US expands sanctions on Iran’s oil sector, targets Chinese teapot refinery

US imposes new sanctions on Iran’s oil industry, including a China-based teapot refinery, to intensify pressure on Tehran. The move is part of the Trump administration’s renewed “maximum pressure” strategy, aimed at halting Iran’s oil revenues and nuclear ambitions.

The United States announced a fresh wave of sanctions on Wednesday aimed at curbing Iran’s oil exports, intensifying pressure on the Islamic Republic as the Trump administration renews its “maximum pressure” policy, Reuters reported.

Among the targets is a small independent oil refinery based in China, known in the energy sector as a “teapot” refinery.

The US Department of the Treasury stated that these measures are intended to deter Chinese entities from continuing their trade in Iranian crude oil. “Any refinery, company, or broker that chooses to purchase Iranian oil or facilitate Iran´s oil trade places itself at serious risk,” warned Treasury Secretary Scott Bessent.

The sanctioned refinery is accused of purchasing over $1 billion worth of Iranian oil. This marks the second time the Trump administration has taken action against a small, independent Chinese refiner.

The US also sanctioned a number of firms and vessels linked to Iran’s so-called “shadow fleet,” which it says is instrumental in moving oil covertly, often through ship-to-ship transfers and flag hopping, in an effort to evade international scrutiny.

In parallel to the new sanctions, the Treasury issued updated guidelines for international shipping and maritime stakeholders. The advisory urges vigilance in identifying Iranian oil shipments, warning that the regime depends on a complex, clandestine network to obscure the origin and destination of its exports.

State Department spokesperson Tammy Bruce reinforced the administration’s firm stance, saying, “All sanctions will be fully enforced under the Trump Administration´s maximum pressure campaign on Iran. As long as Iran attempts to generate oil revenues to fund its destabilizing activities, the United States will hold both Iran and all its partners in sanctions evasion accountable.”

The sanctions come despite renewed diplomatic engagements between the US and Iran. Officials from Washington and Tehran held indirect discussions in Oman last weekend. A new round of indirect talks is expected to begin Saturday in Oman, following a decision to retain the current venue rather than move to Italy, as had been proposed by US officials.

On Monday, Trump discussed the talks between his administration and the Iranian regime.

“We’ve got a problem with Iran, but I’ll solve that problem, that’s almost an easy one,” Trump said.

Later, he added, “Iran wants to deal with us, but they don’t know how. We had a meeting with them on Saturday. We have another meeting scheduled for next Saturday. I said that’s a long time [between meetings].

“I think they’re tapping us along because they were so used to dealing with stupid people in this country,” the President alleged.In parallel to the new sanctions, the Treasury issued updated guidelines for international shipping and maritime stakeholders. The advisory urges vigilance in identifying Iranian oil shipments, warning that the regime depends on a complex, clandestine network to obscure the origin and destination of its exports.

State Department spokesperson Tammy Bruce reinforced the administration’s firm stance, saying, “All sanctions will be fully enforced under the Trump Administration´s maximum pressure campaign on Iran. As long as Iran attempts to generate oil revenues to fund its destabilizing activities, the United States will hold both Iran and all its partners in sanctions evasion accountable.”

The sanctions come despite renewed diplomatic engagements between the US and Iran. Officials from Washington and Tehran held indirect discussions in Oman last weekend. A new round of indirect talks is expected to begin Saturday in Oman, following a decision to retain the current venue rather than move to Italy, as had been proposed by US officials.

On Monday, Trump discussed the talks between his administration and the Iranian regime.

“We’ve got a problem with Iran, but I’ll solve that problem, that’s almost an easy one,” Trump said.

Later, he added, “Iran wants to deal with us, but they don’t know how. We had a meeting with them on Saturday. We have another meeting scheduled for next Saturday. I said that’s a long time [between meetings].

“I think they’re tapping us along because they were so used to dealing with stupid people in this country,” the President alleged. Trump’s envoy Steve Witkoff, who represented the US in the weekend talks, declared on Tuesday that any future agreement with Iran must include the complete dismantlement of its nuclear program.

“A deal with Iran will only be completed if it is a Trump deal,” Witkoff wrote. “Any final arrangement must set in place a framework for peace, stability and prosperity in the Middle East – meaning that Iran must stop and eliminate its nuclear enrichment and weaponisation program. It is imperative for the world that we create a tough fair deal that will endure, and that is what President Trump has asked me to do.”

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