The Islamic Revolutionary Guard Corps (IRGC) has long been a foundation stone of the Iranian regime’s strategy to destabilize the Middle East and exert global influence. Designated a terrorist organization by the United States in 2019, the IRGC continues to operate with impunity in Europe, where the European Union has yet to take similar action.
This inaction has serious implications for global security. Without accountability, the IRGC is emboldened to expand its operations, threatening not just the US and Europe but the broader international order.
Over the past decade, the IRGC’s activities have expanded dramatically. From 2015 to 2024, documented IRGC-linked operations outside Iran have more than tripled. These operations include supporting proxy wars in Syria, Iraq, and Yemen, training militant groups like Hezbollah, and orchestrating covert intelligence operations in Europe.
These activities clearly show a planned escalation by the IRGC, which directly threatens the security of the US, Europe, and their allies. However, this isn’t just a political matter; it is a humanitarian crisis.
The IRGC’s proxy wars and terror activities cost innocent lives, trapping families in the region in cycles of violence and instability. As European governments hesitate, innocent civilians continue to suffer, and entire generations are being lost to the conflicts perpetuated by the IRGC.
The IRGC’s operations go beyond military engagement. They also involve cyberattacks, arms trafficking, and other forms of state-sponsored terrorism, all of which destabilize entire regions and fuel war and extremism.
Declining economy
Meanwhile, Iran’s economy has been in decline. Despite rising inflation and worsening domestic conditions, the regime has continued to increase military spending, with a large portion directed to the IRGC. This pattern suggests that the regime prioritizes military expansion and foreign interventions instead of addressing the economic hardships faced by its people.
According to the Stockholm International Peace Research Institute, Iran’s military expenditure nearly doubled between 2021 and 2023, even as inflation topped 40% and poverty levels surged domestically. This allocation of resources has not only exacerbated economic misery within Iran but also funded activities that undermine European security interests.
For instance, the increased military budget has enabled the IRGC’s provision of drones and missiles to Russia for use in Ukraine, further destabilizing Europe’s eastern flank.
This shift in priorities highlights a regime committed to extending its influence, even as it neglects the welfare of its citizens. The EU must understand that Iran’s internal economic difficulties do not limit the IRGC’s ability to act; in fact, military engagement remains a central focus.
The European Union’s reluctance to designate the IRGC as a terrorist organization often relies on procedural and diplomatic concerns. EU officials, including Josep Borrell, have argued that such a designation requires a court ruling from an EU member state.
However, this justification is weak given the extensive evidence of the IRGC’s terrorist activities across Europe. Over the past five years, IRGC operatives have been implicated in assassination plots, surveillance, and abductions in France, Germany, Denmark, and the Netherlands. Judicial proceedings in these cases have already established the IRGC’s direct involvement in acts that meet any reasonable definition of terrorism.
Some EU policymakers also claim that designating the IRGC could jeopardize diplomatic efforts, particularly negotiations tied to the Iran nuclear deal, the Joint Comprehensive Plan of Action (JCPOA). This argument ignores the IRGC’s clear role as a destabilizing actor that undermines diplomatic norms.
Through assassination attempts, cyberattacks, and supplying drones to Russia, the IRGC has demonstrated its disregard for peaceful engagement. The EU’s hesitation sends the wrong message: that a group with a documented history of terrorist activity can operate with impunity as long as procedural excuses persist.
Concerns about trade disruptions are valid, the long-term costs of inaction – in terms of security and credibility – far outweigh these economic considerations. EU-Iran trade, valued at approximately €4 billion in 2023, has remained significant. European exports to Iran, in particular, have remained strong, creating an economic incentive to keep diplomatic channels open.
However, this reliance on trade has a high cost. The EU must recognize that continuing to profit from trade with a regime that fuels terrorism and destabilization is unsustainable in the long run. The EU has a responsibility to act decisively for the sake of regional security, even if it means challenging the short-term interests of businesses.
Moreover, the security risks posed by the IRGC are no less significant. European intelligence agencies have uncovered Iranian-backed cells operating within EU borders. These cells, often linked to the IRGC, pose a direct security threat. While some fear that designating the IRGC could provoke retaliation, such inaction allows the IRGC to continue its operations unchecked.
Delaying action against the IRGC will only increase the costs for Europe. Designating the IRGC as a terrorist organization, in coordination with the United States, will strengthen efforts to curtail the Islamic Republic’s influence.
It would send a strong message to the world that terrorism will not be tolerated, especially when supported by a state actor. Continued inaction threatens not only European security but also the broader international order.
To address this growing threat, the EU must take decisive action. First, member states should enhance intelligence-sharing with the United States and Israel, using established networks to counter Iranian-backed cells. Such collaboration will reduce the risks of retaliation while demonstrating Europe’s commitment to securing its borders.
Second, the EU must target sanctions against the IRGC’s financial networks, isolating the group economically without disrupting legitimate trade. Additionally, Europe should strengthen border controls and security measures to prevent further Iranian influence.
A recent ruling by the European Court now makes it easier for the EU to designate the IRGC as a terrorist organization – an opportunity that must be seized without delay. These steps will limit the IRGC’s growing influence and reinforce the international community’s resolve against state-sponsored terrorism.
Dr. Aidin Panahi is an Iranian-American research professor and energy expert, political and human rights activist, organizer of joint events between Iranian and Jewish communities in Massachusetts, and leads the From Boston To Iran group alongside fellow activists. Andrew Ghalili is a senior policy analyst at the National Union for Democracy in Iran.