US Targets Iran-China Oil Network With New Sanctions Ahead of Trump-Xi Talks

The United States has announced a fresh round of sanctions against individuals and companies accused of facilitating Iranian oil shipments to China through complex international networks tied to Iran’s Islamic Revolutionary Guard Corps (IRGC).

According to the U.S. Treasury Department, 12 individuals and entities were sanctioned for allegedly helping Iran move oil exports and conceal related financial transactions through front companies operating in Hong Kong, the United Arab Emirates, and Oman.

U.S. officials said the networks enabled Iran to continue generating oil revenue despite existing international restrictions. Authorities allege the funds support Iran’s military programs, weapons development efforts, and regional proxy operations.

The Treasury Department stated that the IRGC relies heavily on shell companies and shadow logistics systems to maintain crude oil exports, particularly to major buyers such as China. Among those targeted are firms based in Hong Kong, Dubai, Sharjah, and Oman that were allegedly involved in oil trading, shipping coordination, and financial transactions linked to Iranian crude exports.

The sanctions follow additional measures introduced days earlier targeting networks accused of helping Iran procure drone and missile components.

The latest action comes shortly before a planned meeting between U.S. President Donald Trump and Chinese President Xi Jinping. Discussions between the two leaders are expected to include Middle East stability, global energy markets, Iran-related tensions, and the strategic Strait of Hormuz, a critical passageway for global oil shipments.

U.S. Treasury Secretary Scott Bessent said Washington would continue intensifying economic pressure on Iran in an effort to disrupt financial systems supporting Tehran’s military activities and regional influence.

U.S. officials said the broader objective is to restrict Iran’s ability to finance weapons programs and reduce support for allied proxy groups across the Middle East.

The sanctions mark another escalation in Washington’s ongoing economic pressure campaign against Iran as geopolitical tensions and uncertainty in global energy markets continue to rise ahead of the expected U.S.-China talks.