China rejects US sanctions on five firms accused of buying Iranian oil

China said Saturday it will not comply with US sanctions imposed on five Chinese companies accused of purchasing Iranian crude, escalating tensions with Washington over Beijing’s continued energy trade with Tehran.

In a statement, China’s commerce ministry said the sanctions “shall not be recognized, implemented, or complied with,” arguing that the US measures unlawfully interfere with normal trade activities and violate international law.

Beijing, a major buyer of Iranian oil largely through independent “teapot” refineries that benefit from discounted crude, has repeatedly opposed unilateral sanctions not backed by the United Nations.

The directive applies to five firms, including three based in Shandong province — Shandong Jincheng Petrochemical Group, Shandong Shouguang Luqing Petrochemical, and Shandong Shengxing Chemical — along with Hengli Petrochemical (Dalian) Refinery and Hebei Xinhai Chemical Group.

The move comes as Washington intensifies efforts to curb Tehran’s oil revenues. On Friday, the US announced fresh sanctions against another Chinese company, Qingdao Haiye Oil Terminal Co., alleging it imported “tens of millions of barrels” of Iranian crude worth billions of dollars to Iran.

That company, however, was not included in Beijing’s latest injunction.

The sanctions flare-up adds to already strained US-China relations as Washington and Tehran remain deadlocked following the conflict triggered by US-Israeli strikes on Iran in late February.

The development comes ahead of US President Donald Trump’s scheduled visit to China later this month for talks with President Xi Jinping.