Sputnik - China might benefit from Washington's ban on Iranian oil purchases, which will start on November 5, 2018, Ji Kaiyun, director of the China Southwestern University�s Center of Iranian Studies, told Sputnik, recalling that Beijing had always found ways to circumvent American sanctions.




China attaches great importance to�crude supplies from�Iran, especially given the fact that the two countries are complementary to�each other in�the field of�energy, Ji Kaiyun, director of�China Southwestern University's Center of�Iranian Studies, told Sputnik, commenting on�the US oil embargo against�Iran.
"Iran depends even more on�China, since�it is difficult to�find another such market for�its products, and Beijing, at�the same time, can still buy oil in�other countries," Ji remarked in�an interview with�Sputnik China. "In addition, both China and Iran are now confronting the United States. Therefore, there is no reason for�them to�refuse mutual aid."


Meanwhile, China has started to�transport Iran's crude on�tankers belonging to�the Islamic Republic. This measure has been taken to�circumvent US sanctions, which were resumed by�the Trump administration following�Washington's unilateral withdrawal from�the Joint Comprehensive Plan of�Action (JCPOA), commonly known as�the Iran nuclear deal, last May.

On August 7, the first round�of anti-Iranian sanctions came into�force. According to�Brian Hook, the newly appointed head of�the Iran Action Group, Washington is seeking "to�reduce every country's import of�Iranian oil to�zero�by�November 4," before�the second batch of�anti-Iranian measurescomes into�effect on�November 5, 2018.
"To a certain point, the Sino-Iran oil trade means a boycott of�the US, that violates the World Trade Organization's rules," Ji pointed out. "And while China is seeking to�cooperate with�the United States and avoid confrontation, what's wrong with�China's attempt to�exert pressure on�the US in�response to�the US's pressure? This is also an element of�the foreign policy game."


The Chinese scholar noted that amid�the ongoing escalation of�tensions between�Washington and Beijing, China needs to�keep pace of�economic growth. Under these circumstances, inexpensive Iranian crude might come in�handy, he believes.

Having suggested that China would come up�with�some plan to�get around�US sanctions, the scholar stressed that Beijing had usually bought Iranian oil at�a discount.

According to�the customs service of�China, in�2017, the total volume of�crude imports to�the country increased by�10.2 percent, to�419.6 million tons. Last year Iran was ranked the sixth among�China's main suppliers of�black gold with�a share of�7.3 percent.

 

European Companies Forced to�Obey Trump's Sanctions

Trump's decision to�rip the Iran nuclear deal up�and resume sanctions against�Tehran caught many by�surprise, including Washington's European allies who have reportedly poured over $20 billion into�the Iranian economy since�2016, when the JCPOA came into�force.

The EU's�frustration with�the US oil embargo�is quite understandable given the fact that the European market accounts for�about 40 percent of�the world's hydrocarbon exports and Iran boasts the world's third-largest oil reserves of�18.8 billion tons, according to�the International Energy Agency (IEA).

Although European countries have repeatedly signaled their commitment to�the Iran nuclear deal, EU energy firms have recently been forced to�reduce their purchases of�Iranian crude since�insurance companies refuse to�provide coverage for�the transportation of�Tehran's black gold because of�the US sanctions regime.

Therefore, China's Zhuhai Zhenrong Corp and Sinopec Group have started to�shift their cargoes of�Iranian oil to�tankers owned by�the National Iranian Tanker Co (NITC),�according�to�Reuters, which specified that both the Chinese firms and the Iranian tanker company had refused to�provide comments on�the matter. According to�the media outlet, in�July 2018, 17 tankers belonging to�NITC transported 23.8 million barrels of�crude oil and condensate to�China.