Treasury Secretary Scott Bessent testifies on his agency’s proposed budget estimates for fiscal year 2027 at a Senate Appropriation subcommittee, at the Capitol in Washington, Wednesday, April 22, 2026. (AP Photo\/J. Scott Applewhite)<\/small><\/p>\n
2026-04-24T18:12:53Z<\/p>\n
WASHINGTON (AP) \u2014 The Trump administration is placing economic sanctions on a major China-based oil refinery and roughly 40 shipping companies and tankers involved in transporting Iranian oil.<\/p>\n
The move, announced Friday and first reported by The Associated Press, makes good on the Trump administration\u2019s threat to impose secondary sanctions<\/a><\/span> on companies and countries that do business with Iran. It\u2019s also part of the Republican administration\u2019s overall ramped-up campaign to cut off Iran\u2019s key source of revenue \u2014 its oil exports. <\/p>\n Concurrently, the U.S. this month imposed a physical blockade on the Strait of Hormuz<\/a><\/span>, the Persian Gulf waterway that is crucial to global energy supplies.<\/p>\n These sanctions come just a few weeks before President Donald Trump and China\u2019s Xi Jinping are due to meet in China<\/a><\/span>.<\/p>\n Included in Friday\u2019s sanctions is Hengli Petrochemical\u2019s facility in the port city of Dalian, which has a processing capacity of roughly 400,000 barrels of crude oil per day, making it one of the biggest independent refineries in China.<\/p>\n The Treasury Department says Hengli has received Iranian crude oil shipments since 2023 and has generated hundreds of millions of dollars in revenue for the Iranian military.<\/p>\n The advocacy group United Against Nuclear Iran said in February 2025 that Hengli is one of dozens of Chinese purchasers of Iranian oil. <\/p>\n Treasury Secretary Scott Bessent said Friday that his agency \u201cwill continue to constrict the network of vessels, intermediaries and buyers Iran relies on to move its oil to global markets.\u201d<\/p>\n