WASHINGTON, Oct 6 : The Wall Street Journal claims, citing sources from various countries, that China was circumventing US sanctions on Iranian oil supplies and global payment systems, allegedly purchasing oil through a barter-like arrangement in exchange for infrastructure construction in Iran.
The barter-like system includes Iranian oil shipments to China, Tehran’s largest client, and in exchange, state-backed Chinese companies build infrastructure in Iran, it said.
According to the newspaper, a top-secret Chinese insurance company is allegedly involved in the mechanism. Sources claim that last year, up to USD 8.4 billion in oil payments passed through this mechanism to finance Chinese work on major infrastructure projects.
In August, CBS News claimed, citing its own investigation, that China was secretly purchasing Iranian oil through a “shadow fleet” in circumvention of US sanctions.
In 2015, the United Kingdom, Germany, China, Russia, the United States, France, and Iran signed the Joint Comprehensive Plan of Action (JCPOA) nuclear deal, which offered sanctions relief in exchange for curbs on Iran’s nuclear program.
In May 2018, during US President Donald Trump’s first term, the United States withdrew from the JCPOA and reinstated sanctions against Tehran. In response, Iran announced a gradual reduction in its commitments under the agreement, abandoning restrictions on nuclear research, centrifuges, and uranium enrichment levels.
(UNI)
Follow our WhatsApp channel
