The United States on Wednesday issued new sanctions targeting Iran's oil exports, including against a China-based "teapot" oil refinery. It was the second small independent Chinese refinery hit with sanctions by the Trump administration so far.
The U.S. Treasury Department said in a statement the action would increase pressure on Chinese importers of Iranian oil as Trump seeks to restore his "maximum pressure" campaign on Iran, which includes efforts to drive its oil exports down to zero.
The United States has not in the past focused on Chinese teapot refiners in part because they have little exposure to the U.S. financial system. Chinese state-run oil firms have stopped buying Iranian crude, on concerns of running afoul of sanctions.
Washington also issued additional sanctions on several companies and vessels it said were responsible for facilitating Iranian oil shipments to China as part of Iran's "shadow fleet."
Liu Pengyu, spokesperson for the Chinese Embassy in Washington, called on the U.S. to immediately stop its "unwarranted suppression" of Chinese entities and individuals.
"China will take necessary steps to safeguard its legitimate rights and interests," Liu said in a statement.
The Treasury on Wednesday also updated guidance for shipping and maritime stakeholders on "detecting and mitigating Iranian oil sanctions evasion," warning, among other things, that Iran depends on a vast shadow fleet to disguise oil shipments.
The Treasury said it was the sixth round of sanctions targeting Iranian oil sales since Trump restored his "maximum pressure" campaign on Iran, which includes efforts to drive its oil exports down to zero to help prevent Tehran from developing a nuclear weapon.