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US Holds Fire on China Sanctions, Awaits Trump-Xi Summit

Guavy AI Editorial Team
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Oil
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The US is keeping secondary sanctions on China in reserve, hoping to avoid deploying them over its continued purchases of Iranian crude oil.

Former US national security officials and analysts indicate that the Trump administration is holding this financial penalty as a strategic card while navigating a highly sensitive diplomatic tightrope.

The threat of secondary sanctions targets China's largest financial institutions and would cause massive global market disruptions, triggering swift retaliation.

US officials are wary of upending the upcoming summit between President Donald Trump and Chinese President Xi Jinping on September 24, 2026.

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