US sanctions China-based terminal operator for allegedly importing Iranian crude oil

The United States on Friday (1 May) sanctioned a China-based crude oil terminal owner and operator, which it said has imported “tens of millions of barrels of sanctioned Iranian crude oil”, which has enabled the flow of billions of dollars to Tehran. 

The State Department alleged that Qingdao Haiye Oil Terminal Co Ltd received dozens of shipments, totaling tens of millions of barrels of Iranian origin crude oil in 2025.

Qingdao Haiye operates a crude oil terminal in the Qingdao Huangdao port area in the greater Qingdao Port cluster of China’s Shandong province. 

“The terminal has accepted cargo from multiple vessels which conducted illicit ship-to-ship (STS) transfers of Iranian-origin crude off the coast of Singapore known as the eastern outside port limits (EOPL), which is an area that has been identified as a hotspot for illicit STS transfers of Iranian-origin crude,” it said. 

“These STS transfers were conducted with other vessels which had previously been designated by OFAC for transshipping Iranian energy products.”

It added that Iran’s petroleum exports, which remain the most critical economic lifeline supporting the destabilizing activities of the Iranian regime, are reliant on key intermediaries who facilitate the transfer of sanctioned Iranian crude oil to end users.

“China-based crude oil and petroleum product terminal operators serve as one of the most significant conduits in this trade, as they directly enable the flow of illicit Iranian oil to consumers,” it said.

Photo credit: Zbynek Burival on Unsplash
Published: 4 May, 2026