U.S. Replaces Comprehensive Sanctions on Syria With More Targeted Tools

The United States rolled back decades-old comprehensive sanctions on Syria on June 30, but the story is not as simple as either media reports or the administration itself makes it seem. The executive order (EO), which follows a series of recent actions by the Trump administration to support Syria’s reconstruction, will significantly reduce compliance risks for firms seeking to operate in the war-torn country. However, the very same EO that President Trump is using to lift most sanctions on Syria also provides new authorities that the Treasury and State Departments could use to sanction anyone who destabilizes Syria by preventing the country from drafting a constitution, holding free and fair elections, or promoting peace with its neighbors. Thus, there are some potentially urgent and much-needed sticks to complement the numerous carrots Trump is offering Damascus.

Sanctions Rollback Set To Facilitate Reconstruction

The new Syria EO is aimed at facilitating the country’s reconstruction in the aftermath of a 13-year civil war that ended in December with the ouster of dictator Bashar al-Assad. It revokes six previous orders that formed the basis of the U.S. sanctions regime on Damascus and ends the official U.S.-declared national emergency underlying them. In addition, the EO directs the U.S. secretary of state to examine a full suspension of congressionally mandated sanctions issued pursuant to the Caesar Act. The State Department will also reconsider the Foreign Terrorist Organization and Specially Designated Global Terrorist designations of Hayat Tahrir al-Sham (HTS), the al-Qaeda offshoot that Syrian President Ahmad al-Sharaa led during the civil war. The department will likewise review Sharaa’s individual designation as a terrorist.

The rollback also includes a significant unwinding of export controls that previously restricted the flow of goods and resources into Syria. Taken together, these changes are likely to facilitate significant reconstruction in Syria, aided by countries seeking greater economic and strategic influence in the region.

The U.S. Could Still Hold Syria Accountable

Ahead of the sanctions rollback, U.S. Ambassador to Turkey and Special Envoy for Syria Thomas Barrack told reporters that while President Donald Trump and Secretary of State Marco Rubio are not “nation-building,” they are “going to give [Syria] an opportunity” and “have a bunch of criteria that [the United States will] watch along the way.” Barrack pointed to Syria’s interest in joining the Abraham Accords, management of foreign jihadis in its military, treatment of Washington’s Kurdish allies, and protection of minorities.

The EO does not list those concerns explicitly but authorizes sanctions against anyone whose “actions or policies … further threaten the peace, security, stability, or territorial integrity of Syria,” as well as anyone who is responsible for, or complicit in, the “commission of serious human rights abuse,” among other criteria. The order also authorizes sanctions on anyone whose actions directly or indirectly obstruct, disrupt, or prevent efforts “to promote a Syria that is stable, unified, and at peace with itself and its neighbors.” This applies to interference with the development of a future Syrian constitution, the holding of free and fair elections, and the formation of a representative government.

Wield the Carrot With the Stick in Hand

In March, Syrian government-aligned forces massacred nearly 1,500 members of the country’s Alawite minority. Two division commanders whom Sharaa appointed reportedly bear significant responsibility for the atrocity. As a result of previous abuses, both men and their militias were already under U.S. sanctions, which Trump did not revoke. Sharaa has promised to hold the massacre’s perpetrators accountable.

This month, an investigative committee that Sharaa appointed will report publicly on the details of the massacre. If the report is a whitewash or if Sharaa refuses to hold commanders accountable, the White House should fully employ the sanctions it has authorized on those who destabilize Syria or commit grave abuses. Syria cannot afford a return to the impunity for powerful men that prevailed under Assad.

Max Meizlish is a senior research analyst for the Center on Economic and Financial Power (CEFP) at the Foundation for Defense of Democracies (FDD). For more analysis from Max and CEFP, please subscribe HERE. Follow Max on X @maxmeizlish. Follow FDD on X @FDD and @FDD_CEFP. FDD is a Washington, DC-based, nonpartisan research institute focusing on national security and foreign policy.