Iran war raises stakes for US and China ahead of Trump-Xi talks as ties strain further

The Iran conflict is deepening divisions between the US and China as the two nations prepare for a high-stakes summit in Beijing. US President Donald Trump and Chinese President Xi Jinping will meet May 14-15, with the war dominating discussions. US Treasury Secretary Scott Bessent urged China to support opening the Strait of Hormuz to international shipping, but Beijing has signaled reluctance to act solely on Washington’s demands. China recently hosted Iran’s foreign minister and called for a ‘complete cessation of hostilities,’ while reaffirming its stance that Iran has no intention of developing nuclear weapons. The US, however, insists Iran must abandon its right to uranium enrichment for 20 years and surrender its stockpile of highly enriched uranium. The conflict is disrupting China’s energy security, with crude oil imports from the Middle East—half of its total—threatened by the Strait of Hormuz blockade. April saw a 20% drop in Chinese crude imports, the lowest in nearly four years, while a Chinese-crewed oil tanker was attacked in the strait. Beijing criticized the US blockade, calling it contrary to global interests. Despite US sanctions, China remains Iran’s top oil buyer, importing an average of 1.38 million barrels per day in 2025, according to Kpler. The Trump administration sanctioned Chinese refinery Hengli Petrochemical for purchasing Iranian oil and warned two Chinese banks of secondary sanctions. China retaliated by ordering companies to ignore US sanctions on five refiners, invoking a law allowing countermeasures against perceived unlawful restrictions. Additionally, the US Treasury sanctioned two Chinese and two Hong Kong-based firms for allegedly facilitating Iran’s weapons purchases, including missile-related materials. Beijing’s defiance on sanctions and energy ties underscores its balancing act between economic interests and diplomatic pressure from Washington.