China rejects the U.S.’s demand to end energy deals with Russia and Iran

U.S. and Chinese officials have difficulty settling on a solution as Beijing threatens to continue its energy deal with Russia. Trump warned China to stop buying Russian and Iranian oil or risk a 100% tariff from the U.S. China’s Foreign Ministry mentioned last week that the country only focuses on serving its national interests. The ministry responded to Trump’s threat of a 100% tariff and added that it is ready to defend its sovereignty, security, and development interests. The department also condemned the Trump administration’s coercion and pressuring tactics, saying they won’t achieve anything. U.S. threatens China with 100% tariffs U.S. and China have yet to settle for a deal after top officials from both parties agreed to extend a 90-day pause on tariff negotiations last week during talks in Stockholm, Sweden. The meeting was attended by Treasury Secretary Scott Bessent and Vice Premier He Lifeng, and Bessent said the renewal of the pause, set to expire on August 12, will be up to Trump. During the previous 90-day tariff pause in May, China agreed to reduce U.S. tariffs from 145% to 30%, and the U.S. reduced Chinese levies from 125% to 10%. Bessent also warned the U.S. could impose new 100% tariffs on China over Russian oil purchases. “The Chinese take their sovereignty very seriously. We don’t want to impede on their sovereignty, so they would like to pay a 100% tariff.” – Scott Bessent, U.S. Treasury Secretary. Bessent called the Chinese tough negotiators, arguing that negotiations will still continue despite their pushback. He also believes that both parties are in the making of a deal. The director of the China Institute for WTO Studies at the University of International Business and Economics in Beijing also highlighted that Beijing wasn’t fazed by Trump’s threat. Managing director at Teneo, Gabriel Wildau, said that Trump’s threat of 100% duties could derail all the recent progress they’ve made so far. He also believes that it would jeopardize any chance for Trump and Chinese President Xi Jinping to announce a trade deal if they should meet this fall. Danny Russel, vice president of international security and diplomacy at the Asia Society Policy Institute, said oil purchases from Russia significantly cut China’s economic costs. He also believes President Xi can’t afford to leave Russian and Iranian oil because the strategic energy supply is too important. The U.S. Energy Information Administration reported in 2024 that China imported roughly 80% to 90% of Iran’s oil. China reportedly bought 47% of Russian oil and 90% of Iran’s oil in the last 18 months. Senator Graham touts Russia sanctions bill U.S. Senator Lindsey Graham from South Carolina also pushes for sanctions and levies on Russia and some nations financing it, such as China and India. The U.S. official introduced legislation allowing Trump to impose tariffs as high as 500% on Russia and countries with deals in oil, uranium, petroleum products, natural gas, and petrochemical products. Graham acknowledged that the bill was meant to stop China from buying oil from Russia at below market price. He argued that the deal empowers Putin’s war machine to kill innocent Ukrainian civilians. The Senator revealed that the bill already had 84 Senate cosponsors and 70 House cosponsors. Trump has been against countries with energy deals with Russia and Iran amid the ongoing war in Ukraine . He believes that such deals fund Moscow’s military to continue its war against Ukraine, and Iran also funds other militant groups across the Middle East. Your crypto news deserves attention – KEY Difference Wire puts you on 250+ top sites

Source: Cryptopolitan