Russia’s war on Ukraine is reshuffling Middle East diplomacy and forcing the U.S. to reassess the political costs of reviving the 2015 nuclear accord with Iran.

Clinching the deal after a year of negotiations now hangs on a sticking point that people familiar with the talks say has emerged as the most politically explosive for the administration of U.S. President Joe Biden — whether to remove Iran’s Islamic Revolutionary Guard Corps (IRGC) from the U.S. list of terrorist organizations.

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