The United States announced sanctions targeting a major China-based refinery accused of buying Iranian crude and about 40 shipping companies and tankers moving Iranian oil, as part of a broader push to curb Iran’s oil revenue.

Treasury Secretary Scott Bessent said the department will continue to constrict the network of vessels, intermediaries, and buyers that Iran relies on to move its oil to world markets.

The global energy market remains volatile due to Persian Gulf tensions, with oil prices pressured by regional conflicts, while temporary waivers for Russian oil and a one-time transit waiver aim to ease immediate pressures.

China’s response to prior sanctions has included objections, though many Chinese firms still comply because of exposure to the U.S.-dominated financial system.

China has historically followed U.S. sanctions despite objections and has criticized previous measures as undermining international trade norms.

China’s embassy and officials criticized the move as undermining trade norms and infringing on the legitimate rights of Chinese entities, urging the U.S. to stop using sanctions as a political tool.

China warned that sanction actions could politicize energy trade and harm legitimate business activity, with the U.S. urged to weigh economic rights and global trade stability.

Chinese officials have voiced concern that sanctions undermine international trade rules, yet major Chinese companies and banks often align with U.S. measures due to the primacy of the U.S. financial system.

The sanctions mark a broad scope, naming about 40 entities and including a Chinese refinery to highlight the international dimension of the action.

The AP reported Chinese officials’ concern that sanctions disrupt international trade and the rights of Chinese actors, prompting queried responses.

Treasury identified the China-based refinery as a significant buyer of Iranian crude and described it as one of several ‘teapot’ refiners operating with limited access to the U.S. financial system.

The article notes ongoing U.S. efforts to pressure Iran financially and acknowledges the risk of pushback from involved nations and entities.