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Turkey downplays economic impact of S-400 crisis with U.S. as "minimized"

Source: Xinhua| 2019-07-30 21:34:10|Editor: Shi Yinglun
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ANKARA, July 30 (Xinhua) -- The pressure on Turkish economy over its purchase of the Russian S-400 defense system is "minimized," Turkish Finance and Treasury Minister Berat Albayrak said Tuesday.

Statements from the U.S. officials and talks between Ankara and Washington "display more positive process" with regards to possible U.S. sanctions on Turkey, Albayrak told reporters.

The possible impact of the S-400 crisis with the U.S. government on Turkish economy "is much lower," he noted.

The minister was referring to expected measures against Turkey as the Countering America's Adversaries Through Sanctions Act (CAATSA), a law ratified by the U.S. Congress in 2017, mandates the Trump administration to impose sanctions on countries that conduct transactions with the Russian defense industry.

Ankara started to receive the parts of the S-400 systems in July despite the stern warning from its NATO ally.

The potential sanctions are expected to impact the volatile Turkish currency which is very sensitive to ties with the United States.

Washington suspended delivery of F-35 fighter jets to Turkey after the arrival of the Russian anti-missile systems, but the Turkish lira has remained stable so fat.

Ankara believes Trump would impose a softer package by picking up five lightest sanctions out of the 12 CAATSA measures, or delay imposing these measures.

In August 2018, Turkish lira hit record lows against the U.S. dollar when Washington imposed sanctions on Turkey by doubling steel and aluminum tariffs over Turkey's detention of an American pastor.

The dispute saw the release of the pastor and later a relative recovery of the lira .

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