China's Role in Trump's Economic Campaign Against Iran Raises Tensions
The Trump administration's new economic campaign against Iran has a significant challenge: China. As the US tries to isolate Iran from its remaining economic partners, it must also balance its pressure on Tehran with avoiding higher tensions with Beijing that could harm the American economy.
Beijing is Iran's biggest trading partner and largest oil buyer. While the US is trying to cut off Iranian oil shipments, China receives over 80% of these imports through indirect channels.
Treasury Secretary Scott Bessent announced 'Operation Economic Outcast' on Monday, targeting nearly 60 entities connected to Iran's nuclear and missile programs, cyber activities, and oil shipments. However, the US has yet to specify how it will target China, leaving analysts questioning its effectiveness.
'The announcement yesterday was very careful in my view to avoid specifics (against China), which could have led to a disruption in the summit,' said Edgard Kagan, senior adviser at the Center for Strategic and International Studies. 'For Xi, a state visit to Washington is a big deal; and for Trump, hosting it is a big deal.'
China has responded by saying its cooperation with Iran is 'within the framework of international law.' Beijing will likely try to do the minimum to comply without openly confronting the US, said Lin Jian, Chinese foreign ministry spokesperson.