- Offers of Iranian crude to Chinese buyers dropped as US blockade curbs exports
- Iranian crude prices rose, shifting from discounts to premiums in recent weeks
- Iran condemned US sanctions as economic terrorism and vowed strong retaliation
Offers of Iranian crude to Chinese buyers have declined while prices have risen this week, as a US blockade on Iranian oil shipments begins to curb Tehran's exports, according to a report.
Reuters, citing trade sources, reported that the number of planned Iranian crude deliveries for September and October has fallen compared with cargoes scheduled for July and August. Some of the barrels shipped earlier have already been sold, tightening available supplies. Iranian crude, which is typically offered to Chinese buyers at a discount, is also now being sold at premiums.
According to Reuters, the development comes after the US reimposed a blockade on Iranian ports on July 13, which has reduced the flow of Iranian oil. It also follows US President Donald Trump's warning that countries providing Iran with any type of lifeline could face economic consequences.
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US Treasury Secretary Scott Bessent said Washington would announce details of its latest measures on Monday. He described the policy as a “one-two punch”, referring to the blockade and what he called the “toughest sanctions in history”.
“It is going to work in Iran and we are going to collapse this regime. It is time for our allies and the rest of the world to make a decision,” Bessent told CNBC.
Iran has condemned the US measures, with its foreign ministry describing the sanctions as economic terrorism. Iran's Armed Forces chief of staff, Major General Ali Abdollahi, said Tehran would respond to any new US threats with crushing, punishing and devastating responses, according to Iranian media.
China is the biggest buyer of Iranian oil, accounting for more than 80% of Iran's shipped crude in 2025, according to analytics firm Kpler. Any move by Washington to target Chinese companies over Iranian trade could, however, risk retaliation from Beijing, a major US trading partner and supplier of critical rare-earth minerals.
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Asked whether the US could target China for doing business with Iran, Bessent said some discussions were better held privately. “Keep in mind that the Chinese get 50% (of their) energy... from the Gulf. So it would do them a great service to get with the program,” he said.
China's embassy in Washington said that sanctions and pressure do not help resolve the problem and called for the relevant parties to address the issue through political and diplomatic means.
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