed nuclear program is peaceful and sees domestic enrichment as a right enshrined by international covenants.
Western countries and Mideast arch-nemesis Israel doubt Iran's intentions.
US state department spokesperson Tammy Bruce said on Thursday that Washington was optimistic about the talks which are due for a fifth round in Rome on Friday because Iranian diplomats were still talking despite the hard US line on enrichment.
"The fifth round of the nuclear talks would not be happening if we didn't think that there was potential for it," Bruce told reporters on Thursday.
"Clearly we believe that we are going to succeed," she added. "Most of our leaders have who have spoken on it (have said talks are) about no enrichment, and the Iranians are (still) at that table. So they also understand what our position is, and they continue to go."
Iran prepared to respond to any Israeli strike
Addressing reports that Israel may be preparing for a strike on Iranian nuclear facilities, Araghchi said he had written to UN Secretary-General António Guterres warning that Iran will defend its nuclear facilities if attacked.
"If the threats continue, we will be forced to implement special arrangements to protect our nuclear facilities and materials, and those who need to understand what these special arrangements are will certainly understand," he said.
CNN reported Tuesday that US intelligence indicates Israel is preparing for potential strikes on Iranian nuclear infrastructure, citing multiple American officials.
Araghchi also said that Israel is against US negotiations with Iran and in recent months they have tried their best to drag Washington into war with Tehran.
“Whether or not the US participates in an attack alongside Israel, we see it as a partner in aggression. We do not accept the idea that Israel could act without American coordination,” he said.
Several Tehran outlets defied a state-imposed ban on Wednesday by publishing commentary on ongoing nuclear talks with Washington, some striking an optimistic tone that diverged from the Supreme Leader’s skeptical message a day earlier.
In a speech on Tuesday, Ali Khamenei questioned the likelihood of a deal with the United States under President Donald Trump. Within hours, Iran’s Supreme National Security Council issued a directive prohibiting the country’s press from commenting on the negotiations.
Still, major reformist dailies Etemad and Sharq carried pieces backing the talks the next day—one commentator even letting his imagination sail into uncharted territory.
“Not only will Iran and the United States reach an agreement, but they will also pave the way for the reopening of the US embassy in Tehran and consulates in other Iranian cities,” former MP Esmail Gerami Moghaddam said in an interview with Etemad.
“Trump has never said Iran should stop enrichment—only that Iran cannot have nuclear weapons,” he asserted, arguing that Trump’s recent trade agreements with neighboring Arab nations prove he is not seeking escalation in the region.
Sharq’s editorial—titled Does Diplomacy Still Have a Chance?—was not as rosy, denouncing what it called Washington’s excessive demands.
“Iran does not want to participate in talks that collapse before they even begin,” it quoted an unnamed official as saying, arguing that the “zero enrichment” red line advanced by Trump and his team threatens Iran’s sovereignty.
Nevertheless, the editorial ended on a hopeful note that the talks would continue.
Sharq also quoted former nuclear negotiator Hossein Mousavian—now at Princeton University, where he faces a campaign by Iranian dissidents calling for his removal.
“These problems would not have arisen had there been more direct negotiations with the U.S.,” Mousavian told Sharq, accusing U.S. officials of posturing that, in his words, undermines trust.
This echoed Foreign Minister Abbas Araghchi, who on Tuesday accused officials in Washington of leaking sensitive information and called for confidentiality.
In another piece, Sharq highlighted Qatar’s mediation efforts alongside Oman’s as a potential breakthrough. The duo’s involvement, it argued, could help establish a peaceful framework and restore regional stability.
“Qatar, as an experienced mediator, can build upon Oman’s initiatives,” the editorial said, noting that recent statements from Doha about bridging the gap between Washington and Tehran had raised hopes among diplomats.
By offering to mediate between Iran and the U.S., it concluded, Qatar is sending a clear message to President Trump: that his allies in the region prefer diplomacy over confrontation.
Iran’s hardline Kayhan newspaper, closely aligned with Supreme Leader Ali Khamenei, warned on Thursday that indirect talks with the United States are heading toward a “pre-designed dead-end,” accusing Washington of seeking Iran’s total capitulation on nuclear enrichment.
An editorial warned that the diplomatic process to reach a new nuclear deal is heading toward a “pre-designed dead-end,” accusing Washington of seeking Iran’s total capitulation on nuclear enrichment.
The article came on the eve of the fifth round of negotiations mediated by Oman as Iranian officials expressed growing skepticism over the value of continuing the process.
“The Americans have brought the talks to a dead-end not due to misunderstandings or technical disagreements, but as a direct result of their excessive demands,” Kayhan wrote.
“Their goal is to empty Iran’s hands of nuclear capability and impose their will on a nation that has resisted domination for four decades.”
The remarks echoed comments made earlier this week by Khamenei himself, who publicly rebuked US demands that Iran halt all uranium enrichment and expressed pessimism about the outcome of the diplomatic process.
“We don’t think these talks will succeed, and we don’t know what will happen,” Khamenei said during a speech marking the anniversary of former President Ebrahim Raisi’s death.
Officials from across Iran’s political establishment – including the foreign minister, the parliament, and the first vice president – reiterated that uranium enrichment remains a red line.
Iran is the only non-nuclear weapon state enriching uranium to 60% U-235, a level that causes "serious concern," according to International Atomic Energy Agency (IAEA) Director General Rafael Mariano Grossi.
The IAEA has consistently maintained that there is no credible civilian use for uranium enriched to this level, which is a short technical step from weapons-grade 90% fissile material.
Iran's stockpile of 60% enriched uranium had increased to 275 kg, enough to theoretically make about half a dozen weapons if Iran further enriches the uranium.
Foreign Minister Abbas Araghchi told reporters on Wednesday: “Enrichment will continue in Iran, with or without an agreement. If the other side wants more transparency, we’re open to that, but they must lift sanctions in return.”
He added, “If they want to enter into areas of our peaceful nuclear activities and deprive us of what is our right under the NPT, there will be no room for agreement.”
Iran’s parliament also issued a statement declaring it would “never retreat from the nuclear rights of the Iranian people,” accusing the United States of acting as a “criminal regime” with no legitimacy to dictate terms.
Iran’s top nuclear negotiator said uranium enrichment remains the key stumbling block to a breakthrough in talks on the eve of the fifth round of indirect negotiations between Iran and the United States set for Friday in Rome.
“On many issues, we have achieved a better understanding of each other ... However, disagreements remain in some areas, particularly over uranium enrichment. Until that is resolved, I don’t think we can reach an agreement," Iranian Foreign Minister Abbas Araghchi told the Al Sharq news network.
The Oman-mediated talks faced a setback this week after Supreme Leader Ali Khamenei firmly rejected the US demand to end uranium enrichment, the sticking point in the negotiations.
Iran has since expanded its nuclear program. It remains the only non-nuclear weapon state enriching uranium to 60% purity—just a short technical step from the 90% weapons-grade level.According to IAEA figures, Iran now possesses a stockpile of approximately 275 kilograms of 60%-enriched uranium—enough, if further refined, for roughly half a dozen nuclear weapons.
On Tuesday, Khamenei was skeptical about the outcome of the ongoing negotiations. “Saying things like ‘we won’t allow Iran to enrich uranium’ is way out of line,” Khamenei said. “We do not think the talks would yield results now.”
Despite this, Araghchi emphasized that diplomacy remains active and ongoing. “The talks will continue until we reach a result,” he said. “Neither the United States nor the Islamic Republic can unilaterally halt the negotiations.”
Tehran’s strategy to skirt sanctions
Araghchi also addressed the broader strategy behind Iran’s diplomatic and economic posture. Speaking at a regional summit on economic diplomacy in Shiraz on Thursday, he said Iran’s resistance to sanctions—through internal resilience and trade networks—had bolstered its negotiating position.
“The more successful we are at neutralizing sanctions, the more the sanctioning parties will be disappointed—and that will help us in the negotiations,” he said. “If they were certain sanctions would bring us to our knees, they wouldn’t be negotiating with us.”
Araghchi argued that Iran’s ability to withstand pressure was largely due to “the resistance of the Iranian people and the capabilities of our business sector,” which he said prevented sanctions from having a “paralyzing effect.”
However, Iran's currency has been at record lows and over one third of the population is now forced below the poverty line amid the worst economic crisis since the founding of the Islamic Republic with global sanctions levied against Iran not only for its nuclear program but over human rights and its support of Russia's war on Ukraine.
Iranian oil exports reached 2.8 million barrels per day (bpd) in May 2018 and hit a low of just 150,000 bpd in May 2020, before steadily recovering to an average of around 1.65 million bpd so far in 2025, according to analytics firm Kpler. Trump aims to cut the exports to zero. The highest ever exports occurred in 1974 with a peak of 6.02 bpd.
Araghchi further elaborated on the role of the Foreign Ministry in supporting economic resilience, saying it should not be seen as engaging in trade itself, but as a facilitator.
“We do not sell goods or oil at the Foreign Ministry,” he said. “Our job is to open paths, remove obstacles, identify new markets, and connect businesspeople.”
Describing the Ministry’s role as akin to an “icebreaker ship,” he said: “The icebreaker doesn’t carry cargo, but it opens the frozen route so that other ships can pass. Without that route, commercial vessels get stuck.”
Araghchi stressed that bypassing sanctions is a necessary part of Iranian foreign policy. “It’s our responsibility to both lift sanctions and neutralize them,” he said. “Removing obstacles to trade isn’t only about ending sanctions—it’s also about outmaneuvering them.”
As Iran prepares to enter the fifth round of talks, it remains unclear whether the enrichment dispute can be resolved. Both sides continue to hold firm on core issues, with time running short for diplomacy to succeed.
Reports show Israel is preparing for military action against Iran's nuclear facilities if the talks collapse and CNN reported that US President Donald Trump's 60-day deadline to reach an agreement before the threat of military action against Iran becomes a reality, may now have passed.
The US State Department has appointed Iran hawk Xiyue Wang, held prisoner in Tehran for over three years on spy charges, as a senior adviser for Iran, Politico reported on Wednesday.
Wang, who has been outspoken about opposing nuclear negotiations with Iran, recently joined the Bureau of Near Eastern Affairs.
Wang was held for 1,216 days in Tehran’s Evin Prison and released in 2019 in exchange for an Iranian scientist convicted in the US of violating sanctions.
He had traveled to Iran as a Princeton graduate student with permission from the Iranian foreign ministry before being arrested and imprisoned on espionage charges.
In a 2021 lawsuit, Wang accused Princeton University of failing to support him during his detention and of pressuring his family to stay quiet. “They sent me to Iran and left me there,” Wang said at the time.
The US and Iran are set to begin a fifth round of indirect talks in Rome on Friday in spite of remarks from Iran's Supreme Leader this week doubting they will be able to reach an agreement if US terms remain set on stopping Iran's uranium enrichment.