The Shah's pro-Axis allegiance in World War II leads to the Anglo-Russian occupation of Iran and the deposition of the Shah in favour of his son, Mohammad Reza Pahlavi.
Parliament votes to nationalise the oil industry, which is dominated by the British-owned Anglo-Iranian Oil Company. Britain imposes an embargo and a blockade, halting oil exports and hitting the economy. A power struggle between the Shah and nationalist Prime Minister Mohammad Mossadeq ensues.
Prime Minister Mossadeq is overthrown in a coup engineered by the British and US intelligence services. General Fazlollah Zahedi is proclaimed prime minister, and the Shah returns from temporary exile.
The Shah launches the 'White Revolution' programme of land reform and social and economic modernisation. During the late 1960s he becomes increasingly dependent on the SAVAK secret police in controlling opposition movements.
Islamic militants take 52 Americans hostage inside the US embassy in Tehran. They demand the extradition of the Shah, in the US at the time for medical treatment, to face trial in Iran.
US President George Bush describes Iraq, Iran and North Korea as an "axis of evil", warning of the proliferation of long-range missiles being developed in these countries.
UN Security Council imposes fourth round of sanctions against Iran over its nuclear programme, including tighter financial curbs and an expanded arms embargo.