Meeting Between Chinese President Xi Jinping and Donald Trump: China Seeks End to Iran War Amid Divergent US Views

Just days before Chinese President Xi Jinping’s high-level visit to the United States, Beijing welcomed Iranian Foreign Minister Abbas Araghchi, signaling China’s influence over Tehran. The upcoming talks between Trump and Xi are expected to prioritize the issue of the Iran conflict. Since the outbreak of the war seven months ago, China has maintained a consistent stance, condemning US and Israeli attacks and criticizing Washington’s sanctions against Tehran. Beijing has repeatedly called for an end to the conflict and the reopening of the Strait of Hormuz to navigation. With vast oil reserves and a diverse energy portfolio, China appears to be managing the impacts of the Iran war reasonably well so far. However, according to Andre Giselle, a China and Middle East expert at the University of Exeter, China can sustain this for the long term, but the economic cost will be high. He notes China must balance its interests in seeing the war end with its geopolitical priorities.

“China does not want this conflict to damage its relationship with the US but will not ignore Iran’s fundamental interests and demands,” says Giselle. “China and Iran’s views largely align, and they believe aggressive actions by the US and Iran have fueled and sustained this conflict.” According to Hamidreza Azizi of the International Crisis Group, China’s energy consumption has been impacted by the war. Oil accounts for one-fifth of China’s total energy consumption, with 70 percent of that imported from Iran, according to the US Energy Information Administration’s 2025 report. While China imports 1.4 million barrels of oil daily, oil from Iran constituted only 12 percent of China’s total crude oil imports last year. In the Middle East, China obtains 42 percent of its oil from the region, a smaller share compared to other Gulf countries.

When Iran and other Gulf countries could not supply sufficient oil, China supplemented from exporters such as Russia and Brazil. However, natural gas supplies from these areas present challenges for China. In response to the energy crisis caused by the Iran war, China has turned to its oil reserves. Although the exact volume is confidential, estimates suggest reserves between 1 to 1.4 million barrels in 2025. “If China stored 1.4 million barrels of oil, it could sustain Middle Eastern supply interruptions for 254 days in 2025,” explained energy expert Erika Dunn from Columbia University. China’s reserves are believed to last longer since Middle Eastern supplies have continued despite the conflict. However, Reuters Asia commodities columnist Clyde Russell reported that China utilized its oil reserves in three of the past four months. “Beijing wants to quickly halt reserve usage to ensure sufficient fuel availability when needed,” Dunn added.

The Iran-backed Houthi group’s increased attacks in Saudi Arabia to strengthen control over the Bab al-Mandeb Strait could further destabilize global energy markets. The economic fallout from the Iran war poses a risk of escalating into a worldwide crisis, severely impacting China’s export-dependent economy. China’s economic growth has been slowing since 2019. As the world’s second-largest economy, China faces recessionary pressures in its domestic market, trade tensions with Western countries, and rising debt concerns at local government levels. Last year, total exports accounted for 32.7 percent of China’s GDP growth—the highest since 1997—according to the Washington, DC-based think tank Center for Strategic and International Studies. With weak domestic demand, exports have become the primary engine of economic growth.

During a period of sanctions, maritime blockades, and stalled peace talks, the Trump administration has increased economic pressure on Tehran. Washington has warned companies, banks, and countries supporting Iran’s economy of further penalties. Although many Chinese entities have become sanction targets, Washington has so far refrained from targeting China’s major banks, signaling caution amid ongoing US-China trade tensions. Beijing has not disclosed whether it will assist Washington’s unilateral sanctions campaign. It opposes what it calls “unilateral illegal sanctions” and emphasizes international legal cooperation with Iran. As the blockade continues, land-based trade routes between China and Iran remain the only viable option, which is expected to be costlier. Mohammad Gayidi, an Iran expert at George Washington University, notes that imports via land routes are significantly less than those by sea. While China is willing to mitigate the effects of economic sanctions, it has not demonstrated the capability or willingness to break the maritime blockade. Doing so would lead to a different type of conflict with Washington, a price China’s leadership seems unwilling to pay. Instead, China has clearly chosen a “diplomatic resolution to end the war,” which could help restrain Iran from escalating the conflict, according to Giselle. “This would facilitate the initial stages of negotiation and enable President Trump to claim some broad concessions to bring Iran to the peace table.”China will insist on securing concrete achievements for its partner, including the removal of sanctions, access to frozen assets, and cessation of military strikes.