President Trump has indicated the possibility of imposing sanctions on Chinese banks with financial ties to Iran, escalating trade tensions with Beijing. The veiled threat came during a press briefing and shortly before Chinese President Xi Jinping’s anticipated visit to Washington for a summit with Trump. When asked directly about the lack of sanctions on Chinese financial institutions, Trump responded cryptically, suggesting further action could be taken without prior announcement. This follows recent statements from Treasury Secretary Steven Mnuchin regarding continued scrutiny of Iran-related financial activities. The move potentially complicates the upcoming Xi-Trump meeting, which was intended to address trade disputes and other bilateral issues. This escalation signals a hardening of the US stance on enforcing sanctions against Iran and its international partners, and could further strain already delicate global trade relations.