U.S. Sanctions Chinese Firm in Ongoing Campaign Against Iranian Oil Exports

The U.S. has imposed new sanctions on China’s Shandong Shouguang Luqing Petrochemical Co. for buying Iranian oil, as part of its ‘maximum pressure’ campaign against Iran. This includes targeting companies that aid Tehran’s oil exports. The U.S. claims such purchases support terrorism and undermines nuclear non-proliferation goals, while Iran maintains its nuclear pursuits are peaceful.

The United States has resumed its ‘maximum pressure’ strategy against Iran, imposing new sanctions on a Chinese company for purchasing Iranian crude oil. This latest round of sanctions, the fourth since President Donald Trump announced a strategy to curtail Iranian exports, affects the Shandong Shouguang Luqing Petrochemical Co., Ltd., a Chinese “teapot” refinery known for processing smaller shipments of oil.

The U.S. Treasury Department revealed that the company acquired about $500 million worth of Iranian oil, reportedly sourced from Houthi-linked vessels. The term ‘teapot refinery’ refers to smaller, privately-owned operations in China, contrasting with state-run enterprises. The U.S. maintains that the oil was transported by Iran’s covert “shadow fleet” of tankers associated with the Houthis.

Treasury Secretary Scott Bessent emphasized the impact of these refinery purchases, stating that they are a vital economic support for the Iranian regime, which the U.S. classifies as a major sponsor of terrorism. Concurrently, the U.S. State Department announced additional sanctions targeting a Chinese oil terminal as part of the comprehensive efforts to extend the pressure on Iran’s oil exports to zero, particularly emphasizing the importance of reducing transactions to China.

While Iran asserts that its nuclear aspirations are strictly peaceful, Western nations remain skeptical, alleging that the nation’s uranium enrichment activities are geared towards arming capabilities, rather than civilian use.

This latest enforcement reflects the ongoing tensions between the U.S., Iran, and China amid heightened geopolitical rivalry and economic sanctions aimed at diminishing Iranian influence in the region.

The United States intensifies its ‘maximum pressure’ campaign against Iran by sanctioning a Chinese oil refinery over its dealings with Iranian crude. This action highlights the broader strategy of targeting entities that facilitate Iranian oil exports, particularly to nations like China. The ongoing conflict over nuclear weapons and regional stability continues to shape U.S. foreign policy, drawing stark lines between conflicting national interests.

Original Source: www.hindustantimes.com