China Rebukes US Threat to Impose Sanctions on Banks

(MENAFN) Beijing issued a sharp rebuke on Thursday after Washington signaled it may impose secondary sanctions on two Chinese financial institutions, warning such actions would violate international norms.

Speaking at a routine press briefing in Beijing, Chinese Foreign Ministry spokesperson Guo Jiakun rejected the potential measures, stating: "China opposes illegal unilateral sanctions without the authorization of the UN Security Council,"

The response followed remarks a day earlier by US Treasury Secretary Scott Bessent, who disclosed that formal notices had been sent to two Chinese banks. He said: "If we can prove that there is Iranian money flowing through your accounts, then we are willing to put on secondary sanctions."

Bessent added that China had historically accounted for more than 90% of Iran’s oil exports, representing roughly 8% of its overall energy consumption.

He further suggested that recent US military pressure in the Strait of Hormuz could disrupt that flow, saying: "there will be a pause in Chinese buying."

The escalation comes after the United States deployed naval forces to enforce a blockade on Iranian ports, following an unusual round of direct negotiations between Washington and Tehran held in Pakistan over the weekend. The talks, aimed at halting a conflict that began on Feb. 28, ended without a breakthrough.

In a separate development, media reported Thursday that Beijing continued adjusting its financial strategy in February, increasing diversification of its foreign exchange reserves while reducing holdings of US Treasury securities.

MENAFN16042026000045017169ID1110990246