Overview

• The U.S. sanctioned China's Huaying Huizhou Daya Bay Petrochemical Terminal for storing Iranian crude oil transported via a sanctioned vessel.
• Shandong Shouguang Luqing Petrochemical, a private 'teapot' refinery in China, was sanctioned for purchasing $500 million worth of Iranian oil, marking the first U.S. sanctions against a Chinese refinery.
• Twelve entities and eight vessels linked to Iran's 'shadow fleet,' which uses deceptive shipping practices to transport oil, were also sanctioned.
• The sanctions aim to disrupt Iran's oil revenue, which is used to fund terrorism, nuclear activities, and other destabilizing actions, while escalating U.S.-China tensions.
• Oil prices have risen as markets respond to tightened supply and geopolitical risks stemming from the expanded sanctions.