Bush Invokes Trade Sanctions Against Iraq

President Bush today condemned Iraq’s invasion of Kuwait as “naked aggression,” froze control of Iraqi assets in the United States and blocked almost all imports from the oil-rich Middle Eastern country.

Bush demanded that Iraq withdraw its troops but said military intervention was not under discussion. Nonetheless, the Pentagon ordered the aircraft carrier Independence and a six-ship battle group toward the strife-torn Persian Gulf.

Bush’s early-morning order cut off virtually all commerce between the United States and Iraq. The only exceptions were publications and shipments to Iraq of food, clothing and medical supplies.

Iraq retaliated by saying it will freeze debt payments to the United States.

Lt. Gen. Howard Graves of the U.S. Joint Chiefs of Staff, traveling in Mongolia with Secretary of State James A. Baker III, said the United States was considering “political, military or economic” moves against Iraq. Pentagon sources identified one option as assisting evacuation of 3,000 Americans from Kuwait.

Bush said he would cut short a trip to Aspen, Colo., today for a visit with British Prime Minister Margaret Thatcher and return to Washington tonight.

Experts said Bush harbored few easy military options to bolster his condemnation of the Iraqi invasion.

“We’re not discussing intervention,” Bush said, but acknowledged, “I would not discuss it (publicly) if I were.”

In announcing his economic sanctions against Iraq, Bush expressed concern about how the invasion will affect U.S. oil supplies. The United States imports about half its oil. The boycott against Iraq is certain to affect domestic oil prices.

The executive order also froze Kuwait property under U.S. jurisdiction--a move intended to keep Iraq from seizing it. Bush urged other nations to take similar measures.