China’s teapot refineries keep Iran’s oil flowing despite sanctions

CNN reports that a network of small, government-tolerated Chinese refineries in Shandong and Hebei process Iranian crude despite US sanctions, aided by a clandestine fleet of ships and ship-to-ship transfers near the Eastern Outer Port Limits. Beijing resists unilateral sanctions while seeking a stable energy supply, even as US authorities blacklist participants and chase sanctioned tankers. Iran’s share of China’s seaborne imports rose to about 18% during Hormuz disruptions, underscoring how these ‘teapot’ refiners help sustain China’s fuel needs, with larger players like Hengli Petrochemical also coming under sanctions. Satellite imagery and naval interceptions illustrate ongoing transfers and enforcement in the broader Iran-China energy corridor.