China And Iran Use Supply Chains And Strait Of Hormuz To Corner US
Image: The Times of India

China And Iran Use Supply Chains And Strait Of Hormuz To Corner US

12 April, 2026.China.3 sources

Key Takeaways

  • China emerges as a key actor shaping US-Iran tensions.
  • Beijing-Tehran alignment aims to exploit Gulf chokepoints, notably the Strait of Hormuz.
  • China's leverage seeks to influence Persian Gulf oil flows and US strategic calculations.

China-Iran Economic Leverage

China used its dominance over rare earth minerals to retaliate against US tariffs, a move Trump called a real surprise.

Image from DW
DWDW

Iran tightened its grip over the Strait of Hormuz, disrupting energy flows and triggering a spike in global oil prices.

The economic fallout extended directly to US households, with gasoline crossing $4 per gallon.

Senator Ron Wyden criticized the Treasury Department for failing to assess potential energy market consequences.

Experts described these developments as marking a structural shift in the global economic order.

China's Role in Iran Ceasefire

China played a key behind-the-scenes role in brokering a ceasefire between the US and Iran.

Trump credited China for encouraging Iran to agree to a temporary truce.

Image from The Arkansas Democrat-Gazette
The Arkansas Democrat-GazetteThe Arkansas Democrat-Gazette

Three diplomats confirmed that Beijing used its leverage to urge Iran back to the negotiating table.

China had decried the US and Israel's war against its economic partner Iran as misguided.

The blockade of the Strait of Hormuz was having an enormous impact on Asia.

Ali Wyne said the breakthrough affords Beijing another opportunity to present itself as a stabilizing force.

China's Calculated Regional Engagement

U.S. sanctions have restricted Chinese investment in Iran.

China's trade with the Gulf Cooperation Council was about $257 billion, while trade with Iran was less than $14 billion.

Analyst Azizi said China is more focused on opposing unilateral U.S. actions than on ensuring the survival of the Iranian regime.

Iran-China cooperation has taken on a more security-oriented dimension since June 2025.

China did not appear as a strong defender of Iran in the 12-day Iran-Israel war.

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