U.S. announces new sanctions against Iranian oil

The US issued new sanctions targeting Iran’s oil exports, including measures against a Chinese “teapot refinery,” as the Trump administration seeks to ramp up pressure on Tehran
AFP Thursday, 9 October 2025

The U.S. Treasury Department stated in a release that the action is intended to increase coercion on Chinese importers of Iranian oil, amid efforts to bring Iran’s oil exports to zero.

The Trump administration has also relaunched negotiations with Iran over its nuclear program this month, with a second round of talks scheduled in Rome this weekend.

The Treasury said it imposed sanctions on an independent Chinese refinery — referred to as a “teapot refinery” — accusing it of playing a role in purchasing Iranian crude worth over US $1 billion. 

Washington also sanctioned several companies and shipping vessels that it says facilitated Iranian oil deliveries to China as part of Iran’s “shadow fleet.”

Neither Iran’s U.N. mission in New York nor the Chinese embassy in Washington responded immediately to requests for comment. 

China does not recognize U.S. sanctions and is the largest importer of Iranian oil. Beijing and Tehran have established a trade network that primarily utilizes the Chinese yuan and intermediaries, thereby circumventing the U.S. dollar and reducing exposure to U.S. regulators.