The president signals the lifting of sanctions on Tehran after U.S. bombers hit three Iranian nuclear sites.
U.S. President Donald Trump said on Tuesday that China can continue to buy oil from Iran after his administration issued sanctions over China’s purchasing of Iranian oil in the past months.
In a post on social media platform Truth Social, the president wrote, “China can now continue to purchase Oil from Iran. Hopefully, they will be purchasing plenty from the U.S., also. It was my Great Honor to make this happen!”
The announcement came after a 12-day war between Israel and Iran ended in a delicate cease-fire, and after the United States bombed three Iranian nuclear sites, causing “extremely severe damage and destruction,” according to Gen. Dan Caine, chairman of the Joint Chiefs of Staff.
It also came as oil prices fell almost 6 percent to a two-week low on expectations that the cease-fire between Israel and Iran will reduce the risk of oil supply disruptions in the Middle East.
Brent crude futures fell $4.02, or 5.6 percent, to $67.46 a barrel at 1:26 p.m. ET. U.S. West Texas Intermediate (WTI) crude fell $3.84, or 5.6 percent, to $64.67.
Brent was on track for its lowest settlement since June 10 and WTI for its lowest since June 6, both before Israel launched a surprise attack on key Iranian military and nuclear facilities on June 13.
The United States reimposed sanctions on Iran’s oil exports in November 2018, following a 180-day wind-down period of the U.S. participation in the Joint Comprehensive Plan of Action, commonly known as the Iran nuclear deal.
In March, Trump threatened Tehran that if it doesn’t agree to a new deal, “there will be bombing” or secondary tariffs.
In February, the Trump administration had said it was restoring “maximum pressure” on the Iranian regime, including measures “aimed at driving Iran’s oil exports to zero.” The United States has said the regime used proceeds from the trade to fund terrorism, drones, and nuclear capabilities.”
By Lily Zhou
