China Urges Iran to Control Houthi Attacks in Red Sea, Exclusive Sources Reveal
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- Cameron Palmer
- January 28, 2024
- International News
Chinese authorities have reportedly urged Iranian officials to take measures to control the assaults on ships in the Red Sea orchestrated by the Houthi rebels, supported by Iran.
Failure to address this issue could potentially strain business relations between China and Iran, according to information shared by four Iranian sources and a diplomat knowledgeable about the situation.
Conversations about these attacks and bilateral trade occurred in multiple meetings held in Beijing and Tehran, although specific details such as the timing and participants were not disclosed.
In essence, as per an Iranian official familiar with the discussions, China has communicated that any harm to its interests could affect its business engagements with Tehran.
Houthi Attacks Raise Shipping Costs for China
The attacks, claimed by the Houthis to be in solidarity with Palestinians in Gaza, have resulted in increased shipping and insurance costs, disrupting a crucial trade route between Asia and Europe commonly utilized by Chinese vessels.
Chinese officials refrained from making explicit comments or issuing threats regarding potential repercussions for Beijing’s trading relationship with Iran in the event of Houthi attacks causing harm to Chinese interests, as reported by the four Iranian sources.
Despite China being Iran’s primary trading partner for the past decade, the trade dynamics are imbalanced.
Notably, Chinese oil refiners accounted for more than 90% of Iran’s crude exports in the previous year, with US sanctions dissuading many other customers and Chinese firms benefiting from substantial discounts.
Iranian oil constitutes only 10% of China‘s crude imports, and Beijing possesses alternative suppliers to address any supply gaps.
China Warns Tehran
Chinese officials have conveyed their strong disappointment to Tehran, emphasizing that any harm to vessels associated with China or impacts on the country’s interests would be met with significant dissatisfaction.
Despite China’s importance to Iran, Tehran maintains regional alliances and priorities, including proxies in Gaza, Lebanon, Syria, Iraq, and the Houthis in Yemen, influencing its decision-making.
In response to inquiries about discussions with Iran regarding the Red Sea attacks, China’s Ministry of Foreign Affairs emphasized its commitment to promoting regional security, stability, and common development and prosperity in the Middle East.