Will the U.S. lift CAATSA sanctions on Turkey by December 31, 2026?

On December 14, 2020, the United States imposed CAATSA sanctions on Turkey’s Presidency of Defense Industries (SSB) in response to Turkey’s acquisition of the Russian S-400 air defense system (see: https://2017-2021.state.gov/the-united-states-sanctions-turkey-under-caatsa-231/). On July 7, 2026 U.S. President Donald Trump indicated his intent to lift ​sanctions off Turkey(see: https://www.reuters.com/world/middle-east/trump-says-will-lift-turkey-sanctions-decide-selling-f-35s-2026-07-07/) This market will resolve to “Yes” if the United States federal government issues a waiver, license, termination, revocation, or equivalent sanctions-relief mechanism lifting CAATSA sanctions on Turkey, Turkey’s Presidency of Defense Industries (SSB), or covered Turkish officials by the specified date, 11:59 PM ET. Otherwise this market will resolve to “No”. Actions which direct partial or full sanction relief will both qualify. However, qualifying actions must reverse, remove, waive, terminate, or suspend US penalties imposed on Turkey, SSB, or covered Turkish officials under CAATSA Section 231, in whole or in part. Qualifying actions need not be permanent; temporary suspensions of sanctions will qualify. Relief issued for either entity-level sanctions or individual sanctions will qualify. The full removal of any CAATSA sanction imposed on Turkey, SSB, or covered Turkish officials will also qualify. Actions affecting only separate legal restrictions, including restrictions on F-35 transfers to Turkey under the National Defense Authorization Act, will not qualify unless they also include a qualifying CAATSA sanctions-relief action. Mere statements of intent, negotiations, or announcements that sanctions may be lifted in the future will not qualify without issuance of a qualifying sanctions-relief action. Once a qualifying sanctions relief action has been taken, this market will resolve to “Yes,” regardless of any subsequent revocation. The primary resolution source for this market will be official information from the United States federal government.

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