China's Iranian Oil Imports Plunge Amid US Sanctions and Blockades

China's Iranian oil imports have plummeted by 48% since the onset of the Iran conflict, amid new US sanctions and blockades that are further constraining Beijing's intake of Iranian crude. According to Kpler figures, China's Iranian crude purchases via the Strait of Hormuz stood at roughly 12 million barrels in July and August, reflecting a 36% drop from the initial six months of 2026 and a 72% fall from the October 2024 high point.

The US Treasury Secretary Scott Bessent has broadened the American sanctions push against Iran, hitting over 60 entities and cautioning nations that engage with Tehran. China remains the primary purchaser of sanctioned Iranian oil, having acquired it at steeply reduced prices for years, which supplies its independent refiners with low-cost input.

Neil Quilliam, an associate fellow at the Chatham House think tank in London, noted that the announcement's importance lies as much in what Washington omitted as in what it included. He argued that without actions against major Chinese banks, China can continue importing Iranian oil with minimal disruption.