Beijing: China has issued a formal injunction to counter US sanctions targeting five domestic oil refiners, including Hengli Petrochemical Refinery, over alleged purchases of Iranian crude. The move marks a sharp escalation in tensions, with Beijing calling the US measures unlawful and a violation of international norms.
State-affiliated China Daily defended the decision, describing it as a “defensive and justified response.” In an analysis, writer Li Yang argued that Washington’s sanctions lack United Nations authorisation and therefore breach international law. He said the US is extending its authority beyond its borders by attempting to regulate trade between sovereign nations, calling it an overreach into third-party transactions.
Li further noted that such “secondary sanctions” have become a key tool of US policy, enabled by the global dominance of the dollar. He stressed that China’s response is meant to draw a clear line against external interference, asserting that Chinese firms should not comply with what Beijing deems “illegal US sanctions.”
China’s Ministry of Commerce (MOC) formalised this stance on Saturday by issuing a blocking order that prohibits domestic companies from adhering to the US restrictions, according to Xinhua. The order covers Hengli Petrochemical (Dalian) Refining Co., Ltd., Shandong Shouguang Luqing Petrochemical Co., Ltd., Shandong Jincheng Petrochemical Group Co., Ltd., Hebei Xinhai Chemical Group Co., Ltd., and Shandong Shengxing Chemical Co., Ltd.
The US had placed these firms on its Specially Designated Nationals (SDN) list, freezing their assets and restricting global transactions. A Chinese commerce ministry spokesperson criticised the move, saying it disrupts legitimate trade between Chinese firms and other countries and violates international law.
The dispute follows increased scrutiny from Washington. Last month, the US Treasury’s Office of Foreign Assets Control (OFAC) warned global financial institutions about risks linked to Chinese “teapot” refineries, especially in Shandong, which have continued importing Iranian oil. US authorities claim these purchases, worth billions of dollars, help sustain Iran’s oil sector. China said its countermeasure is in line with its rules against the extraterritorial application of foreign laws and aims to protect national sovereignty and the rights of its companies. (ANI)
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