China Stands Firm Against US Economic Sanctions on Iran

The US has threatened to economically isolate Iran, but analysts say this may be difficult without China's cooperation. The US has been expanding sanctions against Iran and warning other countries that enable Tehran will become a 'global pariah'. However, Beijing has defended its cooperation with Iran and vowed to safeguard its interests.

China is a key customer for Iranian oil, and a significant portion of their trade relies on the Chinese currency, renminbi. This makes it challenging for the US to cut off Iran economically without China's help. Nino Lezhava, a fellow at the Centre for European Policy Analysis, said 'oil is the central economic lever', and maintaining commercial channels with Iran can reduce the effectiveness of economic isolation.

The US has already targeted some Chinese entities accused of helping Tehran procure critical technology, but it has so far held back from punishing major Chinese financial institutions. China's Foreign Ministry stated that its cooperation with Iran is conducted within the framework of international law and should not be interfered with or disrupted. Analysts say that Beijing seems confident in its ability to push back against the US if pressured.

Chong Ja Ian, an associate professor of political science at the National University of Singapore, said China has 'little reason' to cooperate with the US on sanctions. Lim Tai Wei, a professor and East Asia expert at Japan's Soka University, said that for China to cooperate, the costs of supporting Iran would need to become significantly higher than the strategic and economic benefits.