US Moves to End 47-Year Terrorism Designation on Syria

Washington, August 23, 2026: The United States has taken a major step toward removing Syria from its list of state sponsors of terrorism, potentially ending a designation that has remained in place since 1979 and opening the door to deeper economic and diplomatic engagement with Damascus.

The development follows President Donald Trump’s July decision to rescind Syria’s designation and the subsequent 45-day congressional review period. That review period expired on August 22, according to Syrian officials, removing a key procedural hurdle to the final step. However, the expiration itself does not automatically mean the designation has already been legally removed; the U.S. administration still has to complete the final executive procedure.

A major shift in US-Syria relations

Syria was placed on the U.S. State Sponsors of Terrorism list in 1979 during the rule of Hafez al-Assad, father of former Syrian President Bashar al-Assad. The designation imposed significant restrictions involving foreign assistance, defense-related exports, certain financial transactions and sensitive exports.

Trump announced his intention to reverse the designation during his July 8 meeting with Syrian President Ahmed al-Sharaa on the sidelines of the NATO summit in Ankara, Turkey. The White House described the move as part of a broader effort to remove obstacles to Syria’s reconstruction and economic recovery.

The move represents a dramatic change in Washington’s policy toward Damascus following the fall of Bashar al-Assad’s government in late 2024.

Congressional review period ends

Under the procedure initiated by the Trump administration, Congress was given 45 days to review the decision. Syrian presidential adviser Jihad Makdissi said on August 22 that the review period had expired.

He described the development as an important procedural milestone but acknowledged that additional executive action was still required before Syria could formally leave the U.S. list.

The distinction is important because social media posts have described the process as though Syria has already been completely removed from the list. The available reporting indicates that the United States has initiated and advanced the rescission process, while the final legal step remains significant.

Economic opportunities for Syria

Removing the terrorism designation could have major implications for Syria’s economy.

The designation has historically made international financial institutions and companies cautious about dealing with Syrian entities. Its removal could reduce some of those barriers and make it easier for international investors, banks and businesses to explore opportunities in Syria.

U.S. officials have argued that lifting the designation could help unlock international trade and investment and support the country’s reconstruction.

Syria has suffered extensive infrastructure damage after years of civil war and economic isolation. The transitional government is seeking foreign investment in areas including energy, transportation, banking and reconstruction.

From Assad-era isolation to a new relationship

The potential delisting is part of a broader transformation in U.S.-Syria relations.

The Trump administration previously lifted major U.S. sanctions on Syria, although targeted restrictions remain against individuals and organizations connected to terrorism, the former Assad government and other activities. The U.S. Treasury says its broader Syria sanctions program was made inactive following Trump’s June 2025 executive order.

Washington has also changed its position toward Ahmed al-Sharaa, who previously led Hay’at Tahrir al-Sham. The United States revoked HTS’s Foreign Terrorist Organization designation in 2025, while the United Nations later removed the group from its own relevant sanctions list.

A new chapter, but challenges remain

The end of the State Sponsor of Terrorism designation would not remove every restriction affecting Syria. Separate U.S. sanctions and legal measures continue to apply to certain individuals and organizations, meaning international companies will still need to assess compliance requirements before entering the Syrian market.

For Damascus, however, the potential removal carries considerable political and economic significance. It would mark the end of one of the longest-running U.S. terrorism designations and could provide a symbolic boost to Syria’s efforts to rebuild its economy and normalize relations with the international community.

The next major step will therefore be the formal completion of the U.S. executive process. If finalized, Syria’s removal would represent one of the most consequential changes in Washington’s Middle East policy in decades.