China needs U.S. dollars but is building a hedge against Washington’s sanctions
BEIJING The U.S. is threatening to cut businesses that help Iran evade sanctions off from the American financial system. It puts China's banks in an uncomfortable position: Beijing can reject the demands, but its biggest lenders still have strong incentives to preserve access to U.S. dollars. U.S. Treasury Secretary Scott Bessent announced on Monday that any entity facilitating "money laundering or sanctions evasion on behalf of Iran risks being cut off from the U.S. financial system." It was part of the "economic D-Day" against Iran announced by U.S. President Donald Trump . When asked specifically about Chinese banks, Bessent said, "If they facilitate transactions and are part of the ecosystem that turns Iranian oil into money, into repression, they will be targeted ." China said Tuesday it would "take all necessary measures" to protect itself. "China has made clear on many occasions its firm opposition to illicit unilateral sanctions...
Comments
Post a Comment