The United States imposes new sanctions on Iranian oil exported to China

The Trump administration has announced new sanctions targeting Iran's oil export network to China amid ongoing nuclear talks between Washington and Tehran.

Partagez:

The United States has imposed additional measures against Iran by sanctioning an international network facilitating the export of millions of barrels of crude oil to China. According to a statement from the Department of State, the action aims to cut off funding for Iran’s military and nuclear activities.

U.S. authorities stated that revenues from these oil exports support the development of ballistic missiles and drones in Iran, while also fuelling nuclear proliferation and terrorist operations. The network is accused of operating on behalf of the Iranian armed forces and its front company, Sepehr Energy.

The sanctions are part of the “maximum pressure” policy reintroduced by the Trump administration since returning to office. The strategy is intended to restrict Iran’s access to financial resources deemed necessary for advancing its defence programmes and its involvement in destabilising activities on a global scale.

The fourth round of negotiations between the United States and Iran, focusing on the nuclear issue, concluded in Muscat (Oman) without a breakthrough. Despite the lack of progress, both sides expressed cautious optimism, noting that further discussions are planned to try to reach a new agreement.

Context of the current situation

Since the unilateral withdrawal of the United States from the Joint Comprehensive Plan of Action (JCPOA) in 2018, tensions between Washington and Tehran have remained high. The Trump administration is seeking a new deal that would prevent Iran from acquiring nuclear weapons, a goal Iran has consistently denied pursuing.

The sanctions also target companies and individuals involved in transporting Iranian oil, a vital sector for the Islamic Republic’s economy. The U.S. government continues to implement coercive measures to prevent Iran’s trading partners from breaching international restrictions.

Implications for the global oil market

The new sanctions could significantly impact crude oil trade between Iran and China. Despite sanctions, Iran remains a strategic supplier for some Asian markets. The effectiveness of U.S. sanctions could also affect trade relations between China and the United States, further straining geopolitical tensions in the region.

Iran’s crude oil exports have declined over the years, but China, its main trading partner, remains a key player in regional energy flows. The intensification of sanctions may prompt a shift in commercial strategies among oil producers in Asia and across global markets.

Chinese independent refineries remain cautious amid rising Iranian crude prices driven by escalating Iran-Israel tensions, potentially threatening access to the strategic Strait of Hormuz.
Donald Trump urges control of oil prices following U.S. military action against Iranian nuclear facilities, amid escalating tensions around the strategic Strait of Hormuz, threatening to significantly impact global markets.
PermRock Royalty Trust announces a monthly distribution of $539,693 to unit holders, impacted by reduced oil volumes and prices in April, partly offset by increased natural gas sales.
Permian Basin Royalty Trust announces a reduced distribution for June due to ongoing excess costs at Waddell Ranch properties and lower volumes from Texas Royalty Properties.
Three months after starting production, Norway’s Johan Castberg oil field, located in the Barents Sea, reaches its full capacity of 220,000 barrels per day, significantly increasing energy supplies to Europe.
The Middle East conflict forces Iraq to delay certain oil developments, disrupting field operations despite temporary stability in production and exports amid growing logistical tensions.
New U.S. estimates reveal nearly 29 billion barrels of oil and 392 Tcf of technically recoverable natural gas on federal lands, marking significant progress since the last assessment in 1998.
The United Kingdom tightens sanctions against Russia's oil sector by targeting twenty tankers operating in the "shadow fleet" and Rosneft Marine, amid rising crude prices exceeding the G7-imposed price cap.
French manufacturer Vallourec will supply Qatar with premium OCTG tubes in a contract worth an estimated $50 million, supporting the planned expansion of oil and gas operations by 2030.
SBM Offshore has secured an operations and maintenance contract from TotalEnergies for the FPSO GranMorgu unit, the first such project in Suriname, covering operational preparation and post-production maintenance for at least two years.
Maurel & Prom acquires additional stakes in two offshore oil blocks in Angola, consolidating its existing assets for an initial sum of $23mn, potentially rising based on market developments and production performance.
Long a major player in OPEC, Iran sees its influence on the oil market significantly reduced due to US sanctions, Israeli strikes, and increasing reliance on exports to China.
After several months of interruption following a major political upheaval, Syria's Banias refinery has shipped its first cargo of refined products abroad, marking a partial revival of its energy sector.
ExxonMobil and its partners have extended the production sharing contract for Block 17 in Angola, securing the continued operation of major infrastructure in a key offshore asset for Africa’s oil sector.
Egypt’s General Petroleum Company discovers a new oil field in Abu Sannan, producing 1,400 barrels per day, confirming growing interest in this mature Western Desert region.
The South Sudanese government is collaborating with Chinese group CNPC to reactivate several major oil fields, aiming to stabilise national production affected by political instability and ongoing technical difficulties.
TotalEnergies takes 25 % of a portfolio of 40 exploration permits on the US Outer Continental Shelf, deepening its partnership with Chevron in the Gulf of Mexico’s deepwater.
OPEC confirms global oil demand estimates for 2025-2026 despite slightly adjusted supply, while several members, including Russia, struggle to meet their production targets under the OPEC+ agreement.
Facing anticipated refusal from G7 countries to lower the Russian oil price cap to $45, the European Union weighs its options, leaving global oil markets awaiting the next European sanctions.
Starting August 15, the Dangote refinery will directly supply gasoline and diesel to Nigerian distributors and industries, expanding its commercial outlets and significantly reshaping the energy landscape of Africa's leading oil producer.