The oil taps are open again. On June 24, President Trump announced that China is now free to purchase crude from Iran. The statement came mid-flight aboard Air Force One, en route to a NATO summit in The Hague. The message was posted to Truth Social. “China can now continue to purchase Oil from Iran. Hopefully, they will be purchasing plenty from the U.S., also. It was my Great Honor to make this happen.” That was the quote. No ambiguity. No walk-back.
The sanctions that blocked this trade were reinstated in 2018 and expanded through 2024. They targeted Iranian crude exports and penalized Chinese importers. That wall is now down. Beijing buys over 90% of Iran’s oil exports. In April, China imported 1.3 million barrels per day from Tehran. That number had dipped slightly in May under pressure from U.S. Treasury sanctions. Now it is expected to climb again.
🚨🇺🇸🇨🇳🇮🇷 TRUMP: “CHINA CAN NOW BUY OIL FROM IRAN – AND HOPEFULLY FROM US TOO”
Trump:
“China can now continue to purchase Oil from Iran.
Hopefully, they will be purchasing plenty from the U.S., also.
It was my Great Honor to make this happen!”
Source: @realDonaldTrump on… https://t.co/OU9rVQ8PXi pic.twitter.com/PeKiVxn26n
— Mario Nawfal (@MarioNawfal) June 24, 2025
The timing is not random. The announcement followed a fragile ceasefire between Israel and Iran, brokered by the United States after weeks of missile exchanges and airstrikes. The Strait of Hormuz had become a flashpoint. Roughly 20% of global oil flows through that narrow corridor. Iran had threatened to close it. The risk premium on crude spiked. Brent touched $77.01. West Texas Intermediate hit $73.84. Traders braced for $120 scenarios. That pressure is now easing.
Oil markets responded fast. Brent crude dropped to $70. WTI fell below $68. The White House says the move is about stability. The Energy Secretary said Iran would hurt itself more than anyone else by closing the strait. Trump’s team says the deal reduces the chance of escalation. The administration is betting that economic oxygen will keep Tehran from lashing out again.
Sources: