Bad News For Iran: China Working To Reduce Oil Consumption
China, Iran's most important customer for oil and natural fuel, is reportedly seeking to start reducing oil consumption by 2027.
China seeks to reduce its oil consumption and dependence on foreign oil supplies as part of a general national resilience strategy, with the aim being to start oil consumption reduction from 2027 onward, according to a report today (Tuesday) by Semafor.
This is potentially very bad news for Iran, which is struggling economically with high inflation and unemployment, mismanaged water and civilian infrastructure, and increasingly crippling sanctions.
Until now, China has been its only real lifeline for selling its oil, specifically to smaller "teapot refineries." A significant reduction in oil refinement and consumption in China could mean an even worse economic hit for a country still reeling from Israeli and American air strikes.