Reuters: Iran circumvents sanctions through barter with China and purchases of “air defenses”.
Reuters: Iran circumvents sanctions through barter with China and purchases of “air defenses”.
2026-09-10
Shafaq News – Follow-up
Reuters reported on Thursday that Iran has resorted to a barter-like mechanism with China, allowing it to exchange oil for Chinese goods, in an effort to circumvent US sanctions and maintain the flow of imports into the country.
The agency added, quoting sources, that Iranian purchases from China, within the framework of the “oil for goods” mechanism, amounted to billions of dollars and included basic equipment and materials, in addition to equipment related to air defense.
She explained that the mechanism allowed Iran to obtain Chinese goods, including medicines, vehicles and communications equipment, in exchange for oil, thus reducing the reliance of transactions on the global financial system and limiting the risk of sanctions on participating Chinese companies.
According to a Reuters investigation, the mechanism is believed to have moved between $2 billion and $2.5 billion last year through special financial and commercial arrangements that allow payments to be settled outside of traditional financial channels.
These arrangements come at a time when Iranian oil exports are facing increasing pressure due to US sanctions and escalating military tensions in the region, while China continues to buy Iranian oil at discounted prices and boost its trade with Tehran.
shafaq.com
