According to Treasury Secretary Bessent, what is the reported percentage decrease in China's purchases of Iranian oil, and what factors does he attribute this decline to?

Treasury Secretary Scott Bessent stated that China has dropped its purchases of Iranian crude oil by 'about 40%' over the past few months. He attributes this decline to two main factors cited in the statement: 'the prices' (implying higher or less favorable pricing for Iranian oil) and China's 'very large strategic petroleum reserve', which reduces its immediate need for imports. Additionally, he noted that U.S. sanctions targeting Chinese 'so-called teapot refineries' — i.e., private refineries — have contributed to the substantial decrease in Iranian oil purchases.

What specific U.S. action against Chinese entities did Bessent mention as a driver of reduced Iranian oil imports, and how did he characterize those entities?

Bessent explicitly mentioned that the U.S. has 'sanctioned Chinese... so-called teapot refineries, which are the private refineries', identifying them as a key target of U.S. enforcement efforts. He characterized these entities using the qualifier 'so-called', suggesting skepticism or dismissal of their legitimacy or transparency, and emphasized their status as 'private refineries' — distinguishing them from state-owned or officially sanctioned refining capacity. This action, according to Bessent, has directly contributed to 'a substantial decrease in their purchases of Iranian oil'.

Bessent Says China's Iranian Oil Purchases Have Decreased

Jul 21, 2026

US Treasury Secretary Scott Bessent announced a substantial 40% drop in China's Iranian crude oil purchases following sanctions on private refineries. This decline is attributed to pricing and strategic reserves, directly pressuring the Iranian regime.

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