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China’s support for Iran shows its limits as US ramps up pressure on Tehran

China’s support for Iran shows its limits as US ramps up pressure on Tehran

Summary

China supports Iran but limits its involvement as the US increases pressure on Tehran through sanctions and military actions. While China opposes US moves against Iran, it balances its own relationships with many countries and focuses on economic ties without confronting the US directly.

Key Facts

  • China has economic ties with Iran, especially in energy trade.
  • China opposes US military and sanctions pressure on Iran but does not fully shield Iran.
  • Iran depends on China more than China depends on Iran.
  • Chinese President Xi Jinping recently met with Iranian leaders quietly while attending a meeting of the Shanghai Cooperation Organisation.
  • China is Iran’s biggest oil buyer, taking about 90% of Iranian oil exports after the US and Israel started conflict in February.
  • Iranian oil makes up only about 2% of China’s total energy use.
  • Chinese state-owned companies avoid Iranian oil trade; smaller independent refiners handle most trade.
  • The US has sanctioned some Chinese companies related to Iran but not major banks linked to oil trade with Iran.
  • The US may target China’s financial system in future sanctions but wants to avoid escalating tensions before a planned meeting between President Trump and Xi Jinping.
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