The United States is poised to impose further economic sanctions on Iran, focusing attention on China’s significant role as its primary oil purchaser. While China previously bought an average of 1.4 million barrels per day of Iranian oil, those purchases have been decreasing since the US renewed its blockade in July. Current data shows a drop to 534,000 barrels per day in August, the lowest level in over a year. Chinese independent refiners are the main buyers, seeking discounted crude, while state refiners avoid Iranian oil due to existing US sanctions. Deliveries are often disguised as originating from Malaysia or Indonesia and are settled in Chinese currency via complex intermediary networks. The US has been increasing pressure on Chinese refiners and entities involved in the trade since President Trump's return, aiming to further restrict Iranian oil exports.

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