China Condemns US Sanctions on Hengli as Shares Slide

27/04/2026

BEIJING, Apr 27: China on Monday strongly opposed a decision by the United States to impose sanctions on a Chinese oil refinery over alleged purchases of Iranian crude, warning it would defend the interests of its companies.

The US announced last week sanctions against Hengli Petrochemical, based in the northeastern port city of Dalian, as part of efforts to curb Iran’s oil exports. The measures restrict the company and entities involved in transporting Iranian crude from accessing the US financial system.

Reacting to the move, Chinese Foreign Ministry spokesperson Lin Jian said Beijing “always opposes illegal unilateral sanctions that lack a basis in international law,” and urged Washington to stop what he described as the abuse of sanctions and “long-arm jurisdiction.”

“China will firmly safeguard the legitimate rights and interests of Chinese companies,” Lin added.

Following the announcement, shares of Hengli Petrochemical dropped 10 percent on Monday, according to a report by Reuters.

Hengli, one of China’s largest independent refiners, has denied trading with Iran. China remains Iran’s biggest oil customer, with dozens of Chinese firms reportedly involved in purchasing Iranian crude.