TEHRAN (Tasnim) – China will pay for Iranian oil and gas in cash according to an agreement between the two countries, Chairman of Iran-China Joint Chamber of Commerce Asadollah Asgaroladi said.
Speaking to the Tasnim News Agency, Asgaroladi said there is no problem for the remittance that Iran should receive from China for oil exports.
Based on a previous agreement, Iran could have imported Chinese commodities in exchange for energy exports to China, he added.
Tehran later demanded that Beijing send part of the money it owes to Iran to South Korea or Japan so that Iran could import goods from those countries or that China pay its debt in cash, Asgaroladi noted.
With a compromise, Chinese officials have agreed to settle their oil and gas debts in cash, albeit after “subtracting some percentage as commission,” the official explained.
He also noted that Iran eyes “long-term trade ties” with China, irrespective of a possible final nuclear deal between Tehran and world powers that could entail termination of anti-Iran sanction.
According to Asgaroladi, the value of Iran-China annual trade stands at $52 billion, 55 percent of which are Iranian exports –including oil, gas and petrochemical products- and 45 percent imported goods and services from China.