Xi Jinping to Meet Trump Amid Tensions Over Iran Sanctions

China's President Xi Jinping is set to meet with US President Trump at the White House this week, and the agenda includes discussions on Iran and how Beijing is circumventing US sanctions. China is Iran's largest trading partner, buying over 80% of its oil exports. However, due to a US naval blockade in the Strait of Hormuz, Chinese imports have dried up.

Despite the blockade, China has found ways to continue importing Iranian oil through a complex process involving masking ship identities and offloading crew members to other vessels. This oil is then sold at a discount of $8-$10 per barrel to independent refineries in China's Shandong Province.

Ahmed Aboudouh, a researcher from the London-based think tank Chatham House, notes that these teapot refineries account for up to 25% of all oil imported into China. However, with only 12% of China's oil imports coming from Iran, Beijing may be willing to wait out the US blockade.

Henry Tugendhat from the Washington Institute for Near East Policy believes that China can afford to wait as it tries to pressure the US into a ceasefire. Trump appears eager to resolve the conflict with Iran before the midterms, while Xi Jinping seems content to let the pressure build on the US.