Pictured above: PetroChina storage tanks
(Bloomberg) — U.S. Treasury Secretary Scott Bessent said the next round of U.S.-China talks could include a discussion of China’s purchases of Russian and Iranian oil, a signal that the focus could shift from more traditional trade issues to ones that cross over into matters of national security.
U.S. President Trump has threatened 100% secondary tariffs against countries who purchase sanctioned oil
“Trade is in a good place,” Bessent said on CNBC, referring to recent and ongoing negotiations with China. “And I think now we can start talking about other things. The Chinese, unfortunately, are very large purchasers of sanctioned Iranian oil, sanctioned Russian oil — so we could start discussing that.”
Bessent was also asked about new sanctions on Russia, and he hinted the U.S. was more likely to pursue a tariff-based strategy that would impose hefty duties on any country it found to be purchasing sanctioned Russian energy.
“Any country who buys sanctioned Russian oil is going to be subject to up to 100% secondary tariffs,” he said. “President Trump has changed the conversation here and I would urge our European allies, who have talked a big game, to follow us if we implement these secondary tariffs.”
President Donald Trump last week threatened “very severe tariffs if we don’t have a deal in 50 days” on the Russia-Ukraine war. “tariffs at about 100%.”
