Thursday, March 19, 2026, episode of the podcast The Excerpt: As the US-Israel war on Iran rages on, it is hard to imagine that Iran was once a key ally of the US. This special episode describes key turning points in the history of U.S.-Iranian relations and how they continue to shape the ongoing conflict today. Ali Baez, Iran Project Director at the International Crisis Group, joins The Excerpt to share his insights and analysis.
Press play in the player below to listen to the podcast and follow the transcript below. This transcript was automatically generated and edited in its current format for clarity. There may be some differences between audio and text.
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Zulekha Natu:
The White House is dealing with mixed reactions from critics and supporters over its decision to go to war with Iran alongside Israel. The ongoing conflict between the United States and Iran shows no signs of slowing down, affecting everything from diplomatic relations to oil prices. But can history give us any clues as to what will happen next, especially since the United States and Iran were once allies?
Hello. Welcome to this excerpt from USA TODAY. I’m Zulekha Nathoo, producer and host on the Special Projects team. Today is Thursday, March 19, 2026. In this episode, we explore the complex history between the United States and Iran to better understand the circumstances that led to the current conflict and how it can be resolved. Ali Baez will help you with that. He is the Iran Project Director at the International Crisis Group. The group is a nonprofit organization dedicated to building peace by helping shape global policy.
Thank you for joining us, Ali.
Ali Baez:
It’s wonderful to be with you.
Zulekha Natu:
With all the headlines about this conflict, it is important to take a step back and understand the history of the U.S.-Iranian relationship to better understand what is happening and why. So where do you think a good place to start? For example, what was the relationship like between the two countries decades ago?
Ali Baez:
Where you start determines where you end. Iran and the United States had very good relations before 1979. Iran was America’s best ally in the Middle East and the largest importer of American arms. This was actually the cornerstone of US policy in the region, but this is a simplification of a very complex history. In fact, in 1953, Iran had a democratically elected prime minister who wanted to nationalize Iranian oil, and the United States, in cooperation with Britain, organized a coup against Prime Minister Mosaddegh and overthrew him. And it has already created the first structure in the relationship.
Zulekha Natu:
And it’s important to be aware of that tear or tears. Because during those years there were very few times when maybe things could have been resolved, but they just got worse and worse. So how do you feel about the partnership and relationship you mentioned years later?
Ali Baez:
After the 1953 coup, Iran prospered, had very good relations with the outside world, and was culturally and socially free, but politically the Shah held a very tight grip on power. And many Iranians blamed the United States, which was seen as its main sponsor. The Iranian revolution began in 1978 out of resentment against the Shah and his autocratic rule, and quickly snowballed into a revolution. By January or February 1979, the Shah was completely out of control. The American-trained Iranian military then decided to declare neutrality in this conflict between state and society, and the revolutionaries were able to overthrow Iran’s 2,500-year-old monarchy and establish the Islamic Republic. After the 1979 revolution, the Shah came to the United States for medical reasons. He had cancer and needed treatment. President Carter reluctantly allowed him to enter the country, sparking fears among the revolutionaries that the United States was attempting to stage another coup and restore President Carter to power.
So they tried to pre-empt this by seizing the US embassy. They held more than 50 American diplomats hostage for 444 days, and a military operation to free them failed. This was a real humiliation for President Carter and basically destroyed his presidency. Essentially as an act of revenge, the Iranians waited literally minutes for President Carter to resign from office and for President Reagan to take the oath to release the hostages.
Zulekha Natu:
Now, Americans would probably be surprised to learn that while the current conflict is said to stem from efforts to limit Iran’s nuclear energy capabilities, the United States was actually deeply involved in helping develop Iran’s civilian nuclear program in the 1950s and 1960s.
Ali Baez:
One of the great ironies of this situation is that Iran’s nuclear program was a gift to Iran from the United States as part of President Eisenhower’s Atoms for Peace program. The concept at the time was that many countries would try to acquire nuclear technology, which was cutting-edge technology at the time. These programs are used only for civilian purposes, rather than allowing countries to develop their own outside surveillance systems. The United States also provided Iran with a small research reactor, which is still in operation today. Also, at the time it operated using highly enriched uranium, which could be used for weaponization, but over the years it was converted to 20% enriched fuel. But it is actually the beginning of Iran’s nuclear program.
barack obama:
Today, after two years of negotiations, our international partners, the United States, have achieved something that decades of hostility failed to accomplish. A comprehensive long-term agreement with Iran to prevent Iran from acquiring nuclear weapons.
Ali Baez:
Then fast forward to 2015, and we signed a nuclear deal with Iran, putting their program in a box and imposing very strict oversight. It was the first time since the revolution that the United States and Iran had reached a mutually beneficial diplomatic agreement.
Donald Trump:
It is clear to me that under the corrupt and rotten structure of the current deal, we cannot prevent an Iranian nuclear bomb.
Ali Baez:
Nevertheless, President Trump took office three years later, pulled out of that agreement and reimposed sanctions. Biden came on with a promise to restore that agreement, but he adopted positions that actually contaminated the well, the agreement was not restored, and so on. Every time we have a chance to turn a corner, one of us is not ready or the other is not ready.
Zulekha Natu:
We’ve talked a lot about politics and leadership, and I’m curious how Iranians themselves have viewed the United States over the decades. Do you think that’s consistent with how both governments view the United States, or is it a contrast, or is it a mix of both?
Ali Baez:
What’s so interesting about Iran in the past is that while it has been one of the most anti-American regimes in the world, it has also had one of the most pro-American populations, especially in the region. The United States has done a lot in Iran in terms of supporting the country’s development and helping its universities flourish. There were also many interactions with Iranian students who studied in the United States and returned to help their country develop. So, generally speaking, there was a good perception about the United States.
Now, after the revolution, the new government, the Islamic Republic, made a serious attempt to brainwash the entire population, especially the new generation, against the United States. I grew up in Iran, and every day before I went to class I had to chant “Death to America” and then sit behind the bench. However, my brother was studying abroad in the United States, and I was afraid that telling America that I would die would hurt him in some way, so I couldn’t say much. The largest community of the Iranian diaspora is in the United States, with American culture, satellite networks, American movies, and American music, so there were many other Iranians in a similar position. So even for those of us who are children of the revolution, there was a real cultural influence that the United States had.
Zulekha Natu:
What impact did economic sanctions have on diplomatic relations between the two countries, and how did each country proceed from there?
Ali Baez:
The United States resorted to sanctions immediately after the revolution in response to Iran’s taking of American diplomats hostage. It cut off trade with Iran and then gradually began imposing stifling sanctions. But the sanctions essentially took away a lot of influence over Iran from the United States. Because after a certain period of time, the United States really stopped trading with Iran, and the Iranians adapted and accepted that fact. Iran’s middle class accounted for about 60-70% of society about a decade ago. Currently, 30% of Iranians are below the poverty line. Many of them don’t get the 2,100 calories we all need nutritionally. Finding specialized medical care is extremely difficult. All of this and more, while Iranians decry the regime’s corruption and mismanagement and the policies it has pursued that have produced these sanctions, there is also a sense that the United States doesn’t really care about them.
Zulekha Natu:
To Americans, the conflict may feel far away, but if the U.S.-Iranian relationship continues in a negative direction, what will be the impact on public sentiment, and why would it bother the U.S. in some ways? in
Ali Baez:
Some of these events will come back to haunt us, just as the long story of 1953 led to the trauma Americans experienced in the tragedies and hostage crisis of 1979. The reality is that we have created a situation where there are many failed states in the Middle East. Many countries have suffered greatly as a result of U.S.-backed military actions against their populations, whether state-sponsored or lone-wolf, creating sentiments that lead to acts of terrorism. This will make it difficult to build positive and mutually beneficial relationships with many of these countries in the future.
Zulekha Natu:
Looking ahead, what do you think is the most important thing to do to end the violence and perhaps begin to normalize relations between the two countries? Is that still possible at this point?
Ali Baez:
This requires a mindset of understanding that zero-sum outcomes are, by definition, unsustainable. If we don’t take into account the dignity of other peoples, if we don’t recognize that other countries may have legitimate security concerns, if we only pursue domination without any regard for what people in the region want or what countries in the region want, then by definition we are pursuing unsustainable solutions. Diplomacy is the only thing that has helped us move forward in our relationship with Iran. We are in the middle of a conflict, and many innocent people, not just American military personnel, are losing their lives. And there will also be aftershocks that we will probably have to deal with until the next generation.
Zulekha Natu:
Ali Baez is the Iran Project Director at the International Crisis Group. Thank you for your time.
Ali Baez:
Thank you for having me. I’m very happy.
Zulekha Natu:
Thanks to Senior Producer Kaely Monahan for production assistance. Special thanks to Lamar Salter and Ian McDonald. Executive producer is Laura Beatty. Let us know what you think about this episode by sending a note to podcasts@usatoday.com. Thank you for your attention. My name is Zulekha Nathu. Tomorrow morning, we’ll be back with another episode of USA TODAY Excerpts.
