Beijing Rejects U.S. Pressure: China Defends Trade Ties with Iran Amid New ‘Operation Economic Outcast’ Sanctions Campaign

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By News Desk

BEIJING, China — The Chinese government has formally rejected demands from the United States to alter its economic interactions with Iran, warning Washington against interfering with lawful bilateral trade.

The response from Beijing follows the rollout of “Operation Economic Outcast” by U.S. Treasury Secretary Scott Bessent under the administration of President Donald Trump. The aggressive campaign aims to sever global financial lifelines connected to Tehran by imposing secondary sanctions across key sectors, including digital assets, technology, gold, aviation, and shipping.

Official Stance from Beijing

During a press briefing on Tuesday, Chinese Foreign Ministry spokesperson Lin Jian made it clear that Beijing considers Washington’s enforcement efforts to be an overreach without backing under international law.

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Lin emphasized that trade relations between China and Iran operate within legitimate global frameworks and should remain protected from external disruption. He asserted that economic warfare and maximum pressure tactics do not resolve underlying disputes, warning that such actions escalate regional tensions, introduce financial spillover risks, and destabilize global markets. Lin added that Beijing is closely monitoring the situation and will take all necessary measures to firmly safeguard its rights and legitimate national interests.

Escalating Financial Tensions

The pushback from Beijing sets up a high-stakes diplomatic standoff between the world’s two largest economies:

The United States has threatened secondary sanctions against foreign institutions doing business with targeted Iranian sectors, urging global entities to decouple from trade with Tehran or risk complete isolation from the U.S. dollar system. Despite Washington’s warnings, China remains the largest buyer of Iranian crude oil. Analysts note that while the U.S. Treasury has targeted smaller entities and intermediary firms in Hong Kong, imposing broad secondary sanctions against major Chinese state-owned banks could severely impact broader bilateral relations.

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