The United States has rolled out a new wave of sanctions targeting Iran’s oil lifeline — this time focusing on a China-based teapot refinery.
“Any refinery, company, or broker that chooses to purchase Iranian oil or facilitate Iran’s oil trade places itself at serious risk. The United States is committed to disrupting all actors providing support to Iran’s oil supply chain, which the regime uses to support its terrorist proxies and partners,” US Treasury Secretary Scott Bessent warned.
This move marks a clear return to President Donald Trump’s hardline “maximum pressure” campaign against Iran, aimed at dragging the country’s oil exports to rock bottom.
According to the U.S. Treasury, the sanctioned Chinese refinery allegedly bought over $1 billion worth of Iranian crude. Several other firms and vessels linked to Iran’s secret oil trade with China have also been hit.
Washington believes Iran is operating a shadow fleet to keep oil shipments hidden.
On the 16th of April, 2025, the Treasury issued new guidance to the global shipping industry on how to spot and avoid involvement in these evasive deals.
“This is coming as President Donald Trump’s administration seeks to ramp up pressure on Iranian government.”
The latest sanctions come just days after a new round of nuclear talks between the U.S. and Iran began first in Oman and with another round set for Rome.
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“This is coming as the Trump’s administration has relaunched negotiations with Iran over its nuclear programme this month, with talks in Oman last weekend and a second round expected in Rome this weekend.”
While the U.S. moves to apply financial heat, both Iran’s UN mission in New York and China’s embassy in Washington have stayed silent.
Behind the scenes, Tehran and Beijing appear to be bypassing U.S. oversight altogether.
Reports suggest both nations have built a yuan-based trade channel, propped up by middlemen, keeping the dollar and American regulators at bay.
“China and Iran are said to have built a trading system that uses mostly Chinese yuan and a network of middlemen, avoiding the dollar and exposure to U.S. regulators.”
As this economic chess game unfolds, one thing is clear Trump’s administration is going all in to bring Iran’s oil trade to a halt.